• Journal of the Korea Academia-Industrial cooperation Society
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• v.10 no.4
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• pp.877-886
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• 2009

Since 1982, the auditee have selected the auditor under market mechanism. Under the system on which the auditor have been chosen by client, there have been chances for opinion shopping, etc. To prevent those, some audit regulations have been introduced. Prior studies have documented the positive effect of these audit regulations. Those studies, however, had some limitations which they dealt with just short event period for empirical tests. This study examines the effect of Auditor Turnover Ratio on the Quality of Earnings using a sample of firms that were listed on Korea Exchange(KRX) from 1995 to 2004. The firms that change auditor frequently are expected to have low disclosure quality. The CEO with the incentives to manage or manipulate earnings could accomplish this purpose by replacing existing auditor with more friendly auditor, which could result in eventually lowering earning's quality of the firm. The result of empirical test shows that the accrual quality of firms which have high auditor turnover ratio are significantly lower than those of firms which have low ratio. This result is consistent with our hypothesis that the more frequently a firm changes auditor, the lower the quality of earning is. This evidence might give the implication to policy-making supervisor.

• The Journal of the Korea Contents Association
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• v.15 no.12
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• pp.193-203
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• 2015

This study aims to analyze why South Korea has not used audit system but examination system and suggest policy reform for the system on the institutional context perspective. Institutional context is structured down to institutional legacy, motives, institutional constraints, actors' roles, and changed institution. I researched the literature on the subject and collected research materials from the Department of the Treasury and Audit Office website of New Zealand, Australia, United Kingdom, United States and South Korea. These were analyzed using for suggesting realistic and effective policy. Analysis showed that South Korea has used examination system due to institutional constraints and tried to increase reliability of financial statements by enlarging the meaning of examination, strengthening the ability of the Board of Audit and Inspection, enacting government examination standards, and making a comprehensive public announcement. Comparing with other countries where government audit systems are applied, there are still some vulnerable points in South Korea. In order to make up for the shortcomings, this study suggests several points: strengthening the ability of actors; systemizing internal control; expressing opinion; making a more comprehensive public announcement. It would be desirable for making further detailed studies of the points.

• The Journal of the Convergence on Culture Technology
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• v.7 no.4
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• pp.479-490
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• 2021

As a part of Korean accounting reforms through the improvement of the accounting and audit related systems, the amendment bill of 'Act on External Audit of Stock Compamies's was passed in the Natinal Assembly plenary session in 2017, the amended act has been enforced except some regulations since the business year on November 1, 2018, and all the amended matters will be applied from the business year of 2024. The reasons for auditor designation in 2019 are 'pre-IPO' 331 companies, 220 periodic designation companies, 197 companies that had operating loss for three consecutive years, 112 companies with issues for administration, 108 companies with excessive debt ratio and 66 companies with no auditors. Regarding the reasons for the increase of auditor designation, 475 companies were increased in accordance with the new designation standard by the amended bill of Act on External Audit of Stock Companies, 114 companies were increased due to the abolition of the considered designation system of companies to be listed, and 90 companies were increased based on the increase of listed companies incorporated to issues for administration. In 2020, 462 companies had periodical designation (434 listed, 28 non-listed), adding 242 companies (110%) over a year. In terms of direct designation, 'pre-IPO' accounted for the most (362 companies), followed by '3 consecutive years of operating loss' (245 companies), then by companies with administration issues (133 companies), and CEO & largest sharholder replacement. Regarding the designation of auditors according to accounting firms in 2020, A group that includes(top 4) accounting firms(Samil, Samjeong, Hanyeong, Anjin) had 526 companies(34.6%), which ia an incease of 72 companies from the previous year(454 companies, 37.1%), but the weight decreased by 2.5%.

• Venture DIGEST
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• s.102
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• pp.30-31
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• 2007

최근 미국법정에서는 제프리 스킬링 전 에론 CEO에게 징역 24년 3월이라는 중형이 선고되었다. 그 죄목은 회계부정이었는데 그 논란의 중심엔 스톡옵션이 있었다. 스톡옵션 스캔들은 머큐리 등 미국 굴지의 기업체로까지 번져 나갔고 급기야 미 증권거래위원회(SEC)는 감사에 착수하였다. 경영진은 이른바 "백데이팅(Back dating) 수법을 통하여 스톡옵션 부여시점을 소급함으로써 스톡옵션 차익을 극대화했고 이는 회계부정으로 이어졌던 것이다.

• Korean Business Review
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• v.14
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• pp.31-44
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• 2001

The purpose of auditing is to express an auditor's opinion on the fair presentation of the financial position and business operations of companies according to the financial accounting standards, and to raise the reliability of the financial statements and to enable the user of the financial statements to make a proper judgement on the companies. There should be an audit risk in the audit of the financial statements in a modem sense because it is done by the sampling audit not by the detailed one. Audit risk is the risk that an auditor may unknowingly fail to modify appropriately the auditors' report on financial statements containing a material misstatement. The audit risk eventually hurt the reliability of the financial statements when the auditors set up different audit risks because it is determined by the auditor's professional judgement. Thus, there have been negative opinions on the Audit Risk Model suggested in the SAS No. 47 because it cannot explain the process of auditor's judgement and bring different results. In view of the results so far achieved, which influences the auditor's decision making, should be done by the Belief Function Mode Model in a position of raising the reliability of the financial statements and emphasizing the usefulness and effectiveness of the auditing.

• Defense and Technology
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• no.6 s.220
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• pp.26-33
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• 1997

이 자료는 미국의 감사원 격인 일반회계사무소(GAO)에서 미 상원의 군사업무 획득 및 기술소위원회의 요청에 따라 검토보고한 자료를 인용하였으며 원 보고서의 내용에 충실하고자 보고주체를 원문대로 GAO로 하였다. GAO(General Accounting Office)는 미 입법부내의 독립기관으로 연방정부의 모든 사업에 대해 회계감사, 조사, 감찰 및 평가 임무를 수행하고 있으며, 이들 업무는 국회의 요청이나 GAO에 특별히 임무 수행, 혹은 기본입법소요에 대처하기 위해 이루어지며, 이들의 보고서는 국회의원이나 국회의 각종 위원회의 증거자료로 제공된다.

• Defense and Technology
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• no.5 s.219
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• pp.36-43
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• 1997

이 자료는 미국의 감사원 격인 일반회계사무소(GAO)에서 미 상원의 군사업무 획득 및 기술소위원회의 요청에 따라 검토보고한 자료를 인용하였으며 원 보고서의 내용에 충실하고자 보고주체를 원문대로 GAO로 하였다. GAO(General Accounting Office)는 미입법부내의 독립기관으로 연방정부의 모든 사업에 대해 회계감사, 조사, 감찰 및 평가 임무를 수행하고 있으며, 이들 업무는 국회의 요청이나 GAO에 특별히 임무 수행, 혹은 기본입법소요에 대처하기 위해 이루어지며, 이들의 보고서는 국회의원이나 국회의 각종 위원회의 증거자료로 제공된다.

• Korean Business Review
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• v.4
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• pp.105-121
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• 1991

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.3 no.4
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• pp.43-57
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• 2008

This study investigates the ethical standards of treasurers in the defense industry and explores ways to improve them in order to contribute to businesses' ethical managements. Also, this research examines how the ethical standards of the treasures have an influence on accounting transparency and accounting fraud. This paper deals with two fields, namely, ethical judgment and ethics in different cultures. The former focuses on actions that can occur in various ethical situations of accounting area. The latter shows that the development level of certified accountants’ ethical thinking depends on cultural difference.

• Journal of the Korea Convergence Society
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• v.9 no.3
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• pp.45-51
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• 2018

According to the report, the World Economic Forum predicted that by 2020, more than 5.3 million jobs will be lost. Among them are accountants and tax accountants as well. Accountancy is a professional practice, accounting for management consulting, accounting audit, and management consultancy, and tax accountant duties are a professional profession that carries out duties such as tax returns and tax laws. Therefore, this study proposes a method to build transparent and safe tax and accounting information by increasing the efficiency of tax and accounting work by building a block chaining accounting and tax information suitable for the fourth industrial revolution era.