TÜREDİ, Hasan İstanbul Ticaret Üniversitesi - Ticari Bilimler Fakültesi - Muhasebe ve Denetim Bölümü, Turkey , ALICI, Ümmügülsüm İstanbul Ticaret Üniversitesi - Sosyal Bilimler Enstitüsü - Muhasebe ve Denetim Bölümü, Turkey

IMPORTANCE OF INTERNAL CONTROL OVER FRADULENT FINANCIAL REPORTING

38338

Financial statement frauds have become one of the major problems of corporate enterprises, especially publicly listed companies since the earliest years of the 21st century. Financial reporting is the basis for all of the shareholders and the other stake holders regarding business decision-making. Therefore; reliability of financial statements regarding being free of any material error or fraud is the major responsibility of managers. However, in the case of management involvement in a fraud, detection of the fraud will be difficult. This problem may be avoided with a successful internal control system in which all the employment levels including management level and all of the activities are closely monitored and controlled. This study aims to address the issues relating to the types, methods and results of financial reporting frauds and explain role of internal control over detection and prevention of financial statement frauds.

119

Financial Statement Frauds , Fraudulent Reporting , Management Frauds , Internal Control System

Journal Of Financial Researches an‎d Studies

133