DOES PROFILING FRAUDSTERS INCREASE AUDITORS PROFESSIONAL SKEPTICISM? EMPIRICAL EVIDENCE OF NARCISSISTIC PROFILE Darsono, Anis Chariri*, Indira Januarti
Department of Accounting, Universitas Diponegoro
Jl. Prof. Soedarto SH, Tembalang Semarang
*anis_chariri[at]live.undip.ac.id
Abstract
Profiling the psychological characteristics of fraudsters including narcissism is perceived as an important factor for auditors especially with their responsibility for fraud detection. Such profiling should increase auditor^s professional skepticism during brainstorming session. This study aims at investigating the effect of the psychological characteristic of fraudsters especially narcissism on auditor^s professional skepticism. We conduct empirical tests using data from auditors - working at public accounting firms and the Auditor Board of Indonesia (BPK) located in Semarang, Indonesia - who responded to our survey (68 respondents). Data then were analyzed using linear regression. The result indicates that profiling narcissism significantly increases the auditor^s professional skepticism. The finding implies that during the brainstorming session, auditors should increase their skepticism by considering the psychological characteristics of clients beyond the procedural aspects of audit
Keywords: narcissism, profiling, brainstorming, professional skepticism, fraudsters
