THE AUDITOR’S PERCEPTION OF EFFECTIVE RED FLAG FRAUD DETECTION ATTRIBUTES DURING THE EARLY, MIDDLE, AND LATE YEARS OF PROFESSIONAL DEVELOPMENT

Authors

Glen D. Moyes, The University of Texas Rio Grande Valley
Cindi L. Cary
Allen G. Arnold
Asokan Anandarajan

Document Type

Article

Publication Date

Fall 2023

Abstract

This study investigates attributes that influence the effectiveness of red flags used by internal and external auditors to detect financial statement fraud during three different 15-year stages of auditor professional development. These findings categorized auditor professional development into three distinct stages (early, middle, and late). In the early stage, such attributes as those holding certified public accountant (CPA) and certified internal auditor (CIA) certifications, and Master of Business Administration (MBA) degrees influence red flag fraud-detecting effectiveness by auditors. In the middle stage, attributes such as MBA and Master of Accounting (MACC) degrees, prior red flag usage, conferences, in-house training, and prior fraud detection influence auditors’ fraud-detecting effectiveness. In the last stage, gender, CPA and CIA certifications, and income influence auditor fraud detecting effectiveness.

Recommended Citation

Moyes, G., Cary, C., Arnold, A., Anandarajan, A., 2023. THE AUDITOR’S PERCEPTION OF EFFECTIVE RED FLAG FRAUD DETECTION ATTRIBUTES DURING THE EARLY, MIDDLE, AND LATE YEARS OF PROFESSIONAL DEVELOPMENT. Journal of Business and Behavioral Sciences 35, 28–42.

Publication Title

Journal of Business and Behavioral Sciences