Auditing after Sarbanes-Oxley » (1st Edition)

This casebook is intended as a supplement to any primary auditing text, as it helps extend and focus classroom discussions on the impact of Sarbanes-Oxley. It grabs student interest by providing engaging, real- world examples of the auditing environment pre- and post-Sarbanes-Oxley.
The text presents a total of 35 “ripped from the headlines” cases organized within four sections:
1) Ethics and Professional Responsibility (7 cases),
2) Understanding the Client’s Business and Industry (7 cases),
3) Internal Control Systems (10 cases),
4) Audits of Accounts, Processes and Assertions (11 Cases).
This organization closely follows that of most current auditing textbooks, making the cases easy to implement.
In addition to these cases, Appendix A presents seven lengthier, complete company cases giving instructors the flexibility to assign a single case to cover several learning objectives. Appendix B presents financial statements for four of the companies covered in Appendix A.

PREFACE
SECTION 1
ETHICS AND PROFESSIONAL RESPONSIBILITY
Case 1.1
Enron: A Focus on Independence and Ethics
Case 1.2
Enron: A Focus on Quality Assurance
Case 1.3
Waste Management: A Focus on Ethics and Due Professional Care
Case 1.4
WorldCom: A Focus on Professional Responsibility
Case 1.5
Sunbeam: A Focus on Ethics and Due Professional Care
Case 1.6
The Funds of Funds: A Focus on Independence
Case 1.7
The Funds of Funds: A Focus on Client Confidentiality
SECTION 2
UNDERSTANDING THE CLIENT’S BUSINESS AND INDUSTRY
Case 2.1
Enron: A Focus on Fraud and Inherent Risk Assessment
Case 2.2
Waste Management: A Focus on Fraud and Inherent Risk Assessment
Case 2.3
WorldCom: A Focus on Fraud and Inherent Risk Assessment
Case 2.4
Sunbeam: A Focus on Fraud and Inherent Risk Assessment
Case 2.5
Qwest: A Focus on Fraud and Inherent Risk Assessment
Case 2.6
The Baptist Foundation of Arizona: A Focus on Fraud and Inherent Risk Assessment
Case 2.7
The Funds of Funds: A Focus on Fraud & Inherent Risk Assessment
SECTION 3
INTERNAL CONTROL SYSTEMS
Case 3.1
Enron: A Focus on Company Level Controls
Case 3.2
Waste Management: A Focus on Company Level Controls
Case 3.3
Waste Management: A Focus on General Computing Controls
Case 3.4
The Baptist Foundation of Arizona: A Focus on Company Level Controls
Case 3.5
The Funds of Funds: A Focus on Company Level Controls
Case 3.6
WorldCom: A Focus on Internal Controls
Case 3.7
WorldCom: A Focus on InternalAudit
Case 3.8
Qwest: A Focus on Company Level Controls
Case 3.9
Waste Management: A Focus on Top-Side Adjustments
Case 3.10
The Baptist Foundation of Arizona: A Focus on Period-End Financial Reporting Process
SECTION 4
AUDIT OF ACCOUNTS, PROCESSES, AND ASSERTIONS
Case 4.1
Enron: A Focus on Evidence – Chewco Special Purpose Entity
Case 4.2
Qwest: A Focus on Evidence – IRU Swap Transactions
Case 4.3
Enron: A Focus on Revenue Recognition
Case 4.4
Waste Management: A Focus on Capitalization of Expenses
Case 4.5
Waste Management: A Focus on Depreciation and Amortization
Case 4.6
WorldCom: A Focus on Line Cost Accruals
Case 4.7
Sunbeam: A Focus on Restructuring Reserves
Case 4.8
Sunbeam: A Focus on Revenue Recognition
Case 4.9
Qwest: A Focus on Revenue Recognition
Case 4.10
The Baptist Foundation of Arizona: A Focus on Presentation and Disclosure
Case 4.11
Qwest: A Focus on Presentation and Disclosure
APPENDIX A COMPANY CASES
Case A.1
Enron
Case A.2
Waste Management
Case A.3
WorldCom
Case A.4
Sunbeam
Case A.5
Qwest
Case A.6
The Baptist Foundation of Arizona
Case A.7
The Funds of Funds
APPENDIX B
FINANCIAL STATEMENTS
Case B.1
Waste Management
Case B.2
WorldCom
Case B.3
Sunbeam
Case B.4
Qwest
INDEX