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I would like you to discuss why DHB’s auditors were unable to prevent them from engaging in fraudulent activities. From an auditing standpoint, what audit procedures should DHB’s auditors have conducted to detect the fraudulent accounting by DHB’s management? One way you can approach this analysis is to identify the fraudulent accounting
actions that occurred at DHB, and discuss the audit procedures that should have been followed to
detect the fraud. You will find some discussion of the omitted audit procedures in the case. Please answer these question from the case. Please, Thanks.ACCT 3596
DHB Industries, Inc.
Case Analysis 2
Due Date: November 7, 2019 (1st version); November 21, 2019 (2nd version)
The suggested outline for the assignment is as follows:
(1) An introduction covering the background information of the case (1-2 paragraphs).
(2) Key issues of the case (about two pages).
Here you would identify and discuss the various accounting fraud that occurred at DHB
Industries, Inc. (DHB). I would like you to discuss why DHB’s auditors were unable to
prevent them from engaging in fraudulent activities. From an auditing standpoint, what audit
procedures should DHB’s auditors have conducted to detect the fraudulent accounting by DHB’s
management? One way you can approach this analysis is to identify the fraudulent accounting
actions that occurred at DHB, and discuss the audit procedures that should have been followed to
detect the fraud. You will find some discussion of the omitted audit procedures in the case.
However, you should provide additional insights based on our class discussions and from other
sources such as your textbook and auditing standards.
(3) Conclusion (1-2 paragraphs)
Include a cover page with your name on it. The report should not exceed three pages (doublespaced with sufficient margins), excluding the cover page. It should be formatted using Times
New Roman 12-point font. Your name should appear on the cover page only (not included in the
page limit). Please do not write your name on any other page.
Please upload your word file on Canvas (in the “Case Analysis 2” folder). Use your last name
with the extension “DHB” to name your file (i.e., lastname.DHB).
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ACCT 3596
DHB Industries, Inc.
Grading Criteria
The assignment will be graded on three dimensions: (1) Content, (2) Structure, Organization and
Development, and (3) Style.
Addresses the topic; provides sufficient textual evidence to
CONTENT
support the argument.
Introduction is present in the paper; includes the summary;
STRUCTURE
indicates how the paper is organized.
Each paragraph includes a topic sentence; develops one main
idea; has a transition sentence, where necessary, linking it to
the next paragraph.
The conclusion recaps the thesis statement and the essay’s
main points; presents a closing statement of the writer’s
position.
ORGANIZATION AND
The entire composition is logically organized; has a solid
argument with supporting evidence.
DEVELOPMENT
Main points are relevant to the thesis statement; are discussed
without too much repetition.
Is concise and precise; is free of misspellings; is free of
STYLE
grammatical mistakes; lacks incomplete sentences; uses correct
punctuation; is free of jargon and clichés; cites references
correctly.
Points will be taken off for the following:
1. Spelling mistakes (-2.5% for each spelling mistake). A spell-check will take care of many
problems but remember that Word will not differentiate (for example) between “its” and “it’s”.
2. Single-spaced manuscript (-20%).
3. Insufficient margins (-2.5% for each margin that is less than 1″. There are twelve margins in a
three-page paper).
4. Different printers used in printing the report (-10%).
5. Page limit exceeded (-1% per line exceeding the page limit).
6. Quotes from the case – more than 1 line. (-2.5% for every extra line repeated from the case).
7. Late submission without valid, documentable excuse (-10% if late by 1 hour, -20% if late by
six hours, and -30% if late by a day). Papers are due at the beginning of class.
8.
Small font size (-10%). For example the font size used for this sentence is not acceptable.
9. Pages not numbered (-5%).
10. Pages not stapled (-1%).
11. File not named according to instructions (-5%).
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