Auditing and Corporate Governance—a Look Forward into the 21st Century

Abstract

Auditors will be expected to disclose whether the accounts are true and fair, whether the company will fail, whether it is managed competently, whether it is run in accordance with the law, free of fraud, and whether it is adopting a responsible attitude to environmental and societal issues. Corporate governance developments, broader ranges of stakeholders for auditors to serve, requirements for assurance on softer, non-financial measurements and developments in technological corporate reporting, are all demanding new forms of audit assurance services and of audit reporting. This in turn poses important challenges for international audit standard setters and for audit educators alike. While developments in global business and global capital markets have given international dimensions to many of the developments in corporate governance, there is not a complete consensus across the world.