What is Forensic Accounting?

Forensics, forensic accounting or forensic accountancy is the specialised field practice of accounting which investigates whether companies engage in accounting fraud. Accountants apply a number of techniques and skills to decide whether there has been accounting fraud. Such methods include the examination of company records, interviews with company officials, reviewing financial statements, and the use of a number of other tools such as computer forensics and behavioural science to help establish the facts and circumstances of an accounting transaction. Find assistance with Accountants Stroud at a site like https://www.randall-payne.co.uk/services/accountancy/stroud-accountants/

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In the past, the only way to establish the validity of financial statements and the timeliness of financial reports was to engage the services of a competent and highly skilled forensic accounting firm, who would then perform an in-depth investigation of the financial crimes that had occurred. Today, however, with advances in forensic accounting techniques, anyone can carry out his own investigation of potential accounting fraud, with the help of a computer, a few simple tools, and a willingness to be a little bit patient. Most people will not want to wait for a long time, especially if they could do things differently, before bringing about justice for those who have been wronged.

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One thing you need to understand about forensic accounting is that it is very different from the conventional ways of carrying out investigation and detection of financial crimes. Traditional investigation of financial crime involves using undercover agents, interviewing suspects, running them through police files, tracking down bank statements and more. In these traditional investigations, undercover agents are supposed to report back to law enforcement authorities. With forensic accounting, there is no need to do so. The accountants will merely present findings in an impartial manner to interested parties.