33
views
0
recommends
+1 Recommend
1 collections
    0
    shares

      To submit to the journal, click here

      • Record: found
      • Abstract: found
      • Article: found
      Is Open Access

      Cognitive Decision Process: The Context of Auditors' Diagnostic Reasoning

      1
      Malaysian Management Journal
      UUM Press

      Read this article at

      ScienceOpenPublisher
          There is no author summary for this article yet. Authors can add summaries to their articles on ScienceOpen to make them more accessible to a non-specialist audience.

          Abstract

          Based on a cognitive psychology framework, this article provides an insight into how auditors perform diagnostic reasoning tasks through an analytical review (AR) process. AR refers to the diagnostic process of identifying, investigating, and resolving unexpected fluctuations in account balances and other financial relationships in financial statements. Auditors perfuming AR typically follow four distinct components of a diagnostic, sequential and iterative (DS1) process, namely: mental representation, hypothesis generation, information search, and hypothesis evaluation. Through the DS1 process, auditors are able to recognize and detect errors and irregularities in financial statements for the purpose of presenting a true and fair view of financial reporting, with the intention of communicating quality and reliable economic information of an enterprise to users.  

          Related collections

          Author and article information

          Contributors
          Malaysia
          Journal
          Malaysian Management Journal
          UUM Press
          February 11 2020
          : 3
          : 1-11
          Affiliations
          [1 ]School of Accountancy Universiti Utara Malaysia
          Article
          10.32890/mmj.3.1.1999.8551
          4d15fae4-cc0e-4221-8dd6-030d1b322a4a

          All content is freely available without charge to users or their institutions. Users are allowed to read, download, copy, distribute, print, search, or link to the full texts of the articles in this journal without asking prior permission of the publisher or the author. Articles published in the journal are distributed under a http://creativecommons.org/licenses/by/4.0/.

          History

          Economic development,Management,International economics & Trade,Industrial organization,Business & Corporate economics

          Comments

          Comment on this article