Write an essay that critically evaluates the impact of an accounting scandal on auditor independence and audit quality.
Pick an accounting scandal from the last ten years and respond to all of the following questions.
1) Identify the nature of any accounting frauds and the underlying auditing issue(s).
2) Why the audit failed to uncover the problem(s) and what might have been done differently.
3) What is meant by “professional skepticism” and discuss with examples from the audit of the case chosen where it should be applied.
4) Discuss the consequences for management and the auditors.
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