You are going to discuss two different examples of ethical dilemma auditors can face. The first one is a fictitious case, “If You Need Love, Get a Puppy.” Read the case (ignore the questions on the last page). The second one is an insider trading case involving an audit partner named Scott London, a scandal that actually happened. Follow this link to listen to the case.
As you can see in the examples above, auditors are likely to face various types of threats to independence. In an initial post, please respond to following:
- “If You Want Love…” Case: I 1) How do you think is the title of the case relevant to the situation described in the case? 2) dentify one or more ‘threats to independence’ (discussed in Module B of the textbook) relevant to the situation.
- Scott London Case: While “If You Want Love..” depicts a common ethical dilemma auditors can face, Scott London case is rather unique. Discuss what surprised you about this case.
- Discuss factors that affect auditors’ decisions/actions in an ethical dilemma and why it can be difficult to do the right thing.
*Note: Please use the two references that I wrote.