The Comparison of Fraud Models in Audit Plan Adjustment

Document Type : Research Paper

Authors

1 Ph.D in Accounting, University of Isfahan, Isfahan, Iran

2 Associate Prof. , Department of Accounting, Faculty of Administrative Sciences and Economics, University of Isfahan, Isfahan, Iran

3 Assistant Prof. , Department of Economics, Faculty of Administrative Sciences and Economics, University of Isfahan, Isfahan, Iran

Abstract

The design of the audit plan so that it can be used to adequately respond to fraud risk is one of the most importantDesigning an audit plan that can respond adequately to fraud risks is one of the most important verifying activities of auditors. In this regard, this study compares triangle, Diamond and Pentagon models of fraud in audit plan adjustment. Fraud triangle model introduces pressure/ motivation, opportunity and justification as fraud dimensions. However, the fraud diamond model considers the capability dimension in addition to the three above-mentioned dimensions to assess fraud risk. The fraud pentagon model also considers the arrogance dimension, in addition to the four above-mentioned dimensions. In order to compare these models, an experimental case has been used. The statistical population of the study is certified public accountants in year 2018. The results show that using the fraud diamond model, as compared to the fraud triangle model, and using the fraud pentagon model, as compared to the triangle and diamond models of fraud, lead to more audit plan adjustment.

Keywords

References

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History

  • Receive Date: 02 October 2018
  • Revise Date: 21 January 2019
  • Accept Date: 27 January 2019

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