Auditor Reporting Requirements and Other Communication Considerations of Government Auditing Standards

This study aims to analyze the suitability of audit practices in Islamic Banking with existing auditing standards in Indonesia. The unit of analysis in this study is the state-owned Sharia Commercial Bank, namely PT. Bank Syariah Mandiri and privately owned, namely PT. Bank Muamalat Indonesia Tbk. This research uses qualitative methods, using case studies. Data collection was obtained by conducting interviews and analyzing annual reports from 2015 to 2017. The results showed that the audit framework, audit scope, audit quality, audit charter, audit process, and reporting requirements conform to appropriate auditing standards in Indonesia. This study found facts related to sharia auditing in terms of qualified human resources in terms of knowledge of sharia auditing and principles.

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Going GAGAS for due process: examining Yellow Book standard participation

Journal of Public Budgeting Accounting & Financial Management ◽

10.1108/jpbafm-08-2019-0129 ◽

2020 ◽

Vol 32 (2) ◽

pp. 197-216

Author(s):

Renee Flasher ◽

Michelle Lau ◽

Dara M. Marshall

Keyword(s):

Federal Government ◽

Due Process ◽

Stakeholder Participation ◽

Standard Setting ◽

Content Type ◽

Setting Process ◽

The Us ◽

Auditing Standards ◽

Comment Letters ◽

Government Auditing

PurposeThe US federal government requires auditors to follow governmental auditing standards when performing audits of entities expending significant federal government dollars. This study explores stakeholder participation during the comment letter phase of government auditing standard setting to determine if participation is symbolic or substantive.Design/methodology/approachResearchers conduct an analysis of the 179 comment letters submitted to the US Government Accountability Office (GAO) and received for their 2010 and 2017 exposure drafts of government auditing standards.FindingsThe distribution of stakeholder participation groups in the government auditing standard-setting process differs from the distribution in the private company auditing standard-setting process. On average, participants submit letters that are greater than two pages in length. Participants also contribute feedback on topics that the GAO directly solicits. Taken together, the results demonstrate stakeholder behaviors that are consistent with a substantive rather than symbolic due process involvement for government auditing standards.Research limitations/implicationsStakeholder beliefs are inferred based on the observed behavior of comment letter submissions. Also, there is a subjective element to the classification of the comment letters for the study.Practical ImplicationsGiven the far-reaching implications of Yellow Book auditing standards on public, private and nonprofit entities, the findings are relevant to a heterogeneous audience. This study reveals opportunities for users of government auditing standards, practitioners and academics for greater involvement in due process standard setting to bring additional legitimacy to the GAO and its standard-setting activities.Originality/valueBeyond the current study, little empirical research examines Yellow Book auditing standards or the due process through which these standards are established. This is the first study to examine the complete set of comment letters for the 2010 and 2017 exposure drafts of government auditing standards.

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