The research on CPA’s civil liabilities for misrepresentations of financial statements
Date Issued
2009
Date
2009
Author(s)
Liao, Ting-Lien
Abstract
The one after another financial scandals like Enron , and Procomp case not only collapse the faith of mass investors to enterprises, but also put many CEOs, CFOs and even CPAs to legal proceedings. Therefore, the topics of law responsibilities which involve with the inaccuracy of financial statements are highly valued.he operation and financial situation of a company can be shown on financial statements. In public offering market, these statements are crucial tools which investors have to rely on.he correctness of financial information is the responsibility of management level of enterprises. However, the masses usually look into the auditing responsibility of CPAs and confuse the responsibility of compiling with of auditing financial statements. The misunderstanding usually comes from not realizing the nature and content of auditing and takes auditing of CPAs as a guarantee. In fact, CPAs adopt random inspections and material principles restrict the function of auditing. The auditing of a CPA is to confirm if these financial statements reasonably and honestly represent the real operation and financial situation of a company. In other words, to some extend, inaccuracy is accepted in auditing system.ven so, the inaccuracy of financial reports definitely infects decisions of users. A CPA is failed to his/her professional obligation and has indiscretion responsibility if the inaccuracy was not been found. My dissertation is to discuss the standard and scope of the due care of CPAs. The court is still building its standard to judge the negligence of CPAs by accumulating cases which integrate the concept of auditing into the judgment of laws. Especially when proportionate liability is adopted by security exchange law to instead joint and several liability in Taiwan, since there is no need to worry about the excessive responsibility of CPAs, it is worth observing if the court will easily sustain the negligence of CPAs
Subjects
audit work
duty of care
proportionate liability
File(s)![Thumbnail Image]()
Loading...
Name
ntu-98-R94a41025-1.pdf
Size
23.32 KB
Format
Adobe PDF
Checksum
(MD5):0d6e5bc7b0ae93e7705964ac39d9e892