TOSHIBA'S ACCOUNTING SCANDAL On July 21, 2015, Toshiba (OTCBB:TOSBF) CEO Hisao Tanaka announced his resignation in the face of an accounting scandal tied to about $1.2 billion in overstated operating profits. Details of the scandal emerged the day before when an independent investigative panel released a report describing the accounting improprieties in detail. Improper accounting was found to have taken place over the course of seven years, embroiling two former CEOs in the scandal alongside Tanaka. The investigative report revealed that the CEOs did not directly instruct anyone to cook the books but rather placed immense pressure on subordinates and waited for the corporate culture to tum out the results they wanted An article by: J. WILLIAM CARPENTER Updated Aug 13, 2015 REQUIRED: a) Identify and explain TWO (2) strengths and FIVE (5) weaknesses of Toshiba's internal control. Further discuss the implication and recommendations to address the deficiencies. (40 marks) Based on the case study, explain FIVE (5) audit procedures that the audit team should perform to obtain sufficient and appropriate evidence. (40 marks) b) In accordance to your research for the case study, discuss the effect and damage caused by Toshiba's internal audit department (20 marks) (Total: 100 marks) END OF QUESTION PAPER