Record Details

Audit Evidence Supporting the Missing Going Concern Opinions: Bankrupt California Public School Districts

Advances in Business Research

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Field Value
 
Title Audit Evidence Supporting the Missing Going Concern Opinions: Bankrupt California Public School Districts
 
Creator Durden, S. Joseph
Sennetti, John; Nova Southeastern University
 
Subject Business; Accounting;
Auditing; Going-concern; Bankruptcy;
 
Description Because of asymmetric payoffs to the auditor, bankrupt local governmental units are unlikely to receive going concern audit opinions (GCOs). To increase this likelihood¸ we propose a framework to increase the evidence to support this opinion. We then apply this to 400 California School District reports, 54 of which were used to declare bankruptcy by 2008. Typically, because of the impending bankruptcy, otherwise reliable State financial information becomes unreliable. We address this and then recommend a GCO in 2008 for thirteen of nineteen districts which eventually went bankrupt. We confirm as available: 1) the missing evidence and provide, and 2) an improved information model demanded by auditing research and practice.
 
Publisher Tarleton State University and the University of Arkansas - Fort Smith
 
Contributor —
 
Date 2012-12-05
 
Type info:eu-repo/semantics/article
info:eu-repo/semantics/publishedVersion
Peer-reviewed Articles
Quantitative/Archival;
 
Format application/pdf
 
Identifier http://journals.sfu.ca/abr/index.php/abr/article/view/88
 
Source Advances in Business Research; Vol 3, No 1 (2012); 79-89
2641-5208
2153-6511
 
Language eng
 
Relation http://journals.sfu.ca/abr/index.php/abr/article/view/88/62
 
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