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Expert: Consuelo Herrera, International Accountant and Fraud Examiner - 11/11/2008


Question
Hi, Sir...

When conducting analytical review, what sotware could be of possible use...?

And how much will the ratios be of significant means to an Auditor..?

Answer
Dear Lukas,

Thank you for contacting me.

The CPA Journal Online states that Computer-assisted audit techniques and tools (CAATT) can play a role in enhancing the effectiveness and efficiency of risk-assessment procedures. The key to effectively and efficiently leveraging software applications when assessing risk is to use the software to improve the quality of the audit evidence that forms the basis of the auditor’s judgments about the financial statement risk.

The availability of business analytic software tools has grown over the past several years. ProfitCents, iLumen, and ProSystem fx Profit Driver are examples of business analytic software tools.

Ratios are crucial to an auditor as they uncover facts that cannot be seen in the surface. Ratios tell you the clues on the financial capabilities of an entity to the extent that you can predict if an organization is able to meet its short term liabilities with its own resources or with current assets.

Depending on the type of ratio analyzed you can have a big picture of the organization. Ratios tell about efficiency in the use of assets in an organizations, the earnings per share and total return that investor reach, etc. Ratios speak on behalf or against an organization.

I wish you continued success in your profession.

Sincerely,


Consuelo Herrera, CAMS, CFE

Auditing

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Consuelo Herrera, International Accountant and Fraud Examiner

Expertise

I can answer questions concerning internal and operational auditing, fraud prevention procedures, internal control, the Sarbanes-Oxley Act, COSO control concepts, and management oriented auditing. I would love to provide business-owners with suggestions on how to prevent and detect fraud so that they are proactive in protecting their wealth since the very beginning of their entrepreneurial affairs. I can answer questions to both English and Spanish population. I am very committed to keep my standards up today so I know many resources where I can direct those seeking advice.

Experience

I have rendered services for private companies, profit and non for profit, in two countries. As independent consultant I have provided advice to managers in implementing procedures that streamline their operations and enhance their activities. As a staff accountant in a US CPA firm, I performed regular auditing procedures for different engagements.

Organizations
AICPA (American Association of Certified Public Accountants), ACFE (Association of Certified Fraud Examiners), ACFEI (American College of Forensic Examiners.

Education/Credentials
Bachelors of Sciences in Business Administration – Accounting University of South Florida USF – Tampa Florida Catholic University – Colombia Title earned: Specialist in Tax and Customs Central Foundation University – Colombia Title earned: Certified Public Accountant. On August, 2006 I passed all four sections of the Certified Fraud Exam which tests for proficiency in the following areas: Criminology and Ethics, Financial Transactions, Legal Elements of Fraud, and Fraud Investigation.

Awards and Honors
As employee of Forensic Technology Inc. a Canadian company with locations and sites worldwide, I was the winner of the 2005 President's award in the category of Cost Savings through Efficiency or Innovation granted in January 2006 in Montreal, Canada.

Past/Present Clients
I have provided advice to all kind of companies: manufacturing, service, consulting, non for profit organizations, etc.

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