Behind Closed Doors

This book goes "behind closed doors" to uncover the nature of the relationship between auditors and the finance directors in major listed companies. Based on interviews with finance directors and audited engagement partners of six firms, the book uncovers both sides' perceptions of how contentious and non-contentious issues are resolved. New insights are provided about the workings of the audit process itself, how negotiation is conducted, and the personal relationships and balance of power between the auditors and the board of directors.

This book goes "behind closed doors" to uncover the nature of the relationship between auditors and the finance directors in major listed companies. Based on interviews with finance directors and audited engagement partners of six firms, the book uncovers both sides' perceptions of how contentious and non-contentious issues are resolved. New insights are provided about the workings of the audit process itself, how negotiation is conducted, and the personal relationships and balance of power between the auditors and the board of directors.

Booknews

Drawing on interviews with finance directors and auditors involved in interactions at six UK public companies, Beattie (U. of Stirling) and her co-authors (U. of Portsmouth) analyze the factors<-->from technical issues to human relationships<-->that influence the nature and outcome of audit activities. Their study outlines the extent of the effort that goes into finalizing the financial statements of a publicly listed company, an effort that's largely invisible to members of the public who rely on the financial statements to present a true and fair view. The work also looks at the impact that the auditor has on "earnings quality." Annotation c. Book News, Inc., Portland, OR (booknews.com)

Vivien Beattie is Professor of Accounting at the University of Stirling. She has published over thirty research articles and reports, as well as contributing regularly to professional journals. Her main research interests are external audit and business reporting. She is a member of the UK Accounting Standard Board's Academic Panel. She is also a panel member for Accounting and Finance in the 2001 UK Research Assessment Exercise being undertaken in the UK.

Stella Fearnley is a Reader in Accounting in the Department of Accounting and Management Science, University of Portsmouth and was formerly a senior technical manager at Grant Thornton. Her main research interests are external audit and accounting regulation, and she has published widely on these topics. She is an elected member of the Council of the Institute of Chartered Accountants in England and Wales, being Deputy Chair of its Centre for Business Performance.

Richard Brandt is a Research Fellow in the Department of Accounting and Management Science, University of Portsmouth. He was previously Head of Audit at Grant Thornton for nine years, and is a former member of the Urgent Issues Task Force. He is editor of the 2000-2001 edition of Auditing and Reporting, published by ABG Professional Information.