Al-Baath University Journal, Economic Sciences Series, Al-Baath University 43(19).
ISSN/ISBN: Not available at this time. DOI: Not available at this time.
Note - this is a foreign language paper: ARA
Abstract: This study aimed to know the role of the use Benford's law by the auditors in detecting fraud in the financial statements, through testing the purchase Account (2092 invoice), and application of Benford's law on these invoices by conducting the first digits test in addition to statistical tests Z-Statistic and Pearson correlation coefficient test (r), using both Excel and SPSS. The study found out a number of results as follows: 1) the researcher found out distortions in these invoices, the distortions may be due to frauds or errors discovered by using one of the Benford Law's first-digit, Z-Statistic, and Pearson correlation tests, but the researcher will not have access To all main reasons for these Travesties because of limited access to the details of these bills to see whether they are fake or have been manipulated or that it is due to errors or due to an exceptional event. 2) the value of (Z) 7.04 for the number (4), which confirms the existence of statistically significant differences between The actual probability and probability of the Benford's Law of No.4 which raises doubts the transport department do activities to avoid purchase orders for senior management and splitting the invoices so that the purchase process is done by them directly for reasons that benefit their personal interests. This is contrary to the internal regulations of the institution under study, where these results and doubts were delivered to the senior management of the institution and the internal audit department and those charged with governance to verify these Explanations reached by the researcher. 3) Benford's law is one of the most modern audit techniques that enhance the performance of auditors in the audit process as it is an effective way to detect fraud or errors in financial statements in addition to exposing illegal practices that can be used by employees and managers in companies. 4) The use of Benford's Law helps auditors save time and effort.
Bibtex:
@article {,
AUTHOR = {Hamwi, Khalil and Qurait, Issam Nehme},
TITLE = {The role of using Benford's law in detecting fraud in financial statements: An applied study},
JOURNAL = {Al-Baath University Journal},
YEAR = {2021},
ADDRESS = {Economic Sciences Series, Al-Baath University},
VOLUME = {43},
NUMBER = {19},
PAGES = {},
DOI = {},
URL = {https://search.mandumah.com/Record/1145777},
}
Reference Type: Journal Article
Subject Area(s): Accounting