Title A Practical Guide to the Art of Internal Audit, 2/e
Author Ahmed M. Abo-Hebeish
ISBN 9781516527861
List price USD 99.95
Price outside India Available on Request
Original price
Binding Paperback
No of pages 304
Book size 153 x 229 mm
Publishing year 2019
Original publisher Cognella Academic Publishing (Eurospan Group)
Published in India by .
Exclusive distributors Viva Books Private Limited
Sales territory India, Sri Lanka, Bangladesh, Pakistan, Nepal, .
Status New Arrival
About the book Send Enquiry


A Practical Guide to the Art of Internal Audit provides a complete framework of the internal audit process. The book is designed to be used as a guide, giving college students and those seeking a career in internal audit a road map for conducting successful, real-world audits.

The information is presented from the standpoint of the practitioner and emphasizes the “dos” and “do nots” of the process. Readers will learn how to plan and prepare for an internal audit, how to conduct the initial interview, and how to successfully create and implement audit programs.

The book also explains how to perform the actual audit, including collecting and organizing evidence. Students learn about proposing improvements during the exit audit conference, following up on audit corrective actions, and implementing internal control systems such as deviation reporting. The book pays particular attention to the behavior of the auditor and communicating successfully with the auditee.

Unlike many texts, which address internal auditing in a single chapter, A Practical Guide to the Art of Internal Audit gives readers a comprehensive introduction to the subject. The book is written for university-level accounting courses and in depth discussion of internal control systems.


Chapter 1: Introduction • Introduction to the book • Introduction to internal audit • Internal audit is an art • The meaning of art • The meaning of “audit” • Internal and external audit • Internal audit • External auditing • Internal versus external audit • The history of internal audit • Other issues with auditing • Internal auditor’s responsibilities • Assurance and consulting • The different types of audit • Forensic accounting/audit • Compliance audit • Operational audit • The author’s position • Introduction to teaching future auditors: innovation in education • The perception of the word “audit” • The characteristics of a great auditor • Endnotes

Chapter 2: Planning and Preparing for the Audits • Introduction • Selecting areas to be audited • Two approaches to auditing • The author’s position • The dual responsibilities • Prioritizing selections of audited subjects • Risk-based audit • Preliminary steps preparing for the audits • Establish assignments • Issues related to the assignments • Pre-internal audit conference • Studying and analyzing information • Special considerations • Considerations for foreign culture • Considerations for legal matters • Endnotes

Chapter 3: Conducting the Entrance Audit Conference • Introduction • The notice of audit • The auditors’ presentations • Requests and unexpected questions/situations • Presenting audit steps

Chapter 4: Auditors’ Appearance and Behavior • Introduction • General issues • Auditors’ appearance • Behavioral issues • The art of asking a question • Raising questions • The proper method of noting answers • Auditor’s reaction to doubtful answer • Asking a question versus questioning the auditee • Using pictures as evidence • Auditor’s verbal communication • Body language • Endnotes

Chapter 5: Preparing and Using the Audit Program • Introduction • Background • Types of audit programs • Financial audit program • Managerial/operational audit program • The legality of the audit program • Objectives of the audit program • Example of the custodial services audit report • Components of the audit program • Exceptions to the rules of the audit program • Endnotes

Chapter 6: Performing the Field Work • Introduction • Additional general points to be observed • Audit sampling • Multi-system audits • Audit report and command media (procedures) • Performing analysis • Flowcharting the process under audit • Preliminary audit findings • Collecting and organizing evidence

Chapter 7: Exit Audit Conference • Introduction • Issues related to the exit audit conference • Supporting evidence • Proposing improvements • Corrective actions

Chapter 8: The Audit Report and Related Follow-Up • Introduction • Designing the audit report • Main components of an audit report • Arbitration in auditing • Other issues related to the audit report • The process of corrective actions follow-up • Retention of auditing documentations • Endnote

Chapter 9: Internal Control Systems • Introduction to “control” • Definition of “control” • External versus internal controls • Elements and objectives of internal control systems • First: Role predetermination (standards) • Second: Communication • Third: Performance • Fourth: Deviation reporting • Fifth: Corrective actions • Management control • History of internal control • The American Institute of Certified Public Accountants (AICPA) • The foreign corrupt practices act • Security and exchange commission (THE SEC) • Committee of sponsoring organizations (COSO) • The Sarbanes-Oxley act (SOX) • The role of internal auditing • Internal control questionnaire (ICQ) • Internal control questionnaire—accounts receivable • Adequacy of internal control systems • Preventive and detective control systems • Administrative controls • Endnotes

Chapter 10: Auditor’s Independence And Outsourcing • Internal auditors independence • Introduction • The AICPA ruling • Internal auditors independence • The window dressing • Reporting to the audit committee • The UK position • The author’s position • Outsourcing and co-sourcing • Introduction • Grouping the types of outsourcing • Outsourcing internal audit functions • A UK company’s opinion • Internal auditors’ opinions • The author’s position • Outsourcing and co-sourcing other functions and their impact on internal auditors • Internal audit restrictions • Endnotes

Chapter 11: Fraud, Irregularities, and Materiality • Definitions of fraud, irregularity, corruption, and negligence • Fraud indicators • Fraud indicators in procurement • Introduction • General comments • Fraud and the auditor • It is beyond the auditor’s professional responsibility • Procurement situation that is ripe for fraudulent activities • Fraud triangle • The author’s position • Materiality in auditing • Introduction • The external auditor and materiality • The internal auditor and materiality • A case from the real world • Lesson learned • In summary • Endnotes

Chapter 12: Enterprise Risk Management (ERM) Avoidance, Detection, and Prevention • Introduction • Definitions • COSO perspective • Perspective of the institute of internal auditors (IIA) • Risk-based internal audit (RBIA) • The author’s perceptions of enterprise risk management (ERM) • Risk avoidance, detection, and prevention • Administrative control systems and risk assessment • Summary • Endnotes

Chapter 13: The Auditor’s Ethics • The Importance of Auditors’ Ethics • Definition and the Meaning of Ethics • Embrace Business’ Established Roles and Responsibilities • The Role of Managers • Judgment • Introspection • Courage • Report Unethical Behavior • Confidentiality • The Auditor’s Professional Ethics • Personal Ethics vs. Professional Ethics • Ethical Conflicts • Ethical Considerations in Foreign Countries • Ethics and Professional Ethics • The Internal Auditor’s Professional Ethics • How Should Professional Ethics Be Influenced by Culture, Society, Religion, or Industry? • How Concepts and Rules are Impacted by the Difference in Culture, Country, Religion, and Social Setup of the Auditee’s Environment and Industry • Conclusion • References • Endnotes


About the Author:

Ahmed Abo-Hebeish is a graduate of Ain Shams University in Cairo, Egypt and California State University, Northridge. Currently, Professor
Abo-Hebeish teaches accounting courses at the University of California, Los Angeles. He is a Certified Public Accountant who has over 25 years experience conducting internal audits in the aerospace industry including work with Northrop Grumman and Lockheed Martin. He has published on various accounting issues in both English and Arabic-language journals and has been a regular presenter at the American Accounting Association’s national conferences.

Target Audience:

The book is written for university-level accounting courses and in depth discussion of internal control systems.  This book is intended for students who are taking a course on internal audit and those who are in the process of changing careers to the profession of internal audit. 

Special prices are applicable to the authorised sales territory only.
Prices are subject to change without prior notice.