B01AUDT317 Auditing Report: Waste Management & Tyco Company Standards

This report provides an analysis of auditing standards with a focus on Waste Management and Tyco Company. It discusses how audit procedures contribute to identifying and mitigating inherent risks faced by companies due to ineffective reporting frameworks. The report highlights changes in audit assurance and assertion tests, auditor independence, professional ethical behavior, and improvements in auditing standards. It considers the increasing complexity of business and the strengthening of auditing compliance programs, leading to increased transparency and a fairer representation of assets to stakeholders. The report references specific audit notes and compliance with accounting and income tax rules, emphasizing the importance of aligning with income tax regulations and relevant accounting standards. It also touches on the role of certified public accountants in certifying financial statements and addressing any discrepancies found in financial reporting programs.

Waste Mangement and Tyco COmpany
Auditing Standards
Audit principles
Name of Author

Executive Summary
With the ramified economic changes, audit assurance and assertion test have been
changed throughout the time. Audit procedure helps in eliminating the inherent risk which
company faces due to the non-effective reporting frameworks. In this report, various parts
have been discussed such as how audit procedures contributed to the collapses, auditors
independences and professional ethical behaviour and improvement that have been taken
place in auditing standards and principles since then. In this report, two companies have been
taken named Tyco and Waste management However, with the increasing complexity of the
business, auditor risk program and strengthen auditing compliance program of company has
resulted to increased transparency of busienss and reflection of true and fair view of their
assets to stakeholders. There have been several changes in the audit standards which need to
be complied by the auditors to increase the transparency of the financial information of
company.

Improvement that have been taken place in auditing standards and
principles since then
Tyco Company- It is the security system company having total revenue of Tyco is US$17.36
billion (Tyco, 2017).
It is evaluated that with the increasing complexity of the business and global financial
landscape has undergone significant transformation which have changed the recording
framework of Tyco Company (Appiagyei, et al. 2016).
The audit reporting program of Tyco Company requires greater transparency in the financial
statement of the company.
Auditor of Tyco Company will give proper audit notes to justify why they gave the qualified
report on the financial statement
In case of contradiction in complying with the accounting and income tax rules for preparing
the financial statement of Tyco Company, auditors will analysis the financial statement by
keeping the income tax rules and ASSB 112 on priority. The income tax rules and regulation
will override the accounting rules in case of conflict. The auditors shall also discuss with the
management the nature and timing of the documents expected to be issued in connection with
the release (Demirel, and Ero, 2016). It is analyzed that as per the changes in the audit
standards, auditors who have identified material inconsistency in other information presented
by the company then auditors will have to include the audit documentation about how the
auditor has addressed the inconsistency
Waste Management
The auditors who will certify the financial statement of Waste Management will need to be
certified public accountant.
Waste Management- It is an American Company having comprehensive waste and
environmental service company the stock price of Company is
WM (NYSE) US$ 82.93 +0.10 (+0.12%) (Waste Management, 2017.

If in case any discrepancies find in Waste Management financial reporting program, on the
basis of the statement or qualified report of the auditors if auditors identify that the audited
financial statements may be materially misstated then the department will respond
accordingly (Waste Management, 2017).
As per the new accounting and auditing standards, each and every auditor will push Waste
Management Company to establish the harmonization in its auditing and reporting
frameworks effectively.
Auditors will also ascertain the financial statement of the Waste Management that there will
not be any materialistic risk in the preparation of the financial statement (Appiagyei,
Djajadikerta , and Xiang, 2016).

References
Appiagyei, K., Djajadikerta , H. and Xiang, E.(2016) Integrated Reporting and Firm
Performance: A Research Framework [online] Available from:
https://www.researchgate.net/publication/320163713_Integrated_Reporting_and_Firm_Perfo
rmance_A_Research_Framework [Accessed 21st May, 2018].
Tyco Company, 2017 .) [online] Available from:
http://www.annualreports.com/Company/tyco-international-ltd., ., ., [Accessed 21st May, 2018]
Waste Management, 2017 .) [Online] Available from:
http://investors.wm.com/phoenix.zhtml?c=119743&p=irol-reportsannual_pf., ., [Accessed 21st
May, 2018]
Demirel, B. and Ero, I.(2016) Investigation of Integrated Reporting As a New Approach of
Corporate Reporting. International Journal of Business and Social Research,6(10),pp. 32-46.