An empirical study of the audit expectation gap in fraud detection : a Singapore perspective

Abstract

The audit expectation gap has been a much researched issue in the face of increasing number of litigation against auditors. This empirical study analyzes the expectation gap in fraud detection between auditors and informed users of financial statements i.e. financial analyst in five areas in the Singapore context: (i) general knowledge of the role of the auditor; (ii) specific knowledge of the content of an audit; (iii) auditing standards issues; (iv) auditor performance; and (v) management's and director's responsibility for fair financial statements.