Forensic Accounting

Forensic Accounting

When I hear the word ‘Forensic’ the idea and image of a homicide investigation in which evidence gathered is analyzed at a laboratory to determine ‘who done it’. Shows like CSI, Bones, Law and Order depicts the forensic aspect in their broadcast. Being a registered nurse, another thought comes to mind when hearing the term ‘forensic’. I like to watch Dr. G medical examiner on the Discovery channel. That is a reality show regarding investigative research on how a person died. This is done by performing an autopsy and analyzing the pathological reason for a death to determine if foul play was involved. However, I rarely placed the thought that accounting can have a forensic aspect, too. I was always under the impression that auditors were the forensic accountants. Internal Revenue Agents to audit income tax filings to make sure all income are reported, and deductions have receipts as supporting evidence. Certified Internal Auditors to look at business operations and financial statements within a corporation to make sure internal controls are in place, financial statements are properly recorded, and government regulations have been met. External auditors perform audits for SEC compliance and to attest that the company is in good standings to ensure protection of the public interest. These auditors, in essence, would be able to detect fraud in their job when reviewing audit trails and documentations. Needless to say, I my conception have been construed. There is a whole new field of accounting that is on the rise, which specifically deals with fraud detection. This is called Forensic Accounting. This area sparked my interest.

In this paper, I will elaborate on 1. What is a forensic accounta...

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Bologna, Jack, Lindquist, Robert, Wells, Joseph, & Jones, Peter. (2004). Fraud and corruption in public services. Gower Publishing Company.

Steensma, Stephanie. (2010, August). Forensic accounting vs. auditor [Web log message]. Retrieved from http://www.ehow.com/facts_5929119_forensic-accounting-vs_-auditor.html#ixzz0wFj8if3U

Ness, Eliot, & Hoover, J. (2010, August). Gotcha! How forensic accounting brought about the downfall of Al Capone. Retrieved from http://www.bbforensic.com/blog/gotcha-how-forensic-accounting-brought-about-the-downfall-of-al-capone.html

Interviewing technique for investigations and audits. (2010, August). Retrieved from http://www.aicpa.org/InterestAreas/ForensicAndValuation/Resources/ForensicAcctg/ForensicAccounting/Pages/Interviewing%20Techniques%20for%20Investigations%20a