Generally, the paper "How Audit Profession Has Arrived at the Position Where It Is Constantly Criticised" is a great example of a finance and accounting assignment. The audit profession has been criticized and it mainly faced criticism during the period of global financial crisis prevailing in the economy. The profession faced criticism highlighting the loopholes related to the fundamental purpose for conducting external audit and analyzing whether the information included in the financial report reveals the financial position of the company. Discussion1. How audit profession has arrived at the position where it is constantly criticised? The need and the requirement of conducting the consolidated and the annual accounts of the companies that are mainly audited by the qualified audit professional which is introduced and Formulated for the whole community by the accounting directives and the audit report is designed and prepared with the intention and aim of protecting and safeguarding the interest of the public.
The assurance that is provided by the auditor through the preparation of their report is to develop and enhance the confidence of all the interested parties of the respective companies.
The rise and the increase in the transparency developed from harmonizing the financial information that is mainly published and released by the respective companies together with the rise in the reliability of the information due to the audit that is conducted by the qualified and the independent professional who are regarded and considered as the important and the main contributor (Gupta, 2004). The aim and objective of the auditor are mainly dynamic rather than static in nature. Tesco was compelled to write off its profit of around 263 million pounds which is followed by an internal investigation.
That has initially miss stated and manipulated its profit of the half-year by around 250 million pounds. PWC has provided a clear bill highlighting the recent annual report of the commercial income where it was observed that PWC has overstated the profit of Tesco. PWC has warned and revised in the previous year from the annual report of the company that is subjected to the risk of manipulation.
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