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PROFILE

IRFAN AAMIR

COLUMN FOR THE RECORD
SOCIETY 1- CREATING JOB OPPORTUNITIES AT COMMUNITY LEVELS
2-
BOOK REVIEW: ADVANCE AUDITING

3- CAPACITY BUILDING IN LOCAL GOVERNANCE

 

BOOK REVIEW: ADVANCED AUDITING


Advanced Auditing: Revised Edition: 2003 by 
Prof. Dr. Khawaja Amjad Saeed, Principal Hailey College of Banking & Finance Constituent College University of The Punjab, published by Institute of Business Management, GPO Box 1164, Lahore, Price 180 pp 588

                                                    
July 28 - Aug 03, 2003
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Prof. Dr. Khawaja Amjad Saeed was the first Chartered Accountant in the history of Pakistan who adopted teaching profession as a full time career. He started teaching in Hailey College of Commerce University of The Punjab Lahore in 1965 and also qualified as a Chartered Accountant in December, 1965 attempt. Besides quality teaching, he has written several books in the area of Auditing, Accounting, Mercantile & Corporate Laws, Financial Reporting, Income Tax Laws, Economy of Pakistan and related areas.

His latest book namely, Advanced Auditing has just been released in the year 2003. Foreword to this book has been contributed by President of the Institute of Chartered Accountants of Pakistan, Karachi. The book consists of thirty chapters supported with various tables, list of forms, table of statutes, list of cited cases. It is also supported with an index to facilitate easy referencing. Contents include Introductory aspects of auditing, audit tasks to be completed before commencement of audit, audit approach, audit planning, controlling an audit, quality control methods and procedures, documentation, audit techniques, internation controls, the auditor of a limited company, audit completion stage, auditor's reports, computer audit, special audit, divisible profit and auditors, professional ethics, liability of an auditor, Internal audit, management audit, cost audit, business investigation, auditing case laws, auditors report forms and code of corporate governance with auditing aspects.

A code of ethics applicable to all Chartered Accountants including practising Chartered Accountants and employed Chartered Accountants has also been included.

The book is a positive response to growing needs of various audits namely internal audit, cost audit, computer audit, special audit and management audit.

There is a lucid explanation to all aspects governing audit. A vide variety of readers can benefit from the book. The book can be used to reinforce sound financial and administrative controls to minimize the incidents of frauds and forgeries. The Chief Executives can inspire CFOs (Chief Financial Officers) to implement the real spirit of financial management. The CFOs can optimally utilize and protect funds of the companies by benefiting from the material included in the book. Management audit can be operationalzed in the light of measures included in the book. Business investigation can be undertaken by following the suggested steps. The external auditors and their staff under training can be enriched from the auditing techniques included in the book. The student pursuing professional level for the examination of the Institute of Chartered Accountants of Pakistan and the Institute of Cost Management Accountants of Pakistan will find reading of the book a rewarding exercise for earning success in their professional level examination. All told the list of beneficiaries can be very comprehensive.

 

 

The book also contains profuse references to International standards on Auditing adopted in Pakistan. Relevant aspects of the directives of the Securities Exchange Commission of Pakistan relating to internal audit, external audit and code of corporate governance have also been nicely reviewed in the book.

The book is recommended to diverse readerships so that financial discipline is enforced and bottom line is beefed up to achieve effective, efficient and economy oriental results of business and industry.

Indeed the author deserves congratulations for his splendid effort in writing the book. It is hoped that his noble effort to produce literature will continute.

Marketing cases with emphasis on internation business Edited by Prof. Dr. Khawaja Amjad Saeed, Cost and Management Accountant, Chartered Accountant, published by Institute of Business Management, GPO Box 1164, Lahore, pp 120.

The traditional method of teaching is the lecture method. The case study method, first developed by law school now used as a powerful tool by business schools and management development for developing analytical skills relating to decision making.

The book is intended to be a text book with business schools for their marketing courses. Edited by Prof. Dr. Khawaja Amjad Saeed, founder Director of the IBA, University of the Punjab, Lahore, who has written a number of books on management, economy of Pakistan, corporate financial reports, mercantile laws, auditing and other subjects relating to financial and cost and management accounting. It contains case studies by 22 scholars, and is divided into four sections. The first section introduces the details of the case study method, the second section the export scene of Pakistan and the third and the fourth give actual cases and teaching notes thereon. A case is a written description of an enterprise, an event or situation containing information about its history, content, problems etc. that are identified and which are then analyzed to arrive at a decision regarding the advisable course of action, or for evaluation and research. It may or may not be taken from a real life situation. It has several advantages over the traditional methods of teaching but also has its limitations in that it is much more time consuming and there is a general lack of trained teachers for the job.

The case study method was first used in 1871 in the teaching of law. The book is self-contained as it gives complete history of the case study method and comprehensive guidelines about how to prepare cases for teaching and research purposes as well as how to analyze the case in both its macro and micro aspects. Several technical tools are needed for case analysis and these include the financial tools of liquidity, solvency and profit ratios and break even analysis, and the project evaluation tools of Return on Investment (ROI), Net Present Value (NPV) and so on. These are enumerated with their formulae, definition and other details. Thus even a Non-professional can at least get an idea of what it takes to appraise business. In Pakistan there are several impediments in the use of case study method e.g. no single institution exists playing a national role in collecting case material, lack of trained teachers and reluctance of firms to make available information lest they be involved in tax evasion, litigation and other problems. Several suggestions have been given in the book, e.g., that a case service institution be set up in Pakistan under the overall supervision of University Grants Commission (UGC) and that enlightened Organizations be approached to provide information for writing and developing cases for study and research purposes. In fact, even the Organizations are likely to benefit from this.

 

 

The case study method not only develops decision making skills but also stimulates learning. However, the students are warned to distinguish between areas where generalizations are possible and where they are not. Section two covers Pakistan's export problems and gives valuable export data. Suggestions on how to increase exports are included. At present Pakistan's main exports are raw materials or low value-added products.

Some of the cases studied pertain to actual firms operating in the manufacturing service construction and other sectors. Should new plants or technology be acquired under a given set of conditions, how to increase productivity, face challenges from competitors, manage change, develop an effective marketing strategy, etc. are some of the questions covered in the case studies. An interesting study pertains to two pipe manufacturers, whose product quality and prices are the same, but one of them have already bribed their way to success and are fully backed by government officials who benefit from their largesse, when they tender for government organizations, their main customers. The question is how the other firm should deal with their competitors in this situation of unethical and unfair competition. Thus most of the cases illustrate a complex interplay of financial, technical, marketing and human relations forces. Most of the cases are about Pakistani industries and other enterprises but some studies pertain to Bangladesh.

Currently Prof. Dr. Khawaja Amjad Saeed is serving as Principal Hailey College of Banking & Finance Constituent College of the University of The Punjab, Old Campus, Lahore.