The Role of Governance Rules to Improve the Ability of the References to the Discovery of Fraud in the Financial Statements A Field Study of Companies Listed on the Syrian Securities Commission


Abstract in English

This study aims to identify the role played by the rules of corporate governance contribute to the Syrian, in the estimation of the external auditor for the possibility of fraud in the financial statements, and what kind of impact this and any rules more effective. For that it has reviewed the researcher concept of corporate governance, and the concept of fraud in the financial statements, and the responsibility of references appreciation and discovery, according to some international standards and the U.S., has introduced a researcher some previous studies on the relationship between corporate governance and fraud in the financial statements , and to achieve the aim of the research objective knowledge of the role played by corporate governance in the estimation of the external auditor for the possibility of fraud in the financial statements , is designed to form questionnaire includes several cases have been employed to deal with all the hypothesis of the research hypotheses which have been drawn by reviewing previous studies, where the percentage of questionnaires, missed calls 70.97 % showed results study the existence of a positive impact of corporate governance in general and raised the base is different for each of the governance rules independently. The study concludes with some recommendations where the researcher recommended activating governance in companies contributing to Syria through the commitment of all companies listed on the stock and financial markets, the application of the rules of governance well to this application of a positive impact on improving the quality of financial statements, and thus the ability of the external auditor to assess the likelihood of fraud.

References used

Abbott, L. J., & Parker, S. (2000). The Effects of Audit Committee Activity and Independence on Corporate Fraud. Managerial Finance. Vol 26, No (11) pp. 55-67
American Institute of Certified Public Accountants, (2002),Statement on Auditing Standards No.99, "Consideration of Fraud in a Financial Audit", AICPA, New York
Beasley, M, S. (1996), An Empirical Analysis of the Relation between the Board of Director Composition and Financial Statement Fraud. The Accounting Review. Vol 71, no(4) pp 443-465
Carcello,J.v.,& Nagy, A.,( 2004). Client Size, auditor Specialization and Fraudulent Financial Reporting : Managerial Auditing Journal. Vol 19, NO (2) pp.651-668
COSC. (2006). COSO'S Internal Control over Financial Reporting Guidance for Smaller Public Companice Framework. The committee of Sponsoring Organizations of the Treadway Commission

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