Forensic Accounting

Catalog description

Study of investigative accounting, consulting and litigation support activities undertaken in forensic accounting engagements. ACCTG 483 Forensic Accounting (3) ACCTG 483 is the exploration of the broad discipline known as "forensic accounting" which includes a variety of investigative accounting, valuation, damage assessment and litigation support services. Forensic accounting is an evolving discipline which is distinguished from assurance services in that it does not involve reporting on the fairness of financial statements. It generally involves the investigation and analysis of financial data for some specific purpose - obtaining an in-depth understanding of information that enables the forensic accountant to prove, disprove or at least confidently speculate about allegations related to the information and to report those findings objectively. Forensic accountants are involved in presenting analyses that might be valuable for such things as settling legal disputes, calculating economic damages, valuing intellectual property, determining the extent of damage or loss due to fraud, or tracing elusive assets or revenue sources. A forensic accountant might also participate in pro-active engagements such as the development of systems and procedures to prevent fraud. The first part of the course deals with the technical and ethical framework of forensic accounting and focuses on the understanding of forensic and investigative accounting including investigation methodology, the nature of fraud, fraud risk factors, financial statement fraud, litigation support and dispute resolution services and development of the skills needed in those professional activities. These skills include the ability to integrate knowledge of accounting, finance, economics, business law and other business disciplines in gathering, analyzing and evaluating evidence and drawing conclusions. The second part of the course focuses on forensic accounting investigation and analysis of financial information in connection with litigation, dispute resolution, estimation of economic damages, or other specific objectives, and the preparation of comprehensive, objective reports of findings and conclusions.