Forensic Accounting and Decision Making: A Case Study Analysis

This research proposal examines the importance of forensic accounting in today's world, particularly its role in supporting decision-making, using a case study on Crawford Forensic Accounting. The report outlines the background of forensic accounting, defining it as the application of auditing, examining, and investigating skills to analyze financial data for legal proceedings. It presents research questions and objectives, including determining the significance of forensic accounting, differentiating it from auditing, understanding its role in fraud prevention, and its connection to corporate finance and financial crimes like tax evasion. Key terms like 'forensic,' 'accounting,' 'auditing,' 'corporate finance,' and 'tax evasion' are defined. The proposal references articles by Riley (2019), Brian Lafountain (2016), Mark J. Nigrini (2018), and Tommie W. Singleton (2010), highlighting the benefits of forensic accounting such as minimizing losses and avoiding legal problems. Ethical considerations are also addressed, emphasizing the importance of voluntary participation and the avoidance of harm to participants. The proposal concludes with a list of references, including books and online resources, to support the research.

Research Proposal

Table of Contents
Research Topic and Title.................................................................................................................1
Background of the research.............................................................................................................1
Research Questions and Research Objectives.................................................................................1
Keywords used in literature review.................................................................................................2
Publication details of four main articles..........................................................................................3
Ethical Consideration.......................................................................................................................4
References........................................................................................................................................5

Research Topic and Title
To understand the importance of Forensic Accounting in the present world that support in
decision-making. “ A case study on
Aim
“To obtain the detail understanding about the importance of Forensic Accounting in the real
world”. A case study on Crawford.
Background of the research
In accounting term the concept of forensic accounting is related with using of auditing,
examining, investigating and accounting skills that are needed for conducting an analyses within
finance related terminology of a business and individual. It usually provide the elaborated
analysis that are actually consider suitable for conducting any legal proceeding. The most
important role of an accountant is to view behind the digits and make effective strategies to cop
up with the business related issues and circumstance. Forensic accounting licensed professionals
to generate results that are used in judicial proceedings regarding corruption, tax fraud and
economic conflicts.
Crawford Forensic Accounting services is leading company of Australia that use to
provide valuable services that is related with integrated solution for the companies as well as
insurer and re-insurer market. Company use to provide there services in different nation such as
Australia, New Zealand, Asia, Middle East and Africa and some part of America and Canada.
Research Questions and Research Objectives
A research goal is a straightforward, descriptive, declarative declaration that offers
guidance for investigating the models under study. The main objective of this particular research
are discussed below:
 To ascertain the significance of Forensic Accounting.
 To determine the difference between forensic accounting and auditing.
 To figure out role played by Forensic Accounting in preventing/tackling accounting
frauds.
 To find out the connection of Forensic Accounting in Corporate Finance?
1

 To Estimate About Forensic Accounting and it Relationship with Tax Evasion and Any
Other Financial crimes.
Research Question:
A research question is an accountable investigation into a particular problem or
consideration that is treated to be the first phase. The vital question related with the project are:
1. What is main significance of forensic accounting?
2. Evaluate the difference among auditing and forensic accounting?
3. What is the major role played by Forensic Accounting in preventing accounting frauds
within companies?
4. What is the relevance of Forensic Accounting in Corporate Finance?
5. Critically discusses about forensic accounting and it relationship with tax evasion and any
other financial crimes?
Keywords used in literature review
 Forensic: It is mainly related with application of meaningful methods and techniques
which are used by research in investigating of major crime.
 Accounting: This is define as process of measuring, processing and communicating of
financial and non-financial information related with companies.
 Auditing: It mainly related with evaluating and examining of crucial financial statements
that interpret that each and every document is fairly and accurately prepared.
 Corporate finance: This is the financial department that operates with funding choices,
capital streamlining decisions and investment choices.
 Tax Evasion: It is related to be an illegal activity that is attempted by an individual or
business firm to avoid paying actual tax liability.
Publication details of four main articles
According of Riley, 2019, forensic accounting pertains to a strategy that collects,
monitors, studies and analyses financial data and co-financial information for the main purposes
of detecting fraud. In present time the importance of forensic accounting is becoming wider as
there are number of benefits that are as follows:
2

Minimised Losses: It help to reduce or decrease the unnecessary loss or any fraudulent
activity or financial variance which usually increase cost of company forcing to involve
extraordinary amount of money into business operation.
Improved Efficiency: Reviewing and investigate present financial procedures and norms
that can assist identify more efficient and effective alternatives. It focuses to determine the actual
problems and crucial areas of improvement that are advantages for companies.
Avoidance of Legal Problems: Forensic accounting could be used to prevent such
situations by both stopping illegal activity and tampering with any issues identified in the
starting.
In the opinion of Brian Lafountain, 2016 forensic accounting is a specific accounting
technique that relies on a specific strategy and technique for identifying economic fraud. It
consists of a collection of examinations and processes performed in accordance with usually
accepted audit norms. These norms enable auditors to schedule and conduct the audit in order to
achieve sensible certainty that the financial statements are safe from any type of errors. In actual
term it is related with an legal and detail opinion on the financial statements. On the other side
the Characterized as the use of accounting abilities to explore fraud or misappropriation and to
evaluate economic data for lawful use in context of respective company.
As per the viewpoint of Mark J. Nigrini, 2018, forensic accounting is a specific
accounting method that describes obligations arising from actual or anticipated disputes or
litigation. There is a major role of forensic accounting in detecting and preventing fraud and
other mistake by following systematic step such as, accountant at very first use to plan about
investigation, then gather meaningful evidence related with problem, report the entire finding
and most important dealing with possible court proceeding.
According to Tommie W. Singleton, 2010, forensic auditing is being used to identity
theft and fraud and to understand the complexity and length of any economy's monetary frauds.
The purpose of conducting is to understand the Corporate Finance importance for forensic
accounting. Therefore, it focuses on both the proof of financial transaction and documentation as
stored in an accounting system as well as the framework that enables such proof to be
appropriate for accounting and valuation applications.
3

Ethical Consideration
It is defined as the most important and crucial part of research that have a major wattage
such as in case if it is missing than particular investigation could be failed. It mainly means that
voluntary participants must effectively take part in research and researcher must take care that
feeling of any participants must not be affected. The literature of research ethics codes in certain
fields and bookkeeping researchers' ethical commitments are examined in this article. To
stimulate debate on ethical problems in accounting studies, a provisional code of ethics is
provided.
4

References
Books and Journals:
Tommie W. Singleton, 2010. Fraud auditing and forensic accounting (Vol. 11). John Wiley &
Sons.
Online
Importance of Forensic Accounting. 2019. [Online] Available Through:
<http://www.accountingweb.com/technology/trends/the-csi-niche-aicpa-boosts-forensic-
accounting>.
According to Brian Lafountain. 2016. [Online] Available Through:
<https://www.bonadio.com/news-events/articles/financial-statement-auditing-vs-
forensic-accounting-auditanalysis>.
According to Mark J. Nigrini. 2018. [Online] Available Through:
<https://www.journalofaccountancy.com/issues/2018/may/fraud-round-numbers.html>
5