Audit Techniques Research Articles

A compliance and audit model for tackling tax evasion in Nigeria

Tax evasion remains a significant challenge for Nigeria, undermining economic stability and reducing public revenue. This paper proposes a comprehensive compliance and audit model designed to address tax evasion in Nigeria. The model integrates enhanced compliance strategies, advanced audit procedures, and the strategic use of technology to create a robust framework for tackling tax evasion. The proposed model emphasizes proactive measures to improve taxpayer compliance through targeted education and outreach programs, streamlined reporting processes, and incentivization. On the audit front, it advocates for the adoption of sophisticated audit techniques and technologies, including data analytics and automated systems, to detect and address evasion more effectively. The implementation framework outlines a phased approach involving key stakeholders such as the Federal Inland Revenue Service (FIRS), local tax authorities, and the private sector. By examining domestic and international case studies, the paper highlights successful practices and potential challenges, providing actionable insights for adapting these strategies to the Nigerian context. Evaluation metrics are proposed to assess the model’s effectiveness, with expected outcomes including improved tax revenue, enhanced compliance rates, and strengthened public trust in the tax system. The study concludes with recommendations for further research and policy adjustments to refine and expand the model's application. This approach aims to not only mitigate tax evasion but also contribute to a more transparent and equitable tax system in Nigeria.

Shift-left in your fight against supply chain fraud

Supply chain operations rely upon various supply chain software systems, centred around the enterprise resource planning (ERP) system. Traditional and still widely utilised and relied-upon audit techniques have addressed the issue of finding problems — particularly fraud — typically too late after they have happened. Inasmuch as the ERP system is considered the business system of record, it may not be the system of origination for every supply chain transaction, meaning that fraud examination needs to look beyond the ERP system and notably before the ERP general ledger. The closer to a transaction’s point of origin the unusual behaviour can be detected, the sooner the outlier issue can be fixed, and ideally averted in the future with the right corrective actions taken then and there. This all helps to prevent the problem — the bad data, the offending transaction, and possibly the incorrect goods — from travelling through the supply chain and manifesting into something worse. Ramifications can include knock-on effects to data analysis, impacts to decisions, passing bad information to supply chain partners, conveying the wrong goods and material effects on financial statements. This paper presents a supply chain perspective that reveals just how much control an enterprise really does have over its supply chain transactions, showcases how reactive fraud discovery methodologies remain firmly in place, and offers a more proactive business model that leverages what most companies already have to improve internal controls and decrease incidences of fraud.

Effect of Internal Audit Techniques on Performance of Ezza-North Local Government Council

Effect of Internal Audit Techniques on Performance of Ezza-North Local Government Council

Energy audit for biodiesel performance

The performance and emission characteristics of the biodiesel -- diesel mix have been assessed using the energy audit method. The goal of this commentary is to get familiar with the examination of the performance characteristics of a diesel engine fuelled with biodiesel blends using energy audit technique. An examination of heat flow, brake-specific energy consumption, friction power, and smoke has been conducted. Efficiency can be enhanced by implementing this strategy, resulting in savings of both time and energy.

KUALITAS PROSES AUDIT: TASK COMPLEXITY DAN LOCUS OF CONTROL DENGAN TABK SEBAGAI MODERASI

The COVID-19 pandemic has driven significant transformations in audit practices, particularly through the shift towards remote auditing. The focus of this research is to examine the influence of Task Complexity and Locus of Control on Audit Process Quality with Computer-Assisted Audit Techniques (CAAT) as a moderating variable. This study employs a quantitative research method with primary data collection through questionnaires and Likert scales. The research sample consists of 100 auditors working in Public Accounting Firms in DKI Jakarta, selected using purposive sampling method. Data analysis is conducted using Structural Equation Modeling (SEM) through the SmartPLS 4.0 program with a significance level of 0.05. Findings indicate that Task Complexity has a significant negative impact on Audit Process Quality, while Internal Locus of Control has a significant positive influence. Conversely, External Locus of Control does not significantly affect Audit Process Quality. CAAT as a moderating variable weakens the relationship between Task Complexity and Audit Process Quality. However, CAAT does not strengthen the relationship between Internal Locus of Control and Audit Process Quality, and it does not influence the relationship between External Locus of Control and Audit Process Quality. The implications of this research lie in a more comprehensive understanding of components influencing audit process quality, contributing to the enhancement of audit practices in the digital era.

Pengaruh Teknik Audit, Kemampuan Auditor dan Pengalaman Auditor Terhadap Efektivitas Pelaksanaan Prosedur Audit Investigatif dalam Pengungkapan Kecurangan

The purpose of this research is to conduct a literature review of previous studies and document various kinds of references on topics and related to the effectiveness of the implementation of investigative audit procedures in disclosing fraud. The method used in this research is a qualitative approach and can also be called a literature study. This research uses secondary data in the form of previous research journals. The results of this study are based on literature in previous research journals by several researchers, it is concluded that audit techniques, auditor ability and auditor experience affect the effectiveness of the implementation of investigative audit procedures in disclosing fraud.

ТЕХНОЛОГИЧЕСКИЙ АУДИТ ПРЕДПРИЯТИЙ В ПРОМЫШЛЕННЫХ КЛАСТЕРАХ

The subject of this study is issues related to the justification for the inclusion of various enterprises in an industrial cluster that has a multi-industry focus, including the use of wood chemical technologies for recycling waste from the forestry complex. The paper substantiates the need for mandatory technological audit of enterprises when they are included in an industrial cluster with a multi-industry focus. The existing methods of technological audit carried out at enterprises are considered, and several groups of methods for conducting technological audits that can be used at enterprises are identified. The methods of technological audit carried out at the enterprise where the levels of technology readiness are used, as well as the levels of technology maturity are investigated; methods of technological audit at the enterprise, which take into account both the external and internal environment of the business entity, taking into account their impact on the level of its technological development. Methods based on conducting a comprehensive audit of an enterprise are considered, including interrelated specialized audits: commercial audit; technical and technological audit; institutional audit; social audit; economic audit; risk audit; financial audit; technology audit methods, which are carried out only at a certain stage of the life cycle of an economic entity; technology audit techniques that determine the discrepancy between the functional and cost components in the activities of the enterprise. The result of the study was the development of strategic analysis matrices, which allows, based on the methodology of the level of technology readiness, to justify the decision to include an economic entity at a certain level of technological development in the industrial cluster of a multi-industry focus.

A Comprehensive Examination of Search Engine Optimization (SEO) Audit and Optimization Strategies

Success online continues to depend on getting and keeping a high ranking on search engine results pages (SERPs), even in the always changing world of digital marketing. In order to offer a comprehensive grasp of the importance, methods, and optimal practices of Search Engine Optimization (SEO), this research paper explores the vital practice of SEO auditing and optimization. This study examines the many facets of SEO audits using a comprehensive literature review and empirical analysis. It covers technical, content, and off-page optimization components. It also carefully examines how the main search engines' constantly changing algorithms affect SEO tactics. This study assesses the efficacy of several audit techniques and frameworks, gaining knowledge from industry professionals and case studies and providing practical recommendations for companies looking to improve their online presence. This research adds to the body of knowledge on SEO audit and optimization by combining theoretical frameworks with real-world applications. It provides invaluable insights for marketers, business owners, and digital strategists navigating the complexities of online visibility in the modern digital ecosystem. Keywords - SEO Audit, SERP, SEO Optimization.

Pengaruh Teknik Audit Berbantuan Komputer, Kinerja Auditor, dan Locus of Control Terhadap Kualitas Audit Syariah

The digital era has brought significant transformation in various aspects of life, including in the world of sharia auditing. Advances in information and communication technology (ICT) open up new opportunities to optimize the sharia audit process through computerization. This research aims to examine the role of technology, the number of information systems, and the level of technological integration in the development of the computerized sharia audit process. The purpose of writing this article is to build a hypothesis of the influence between variables to be used in further research. The results of this literature review article are that this research shows that computer-assisted audit techniques have no influence on audit quality. Meanwhile, auditor performance and locus of control have a positive and significant influence on audit quality.

AI and Auditing: Enhancing Audit Efficiency and Effectiveness with Artificial Intelligence

The use of automation and artificial intelligence (AI) in audit practice is increasingly becoming a major focus, with significant impact on the profession. This research depicts the current landscape of the use of AI in auditing, highlighting aspects such as automation and empowerment of the workforce in auditing, impact of AI on improving audit quality criteria, key factors in adopting AI-based audit techniques, impact of AI technology on audit evidence , and auditors' perceptions of AI in improving audit quality. The results and discussion show that while there are great benefits from integrating automation and AI in auditing, including improved audit quality, enhanced efficiency, and the ability to perform continuous audits, there are also challenges that need to be overcome, such as high customization costs for specific audit processes industry. The use of AI in auditing requires adaptation from auditors to changes in competencies and workflows to effectively utilize this technology. However, with proper understanding and careful handling of these challenges, AI has great potential to improve overall audit practices.

Secure Cloud-Based Electronic Health Records: Cross-Patient Block-Level Deduplication with Blockchain Auditing.

In today's data-driven world, the exponential growth of digital information poses significant challenges in data management. In recent years, the adoption of cloud-based Electronic Health Records (EHR) sharing schemes has yielded numerous advantages like improved accessibility, availability, and enhanced interoperability. However, the centralized nature of cloud storage presents challenges in terms of information storage, privacy protection, and security. Despite several approaches that have been presented to ensure secure deduplication of similar EHRs, the validation of data integrity without a third-party auditor (TPA) remains a persistent task. Because involving a TPA raises concerns about the confidentiality and privacy of crucial healthcare information. To tackle this challenge, a novel cloud storage auditing technique is proposed that incorporates cross-patient block-level deduplication while upholding strong privacy protection, ensuring that EHR is not compromised. Here, we introduced blockchain technology to achieve integrity verification, thus eliminating the need for a TPA by providing a decentralized and transparent mechanism. Additionally, an index for all EHRs has been generated to facilitate block-level duplicate checks and employ a novel strategy to prevent adversaries from acquiring original information saved in the cloud storage. The security of the proposed approach is established against factorization attacks and decrypt exponent attacks. The performance evaluation demonstrates the superior efficiency of the proposed scheme in terms of file authenticator generation, challenge creation, and proof verification to other existing client-side deduplication approaches.

The Influence of Heuristic and Computer-Assisted Audit Techniques (CAAT) on Fraud Detection with Experience as a Mediating

This study explores the impact of Heuristics and Computer-Assisted Audit Techniques (CAAT) on fraud detection, with Experience as the mediating variable. The findings show that CAAT has no significant effect on fraud detection, while heuristics have a significant effect. Experience also directly contributes positively to fraud detection. An interesting result is that CAAT affects fraud detection through experience as a mediator, while heuristics have no significant effect when mediated by experience. Experience serves as a key bridge that strengthens the relationship between CAAT and fraud detection. The implication is that organisations can improve audit strategies by understanding the complexity of these factors, acknowledging the differential impact between CAAT and heuristics, and leveraging experience as a vital mediator tool to improve fraud detection.

Empirircal investigation into y-the integration of cloud-based artificial intelligence in auditing

Purpose- The increasing prevalence of cloud computing and the rapid proliferation of artificial intelligence technologies have opened up novel prospects for enhancing auditing methodologies. This research aims to scrutinize the consequences of incorporating cloud-based artificial intelligence (CBAI) in auditing, focusing on its implications for audit clients, auditors, and the overall audit process. Methodology- A method of quantitative research was utilized in this study, where 322 questionnaires were distributed to external auditors in Jordan. The objective was to collect information on the potential enhancements brought about by cloud-based artificial intelligence in the auditing field. The study employed convenience random sampling, a technique involving the collection of data from readily available members of the population, which, in this context, refers to external audit offices in Jordan. Jordan has a total of 454 audit offices with a diverse range of auditors, including partner-owner auditors, assistant auditors, and certified auditors. The analysis of the gathered data was conducted using SmartPLS software, which employs structural equation modeling (SEM). Findings- The study's outcomes reveal the potential for cost savings associated with the adoption of CBAI, as well as the streamlining of audit procedures and the enhancement of overall efficiency. Moreover, the research observes the transformation of auditors' roles, with a shift towards a greater focus on analytical and advisory responsibilities, departing from traditional manual tasks. These findings underscore the potential advantages for audit clients, auditors, and the audit process, underscoring the significance of embracing these technologies to advance the auditing profession in the digital age. Conclusion- The study investigates how CBAI influences audit quality and efficiency through a thorough examination of data sourced from a sample of external auditors operating within the context of Jordan. Additionally, it delves into the significant advancements that CBAI can introduce to the auditing field, encompassing its potential for data storage and analysis, the improvement of communication between auditors and clients, the adoption of innovative audit techniques, and the shift from manual to digital auditing methodologies. Keywords: Cloud-based artificial intelligence, Auditing, Auditors, Cloud computing, Artificial Intelligence, Audit quality. JEL Codes: O30, O33, O35

POSITIVE AND NEGATIVE IMPACTS OF USING THE ATLAS AUDIT APPLICATION IN SUPPORTING THE WORK OF AUDITORS IN KAP “X”

The influence of technological changes that exist today has an impact on various areas of human life. Until various terms are known, such as remote auditing and Computer-Aided Audit Techniques (CAAT). The ATLAS audit application is a type of digital transformation implementation in the auditing industry and serves as an illustration of the development of computer-aided audit methodologies. The purpose of this study was to ascertain the effects of employing the ATLAS program to assist auditors in KAP "X" work. Based on theoretical studies, interview findings, questionnaire distribution, and literacy studies, the study technique employed is descriptive with a qualitative approach. Following that, data on the outcomes of research, interviews, questionnaires, and studies on literacy are gathered, examined, assessed, and conclusions are drawn. This study obtained the results that the ATLAS audit application has a positive impact in the form of work efficiency, time effectiveness in providing the necessary information output and accuracy to audit procedures that are missed, as well as low cost and easy to use. The questionnaire measurement found that the impact of using the ATLAS audit application was 68.8%. However, there is a negative impact from the implementation of the ATLAS audit application, which is more temporal or temporary. Based on this discussion, it can be concluded that the ATLAS audit application can have a positive impact in supporting the work of auditors.

Studi Literatur: Teknik Audit Investigatif Dalam Pengungkapan Money Laundering Dari Perspektif Akuntan Forensik

Forensic accounting and investigative auditing are disciplines used when investigating complex cases of fraud related to the law. It contains investigative audit techniques that can help forensic accountants in their implementation. In Indonesia, investigative audits are more often associated with solving corruption cases, one of which is money laundering. So in this research the author wants to find out what investigative audit techniques are most effective in uncovering money laundering cases based on the perspective of forensic accountants. The research method used is a qualitative descriptive method. Based on the results of the analysis, the results of the investigative audit stages were predication, hypothesis formulation, data gathering, data reliability testing, data analysis, calling for interviews and interrogation, loss calculation, and reporting. Then it was also concluded that in theory and practice no investigative audit technique was chosen as the most effective technique. Because beforehand forensic accountants need to consider the matters and characteristics of money laundering cases, only then determine which investigative audit techniques will be used.

Forensic Audit: A Case of Automotive Company, Legal and Accounting Aspect

Objective: The purpose of the research is to describe the process and the results obtained in the application of forensic auditing to the administrative accounting management of an automotive company, analyzing the possible risks that affect the sustainability of the organization, as well as the role of the auditor in the assurance of financial information. Theoretical Framework: The purpose of a forensic audit is to validate any potential risk of fraud within an organization, by corroborating findings from an internal audit and starting with a presumption of fraud. It is essential to detect all types of fraud in a timely manner to ensure business continuity. Methodology: Methodology: The study was conducted using a mixed research design, involving both descriptive and analytical approaches, and incorporating qualitative and quantitative variables. It aimed to identify the essential elements required for the development of the case study route, while following the established procedures of the International Standards on Auditing, as well as employing forensic auditing techniques validated by experts. The study was focused on detecting corporate fraud, highlighting areas of interest with respect to the potential risks of fraud, based on the results of internal control measures. Results: The forensic audit revealed that the automotive company engaged in fraudulent activity and the extent of responsibility in its execution. Conclusions: Forensic auditing is a vital tool for companies to detect corporate fraud and minimize financial risks.

Leveraging computer-assisted audit tools for corporate sustainability: Evidence from Ethiopia

The existing ample literature studied the factors for adopting computer-assisted audit techniques (CAATs) by internal and external auditors, frequently ignoring their impact on the quality of audits and companies’ efficiency. This study delivers new evidence on the kinds of CAATs utilized by internal auditors, examines their adoption impact on corporate sustainability, and studies the moderating impact of company characteristics. This study used data from internal auditors in Ethiopia gathered using a survey, and the study hypotheses were tested using the partial least squares-structural equation modeling (PLS-SEM) technique. The study found a moderate utilization of CAATs by internal auditors in executing their activities. The result also revealed a highly positive impact of internal auditors’ CAAT utilization on fraud discovery in the acquisition process. The study found that the intensity of this relationship is impacted by the companies’ characteristics of management commitment. However, the size and type of the company are not impacting it. This study finding complements prior studies and helps practitioners make decisions that can improve CAAT utilization in internal audit functions for a high level of companies’ sustainability.

Visualization and Quantification of the Activities of Animal Vocalizations in Forest Species Using Robot Audition Techniques

Ecoacoustics is a recent ecological discipline focusing on the ecological role of sounds. This study applies robot audition techniques and ecoacoustic methods in the visualization and quantification of forest animal vocalization, focusing mainly on inter-specific interactions between birds and cicadas. We adopt HARK, an open-source robot audition software, which enables us to estimate the direction of arrival of sound sources and their separated sounds using a microphone array unit. We focus on recordings in an experimental forest in Japan, where birds and cicadas dominate the soundscape. Cicada songs were further replayed at a regular interval repeatedly. We create a false-colour spectrogram based on the directions of arrival of sounds to grasp the individual-level dynamics of the soundscape of birds and cicadas in the recording. We further describe a method to classify their vocalizations using three ecoacoustic indices, then illustrate their temporal vocalization dynamics, measured as the total song duration in each time segment. We also conducted a quantitative analysis of their vocal activities to determine if there exist interactions among birds and cicadas, and the effects of replayed vocalizations of cicadas on them. The preliminary analysis implied that there might exist temporal overlap avoidance behaviours between birds and cicadas, and replayed songs of cicadas may reduce the activity of birds. We believe that this proof-of-concept observation and analysis can contribute to the further development of the fine-scale measurement of the biodiversity or habitat quality of environments based on the vocal activities of multiple species, while further detailed analysis is necessary.

Machine Learning Improves Environmental Sustainability: A Teaching Case of Prediction about Scrapping Inventory

<p>As technology evolves and society changes, accounting and auditing students must develop diverse skills, including technical proficiency and critical thinking. Environmental, Social, and Governance (ESG) concerns are increasingly important, driving nations and corporations to take action. Investors prioritize ESG criteria, while consumers prefer eco-friendly products and services. Preventing Greenwashing is important for future auditors. This teaching case high lights the role of accountants in managing E-waste under the Environmental pillar of ESG. Students explore new technologies like Computer Assisted Audit Techniques (CAATs) through hands-on exercises to address these challenges.</p>

The Application of Machine Learning for Creating a Typology of Universities' Financial Models

This study presents an application of machine learning for creating a typology of Russian universities’ financial models. Large-scale national initiatives aimed at enhancing human potential and academic excellence, such as Project 5-100, university-industry consortia, world class research center programs as well as the Priority-2030 program, require relevant financial and management accounting tools enabling appropriate analyses of universities’ contribution to national scientific policy implementation. However, when conventional financial analysis and audit techniques are adopted from the corporate sector, they may prove to be irrelevant for assessing the societal impacts of universities. Existing impact study methods, such as those applied in the Russell Group universities’ impact assessment, are expensive and time consuming, so promising machine learning techniques and existing open data from government information systems were used in this study to assess universities’ financial models.