Skip to content
Back to outputs

The application of business risk audit methodology within non-Big-4 firms

Research output: Contribution to journalArticle

Standard

The application of business risk audit methodology within non-Big-4 firms. / Kutum, Imad; Fraser, Ian; Hussainey, Khaled.

In: Journal of Financial Reporting and Accounting, Vol. 13, No. 2, 10.2015, p. 226-246.

Research output: Contribution to journalArticle

Harvard

Kutum, I, Fraser, I & Hussainey, K 2015, 'The application of business risk audit methodology within non-Big-4 firms', Journal of Financial Reporting and Accounting, vol. 13, no. 2, pp. 226-246. https://doi.org/10.1108/JFRA-03-2014-0015

APA

Kutum, I., Fraser, I., & Hussainey, K. (2015). The application of business risk audit methodology within non-Big-4 firms. Journal of Financial Reporting and Accounting, 13(2), 226-246. https://doi.org/10.1108/JFRA-03-2014-0015

Vancouver

Kutum I, Fraser I, Hussainey K. The application of business risk audit methodology within non-Big-4 firms. Journal of Financial Reporting and Accounting. 2015 Oct;13(2):226-246. https://doi.org/10.1108/JFRA-03-2014-0015

Author

Kutum, Imad ; Fraser, Ian ; Hussainey, Khaled. / The application of business risk audit methodology within non-Big-4 firms. In: Journal of Financial Reporting and Accounting. 2015 ; Vol. 13, No. 2. pp. 226-246.

Bibtex

@article{450658f55b964f98acfbd17fc898d1d5,
title = "The application of business risk audit methodology within non-Big-4 firms",
abstract = "Purpose – This paper aims to explore the application of the business risk audit (BRA) approach within non-Big-4 audit firms in the USA, the UK and Canada. This paper focuses on the motivation for adopting this approach for non-Big-4 audit firms in the three countries, and the advantages, disadvantages and aftermath of applying this method. Design/methodology/approach – A combination of qualitative and quantitative methods to obtain the data necessary to address the research questions was used. Findings – It is found that non-Big-4 audit firms in the three countries have adopted BRA; their motivation was primarily to follow the standards in each country, and the general trend in the industry. The advantages identified are consistent with previous research; a direct benefit was noted for audit effectiveness and risk management for both clients and auditors. One major disadvantage of applying BRAis the cost burden to both the audit firm and their clients. Some of the interviewees claimed that this method is better suited to large firms and large audits. Originality/value – This is an innovative study that addresses a contemporary auditing issue. The majority of the audit research studies concentrate on the big audit firm practices; this study is the first to examine the application of audit practices within smaller audit firms. ",
keywords = "external audit, financial reporting, accounting, auditing",
author = "Imad Kutum and Ian Fraser and Khaled Hussainey",
note = "EMBARGO 24 mth ",
year = "2015",
month = oct,
doi = "10.1108/JFRA-03-2014-0015",
language = "English",
volume = "13",
pages = "226--246",
journal = "Journal of Financial Reporting and Accounting",
issn = "1985-2517",
publisher = "Emerald Group Publishing Ltd.",
number = "2",

}

RIS

TY - JOUR

T1 - The application of business risk audit methodology within non-Big-4 firms

AU - Kutum, Imad

AU - Fraser, Ian

AU - Hussainey, Khaled

N1 - EMBARGO 24 mth

PY - 2015/10

Y1 - 2015/10

N2 - Purpose – This paper aims to explore the application of the business risk audit (BRA) approach within non-Big-4 audit firms in the USA, the UK and Canada. This paper focuses on the motivation for adopting this approach for non-Big-4 audit firms in the three countries, and the advantages, disadvantages and aftermath of applying this method. Design/methodology/approach – A combination of qualitative and quantitative methods to obtain the data necessary to address the research questions was used. Findings – It is found that non-Big-4 audit firms in the three countries have adopted BRA; their motivation was primarily to follow the standards in each country, and the general trend in the industry. The advantages identified are consistent with previous research; a direct benefit was noted for audit effectiveness and risk management for both clients and auditors. One major disadvantage of applying BRAis the cost burden to both the audit firm and their clients. Some of the interviewees claimed that this method is better suited to large firms and large audits. Originality/value – This is an innovative study that addresses a contemporary auditing issue. The majority of the audit research studies concentrate on the big audit firm practices; this study is the first to examine the application of audit practices within smaller audit firms.

AB - Purpose – This paper aims to explore the application of the business risk audit (BRA) approach within non-Big-4 audit firms in the USA, the UK and Canada. This paper focuses on the motivation for adopting this approach for non-Big-4 audit firms in the three countries, and the advantages, disadvantages and aftermath of applying this method. Design/methodology/approach – A combination of qualitative and quantitative methods to obtain the data necessary to address the research questions was used. Findings – It is found that non-Big-4 audit firms in the three countries have adopted BRA; their motivation was primarily to follow the standards in each country, and the general trend in the industry. The advantages identified are consistent with previous research; a direct benefit was noted for audit effectiveness and risk management for both clients and auditors. One major disadvantage of applying BRAis the cost burden to both the audit firm and their clients. Some of the interviewees claimed that this method is better suited to large firms and large audits. Originality/value – This is an innovative study that addresses a contemporary auditing issue. The majority of the audit research studies concentrate on the big audit firm practices; this study is the first to examine the application of audit practices within smaller audit firms.

KW - external audit

KW - financial reporting

KW - accounting

KW - auditing

U2 - 10.1108/JFRA-03-2014-0015

DO - 10.1108/JFRA-03-2014-0015

M3 - Article

VL - 13

SP - 226

EP - 246

JO - Journal of Financial Reporting and Accounting

JF - Journal of Financial Reporting and Accounting

SN - 1985-2517

IS - 2

ER -

ID: 4588582