Unearthing Fraud: Does the Auditor's Training Affect the Discovery of Fraud

The specific problem of interest was to determine if the training experience of an auditor makes a difference in the type or severity of the fraud the auditor discovers. Subjects from the accounting profession were the target population for the sample. Generic qualitative research was the preferred method used to address the problem and answer the research questions. Both surveys and interviews were utilized to assemble data. Two research questions explored the problem: Q1. How do auditors believe that their training in forensic accounting has affected the type and severity of fraud they have discovered? Q2. What courses or topics in their formal education or professional development help auditors to uncover fraud? Six respondents who met the research inclusion criteria, two men, and four females, had a total of 174 years accounting experience. All six had higher education degrees and discovered fraud. Two had fraud examiner certifications. The respondent's related cases of fraud discovered and afforded credit to specific courses for the knowledge to recognize fraud. The most common theme discovered was in the classes identified as important to the discovery of fraud. Six sources answered affirmatively regarding the importance of a class in internal controls followed by classes in basic forensic accounting. The second most common theme concerned the education and the auditor's belief that the training affected the discovery of fraud. Four sources commented that the training was important. Further research recommendations included identifying courses and programs to be deleted, improved, or developed for accounting and auditing majors.