This document discusses the history and development of auditing from its origins to modern practices. It covers:
- The evolution of auditing from simple record-keeping to fraud detection coinciding with the Industrial Revolution.
- The professionalization of auditing in the 20th century with standardized reporting practices and the emergence of auditing firms.
- Key events that increased challenges for auditors like the Enron and Worldcom scandals, requiring stricter independence from clients.
- The globalization of auditing standards through organizations like the IAASB and IFIAR working to increase quality and consistency worldwide.
Delitos financieros es una gran área de investigación política y social e incluyen una variedad de conductas ilícitas que deben ser aisladas y tratadas como delitos discretos. Las operaciones financieras, sin embargo, pueden causar daño aun cuando no poseen carácter penal, como han demostrado los acontecimientos relacionados con la crisis bancaria de 2008. Este artículo se refiere a dos tipologías; es decir, con comportamientos nocivos ilícitos y lícita adoptada por los actores financieros. En la primera sección, el trabajo se centra en las medidas propuestas o adoptado en respuesta a la crisis de 2008 en el Reino Unido. Esto es seguido por la presentación de una serie de casos recientes demuestra que, a pesar de los recientes esfuerzos regulatorios, grandes lagunas todavía presentes que permiten formas de delitos financieros para prosperar.
Delitos financieros es una gran área de investigación política y social e incluyen una variedad de conductas ilícitas que deben ser aisladas y tratadas como delitos discretos. Las operaciones financieras, sin embargo, pueden causar daño aun cuando no poseen carácter penal, como han demostrado los acontecimientos relacionados con la crisis bancaria de 2008. Este artículo se refiere a dos tipologías; es decir, con comportamientos nocivos ilícitos y lícita adoptada por los actores financieros. En la primera sección, el trabajo se centra en las medidas propuestas o adoptado en respuesta a la crisis de 2008 en el Reino Unido. Esto es seguido por la presentación de una serie de casos recientes demuestra que, a pesar de los recientes esfuerzos regulatorios, grandes lagunas todavía presentes que permiten formas de delitos financieros para prosperar.
The Offshore Financial Centres - Conceiling the beneficial ownerFrank Erkens
Faced with the threat that the public may lose its confidence in the financial world, the international community has decided to uncover the numerous disguises used by criminals. This two-part series focuses on a number of important disguises, and the initiatives taken to resolve the problem of the concealment of beneficial owners. In the first part, we will look at the Offshore Financial Centres. This two-part series centres around the US legislative proposal HR3886. The aim of this legislative proposal is to facilitate the identification of the beneficial owner. Of course, the question remains whether this aim will be achieved or whether, as it appears now, the problem will simply relocate.
The Offshore Financial Centres - Conceiling the beneficial ownerFrank Erkens
Faced with the threat that the public may lose its confidence in the financial world, the international community has decided to uncover the numerous disguises used by criminals. This two-part series focuses on a number of important disguises, and the initiatives taken to resolve the problem of the concealment of beneficial owners. In the first part, we will look at the Offshore Financial Centres. This two-part series centres around the US legislative proposal HR3886. The aim of this legislative proposal is to facilitate the identification of the beneficial owner. Of course, the question remains whether this aim will be achieved or whether, as it appears now, the problem will simply relocate.
Securing your Kubernetes cluster_ a step-by-step guide to success !KatiaHIMEUR1
Today, after several years of existence, an extremely active community and an ultra-dynamic ecosystem, Kubernetes has established itself as the de facto standard in container orchestration. Thanks to a wide range of managed services, it has never been so easy to set up a ready-to-use Kubernetes cluster.
However, this ease of use means that the subject of security in Kubernetes is often left for later, or even neglected. This exposes companies to significant risks.
In this talk, I'll show you step-by-step how to secure your Kubernetes cluster for greater peace of mind and reliability.
Builder.ai Founder Sachin Dev Duggal's Strategic Approach to Create an Innova...Ramesh Iyer
In today's fast-changing business world, Companies that adapt and embrace new ideas often need help to keep up with the competition. However, fostering a culture of innovation takes much work. It takes vision, leadership and willingness to take risks in the right proportion. Sachin Dev Duggal, co-founder of Builder.ai, has perfected the art of this balance, creating a company culture where creativity and growth are nurtured at each stage.
DevOps and Testing slides at DASA ConnectKari Kakkonen
My and Rik Marselis slides at 30.5.2024 DASA Connect conference. We discuss about what is testing, then what is agile testing and finally what is Testing in DevOps. Finally we had lovely workshop with the participants trying to find out different ways to think about quality and testing in different parts of the DevOps infinity loop.
Neuro-symbolic is not enough, we need neuro-*semantic*Frank van Harmelen
Neuro-symbolic (NeSy) AI is on the rise. However, simply machine learning on just any symbolic structure is not sufficient to really harvest the gains of NeSy. These will only be gained when the symbolic structures have an actual semantics. I give an operational definition of semantics as “predictable inference”.
All of this illustrated with link prediction over knowledge graphs, but the argument is general.
Dev Dives: Train smarter, not harder – active learning and UiPath LLMs for do...UiPathCommunity
💥 Speed, accuracy, and scaling – discover the superpowers of GenAI in action with UiPath Document Understanding and Communications Mining™:
See how to accelerate model training and optimize model performance with active learning
Learn about the latest enhancements to out-of-the-box document processing – with little to no training required
Get an exclusive demo of the new family of UiPath LLMs – GenAI models specialized for processing different types of documents and messages
This is a hands-on session specifically designed for automation developers and AI enthusiasts seeking to enhance their knowledge in leveraging the latest intelligent document processing capabilities offered by UiPath.
Speakers:
👨🏫 Andras Palfi, Senior Product Manager, UiPath
👩🏫 Lenka Dulovicova, Product Program Manager, UiPath
Slack (or Teams) Automation for Bonterra Impact Management (fka Social Soluti...Jeffrey Haguewood
Sidekick Solutions uses Bonterra Impact Management (fka Social Solutions Apricot) and automation solutions to integrate data for business workflows.
We believe integration and automation are essential to user experience and the promise of efficient work through technology. Automation is the critical ingredient to realizing that full vision. We develop integration products and services for Bonterra Case Management software to support the deployment of automations for a variety of use cases.
This video focuses on the notifications, alerts, and approval requests using Slack for Bonterra Impact Management. The solutions covered in this webinar can also be deployed for Microsoft Teams.
Interested in deploying notification automations for Bonterra Impact Management? Contact us at sales@sidekicksolutionsllc.com to discuss next steps.
LF Energy Webinar: Electrical Grid Modelling and Simulation Through PowSyBl -...DanBrown980551
Do you want to learn how to model and simulate an electrical network from scratch in under an hour?
Then welcome to this PowSyBl workshop, hosted by Rte, the French Transmission System Operator (TSO)!
During the webinar, you will discover the PowSyBl ecosystem as well as handle and study an electrical network through an interactive Python notebook.
PowSyBl is an open source project hosted by LF Energy, which offers a comprehensive set of features for electrical grid modelling and simulation. Among other advanced features, PowSyBl provides:
- A fully editable and extendable library for grid component modelling;
- Visualization tools to display your network;
- Grid simulation tools, such as power flows, security analyses (with or without remedial actions) and sensitivity analyses;
The framework is mostly written in Java, with a Python binding so that Python developers can access PowSyBl functionalities as well.
What you will learn during the webinar:
- For beginners: discover PowSyBl's functionalities through a quick general presentation and the notebook, without needing any expert coding skills;
- For advanced developers: master the skills to efficiently apply PowSyBl functionalities to your real-world scenarios.
Accelerate your Kubernetes clusters with Varnish CachingThijs Feryn
A presentation about the usage and availability of Varnish on Kubernetes. This talk explores the capabilities of Varnish caching and shows how to use the Varnish Helm chart to deploy it to Kubernetes.
This presentation was delivered at K8SUG Singapore. See https://feryn.eu/presentations/accelerate-your-kubernetes-clusters-with-varnish-caching-k8sug-singapore-28-2024 for more details.
Encryption in Microsoft 365 - ExpertsLive Netherlands 2024Albert Hoitingh
In this session I delve into the encryption technology used in Microsoft 365 and Microsoft Purview. Including the concepts of Customer Key and Double Key Encryption.
Monitoring Java Application Security with JDK Tools and JFR Events
Audit practice in global perspective present and future challenges
1. Research Journal of Finance and Accounting www.iiste.org
ISSN 2222-1697 (Paper) ISSN 2222-2847 (Online)
Vol.4, No.6, 2013
1
Audit Practice in Global Perspective: Present And Future
Challenges
AbdulFattah AbdulGaniyy
Department of Accountancy, The Federal Polytechnic, Kaura Namoda, Nigeria.
* E-mail of the corresponding author:abuaishah1425@yahoo.com
Abstract
This paper discusses the history of audit and its development particularly Enron and Worldcom scandals as some
of the audit failures that increased the challenges of auditing firms to remain unbiased and independent of their
clients. Secondary data was used to review the existing literature on the subject. Descriptive method was used to
present the changes that occurred in the historical development of auditing. It traces the evolution of audit into a
field of fraud detection and financial accountability to the advent of Industrial Revolution of 1750 to 1850 and
states that as business increased in complexity, risk-based auditing makes auditing more efficient and
economical than before. It highlights the global developments in audits. The author posits that as business
environment gets more globalised and complex, auditing would be more challenging and the quality of the
professionals involved in audit would be very important in maintaining audit quality.
Keywords: Audit, Auditing, Historical Development, Audit Challenges, Accountants, Professionals.
1 Introduction
Audits are performed to manage and confirm the correctness of a company's accounting procedures. Auditing
evolved as a business necessity once it became evident that a standardized form of accountancy must exist to
avoid fraud. It has developed into a standardized yet complex field that is regarded as an important procedure in
the management of business finance.
This paper discusses the history, development and future of audit. It is divided into seven sections. Section one
introduces the topic by highlighting major audit failures in recent times. The historical development of audit at
the global level and the Nigerian experience are discussed in section two. Sections three to five discusses the
current audit practices while the major challenges of auditing were highlighted in section six. Section seven
concludes the paper with an emphasis that though auditing as a profession is currently facing a lot of challenges
but these are not insurmountable provided ethics of the profession is strictly adhered to and auditors are truly
independent of their clients.
2 Historical Development of Auditing
The collapse in the US of Enron and Worldcom, together with their auditors, Arthur Andersen, has focused the
public spotlight on the company audit and made it a highly controversial aspect of the accountant's work. In
Britain, the recent legal action by Equitable Life against Ernst and Young is only the latest in a long line of
scandals at BCCI, Maxwell, and the Barings bank, among many others. A History of Auditing for the first time
lifts the lid off the work of the auditors, and details how historically they have got themselves into the present
situation. The resulting history traces the evolution of the auditing process from its leisurely Victorian
beginnings where armies of clerks checked and ticked everything in their client's books, to the transformation in
the 1960s when, with the growing scale of clients auditing became more a matter of checking a client's systems
rather than the records themselves. The changes in the 1980s are also documented when because of the growing
pressure on audit fees from clients meeting the threat of global competition; auditors began to put their faith in
such nebulous techniques as risk assessment. Alongside all these changes auditors also had to cope with the
advent of computerization which robbed them of the audit trail.(Derek,2006)
According to Tanko( 2011), auditing has its history to a large extent determined by the history of accounting, as
the latter metamorphosed and culminated with the development of the world economy. Salehi (2008) observed
that although ancient cultures of Mesopotamia, Egypt, Greece and Italy show evidences of highly developed
economic systems, yet the economic fact during these periods were limited to the recording of single transactions.
The knowledge of support system for the maximization of profit and the exposition of bookkeeping, as a support
mechanism for the determination of profit or wealth, were very unpopular. With the emergence of large
merchant houses in Italy and some other places in the world, the attitude of profit maximization emerged at the
end of the middle ages, thereby shifting the domain of trading from the individual commercial travellers to the
stable and more comfortable house merchants, which now is coordinated centrally at the luxurious desks of the
large merchant houses in most parts of the world. According to Salehi (2008), entering merely one aspect of the
transaction paved the way for heavy embezzlement of cash, which was found difficult to trace in the ordinary
2. Research Journal of Finance and Accounting www.iiste.org
ISSN 2222-1697 (Paper) ISSN 2222-2847 (Online)
Vol.4, No.6, 2013
2
course of business. Therefore, the system of double entry bookkeeping was first proposed and described by an
Italian as a way of correcting the anomaly. Monk Luca Pacioli in his book Summa de Arithmetica, Geometria,
Proportioni et Proportionalita, dated 20 November 1494 first introduced the system of double entry as a way of
reducing the incidence of corrupt practices that was easier with the single entry. The introduction of the double-
entry, coupled with the industrial revolution in Great Britain around 1780 led to the emergence of large industrial
companies with complex bureaucratic structures, in other words the development of the capitalist economic
system.
Auditing existed primarily as a method to maintain governmental accountancy, and record-keeping was its
mainstay.
At the advent of the Industrial Revolution, from 1750 to 1850, that auditing began its evolution into a field of
fraud detection and financial accountability (Gupta, 2004).
3.0 Professionalization of Audit Practice.
In the early 20th century, the reporting practice of auditors, which involved submitting reports of their duties and
findings, was standardized as the "Independent Auditor's Report." The increase in demand for auditors led to the
development of the testing process. Auditors developed a way to strategically select key cases as representative
of the company's overall performance. This was an affordable alternative to examining every case in detail, and
it required less time than the standard audit (Hasyudeen, 2009) .
Capitalism, as a system of economy designed to allocate resources using market mechanism has characterized
modern industrial economies of today (Watts and Zimmerman 1983). It further developed the economic system
to the extent that there were needs for external financing to support the unprecedented economic growth. Lee
(2009) observed that the paradigm shift in the structure of business corporations over the four centuries
necessitated the mobilization of financial resources from increasingly large numbers of small investors through
the financial markets and credit granting by financial institutions. Therefore, the need to look for external funds
in order to finance further expansion coupled with the divorce between ownership and management gained
importance in such an economic system. This resulted to the growth in sophisticated securities markets and
credit-granting institutions serving the financial needs of large national and increasingly international
corporations. The flow of investor funds to the corporations and the whole process of allocation of financial
resources through the securities markets became dependent to a very large extent on reports made by
management.
The organisations’ management has control over the accounting systems of the organisation and is not only
responsible for the financial reports to investors, the owners of the organisations, but also has the authority to
determine the precise nature of the representations that go into the reports. Chukwunedu (2009) opined that, it is
the responsibility of the management of the organisation that is vested with the preparation and presentation of
the financial statement of the organisation to the stakeholders, which may need such information to guide them
in their decision making. To increase the confidence of investors and creditors in financial statements, they are
provided with an independent and expert opinion on the fairness of the reports. This expert opinion was initially
provided by one or more stockholders, who were designated by the other stockholders to perform the task as
representatives of the rest of the stockholders.
This mark the beginning of the auditing profession as it quickly emerged to meet market needs for their services.
It became necessary that legislation was soon required to permit persons other than stockholders to perform the
audits, giving rise to the formation of auditing firms. These developments resulted in demand for the services of
specialists in bookkeeping and in auditing. Thus the institutionalization of audit as a profession was then merely
a matter of time. According to Rostami (2009), it is the auditor that authenticates the correctness of financial
information that is passed to the end users, and he does that based on his professional code of ethics and
regulation. Therefore, auditors occupy the central role in bridging the communication gap between the
management of an enterprise, and the end-users of the published financial reports. In a nutshell we cannot
underestimate the importance of reliable information prepared by the organizations management, certified by the
external auditor that is given to the user’s of the financial statement
Prior to independence in 1960, audit practice in Nigeria followed the British style; the early accountants in the
country were British trained. All the pre-independence Company Ordinances in Nigeria only placed statutory
demand on Companies to appoint auditors but did not provide for the qualification of auditors to relate to any
professional body of accountants. This was obviously due to lack of any professional accounting body during
that period. Consequently, it was not all the auditors in the country at that time that was even British qualified
professional accountants. However the proportion of those that were qualified by the British standard, being
chartered accountants (either of England and Wales or Scotland) was very popular
3. Research Journal of Finance and Accounting www.iiste.org
ISSN 2222-1697 (Paper) ISSN 2222-2847 (Online)
Vol.4, No.6, 2013
3
Immediately after independence, the idea of establishing a professional body of accountants for regulation of
accounting and audit practices became an issue. The British trained accountants coordinated their effort together
and formed The Association of Accountants in Nigeria (AAN) which was incorporated in 1960 (Ajayi, 1997).
In 1965, the Association’s effort to obtain statutory recognition was achieved when the Institute of Chartered
Accountants (ICAN,1965) was established by an Act Parliament (No. 15) with 250 members. By May 2011, it
has 32,722 members both within and outside Nigeria. Until 1993, only the members of the Institute were entitled
to practice as accountants and statutory auditors in the country.
The Association of National Accountants (ANAN) was formed in 1979 and incorporated in September, 1983. By
December 2010, its membership had grown to 16,207 (ANAN, 2008). These two bodies ICAN and ANAN are
now charged with the regulation of audit practice in Nigeria.
1.1.2 Heading 3
3.1 Features of Audit Practice
Auditing is a branch of financial management concerned with assessing the internal financial status of a business.
Audits are evaluations of the financial capability of a company.
Companies prepare financial statements of their activities, which represent their overall performance. These
financial statements are evaluated by auditors, who assess them according to the industry's generally accepted
standards. They are examined for accuracy and fairness in their reporting.
Companies are expected to pass their audits, as the results are very important to the company's reputation and
success. Audits are very valuable to external company affiliates, such as shareholders and investors, because
they provide an extra reassurance of their choice in investments when issues arise.
Auditing standards differed between America and Britain. American audits continued to evolve away from
being solely a method of detecting errors and fraud, while Britain kept this as its main function
( Derek,2006).
Testing is now the industry standard for performing audits. It is only when gross errors and fraudulent activities
are discovered that detailed audits are performed.
Audits have also commanded the need to establish preventive measures of monitoring the financial activities
within a business to lessen the need for frequent audits and to provide simplified follow-ups, should the need for
an audit arise.
Now, both in America and Great Britain, audits are a standard way of providing a monitoring of a business's
financial integrity. Fair reporting practices are used to analyze their financial statements.
Audits provide feedback on a company's financial information and reporting, as well as an analysis of any
fraudulent activity, potential and actual.
External audit thus rely on internal audit if it is established that a sound internal control system is available.
As business increased in complexity, risk-based auditing arose to make auditing more efficient and economical
than before. Risk-based auditing actually assesses the need for an audit, based on the information in the financial
statements. If many discrepancies are discovered, then it is decided to perform an audit of its financial activities.
3.2 Fundamental Principles of Independent Auditing
The Auditors’ Code, published by Auditing Practice Board (APB), prescribes nine fundamental principles of
independent auditing, among these are:
(a) Accountability: Auditors act in the interests of primary stakeholders, whilst having regard to the wider
public interest.
The identity of primary stakeholders is determined by reference to the statute or agreement requiring an audit: in
the case of companies, the primary stakeholders are the general body of investors.
(b) Integrity: Auditors should act with integrity, discharging their responsibilities with honesty, fairness and
truthfulness. Integrity helps to insulate auditors from matters of conflict of interests and elevate their objectivity.
Confidential information obtained in the course of the audit is disclosed only when required in the public interest,
or by operation of law.
(c) Objectivity and Independence: Auditors should be seen to be objective in all their dealings with their
clients. They express opinions independent of the entity and its directors.
Important elements in determining the performance and quality of audit services include: The auditors, the firms,
the legislative framework, and standards relating to auditing.
The auditors should uphold professional values and standards, Integrity, Objectivity, Due Care, and
Independence. He should possess updated knowledge regarding auditing standards, accounting standards and
Industry knowledge and experience and Legislative framework.
4. Research Journal of Finance and Accounting www.iiste.org
ISSN 2222-1697 (Paper) ISSN 2222-2847 (Online)
Vol.4, No.6, 2013
4
In addition the auditor should have the necessary skills which need to be applied in performing the audit. This
includes Global business environment, Web based business environment and skills to apply principle-based
standards.
The firms should put in place framework, processes and procedures to comply with auditing and quality control
standards as well as the applicable legislative framework, uphold professional values and standards and have the
capacity to accept audit engagements before doing so.
The legislative framework includes, among others, the followings: Financial Reporting Standards Companies
And Allied Matter Act (CAMA), Banks and Other Financial Institution Decree(BOFID) and Nigeria Accounting
Standard Board (NASB), now Financial Reporting Council of Nigeria (FRCN).
4.0 Global development
The International Auditing and Assurance Standards Board (IAASB) is an independent standard-setting body
that serves the public interest by setting high-quality international standards for auditing, quality control, review,
other assurance, and related services, and by facilitating the convergence of international and national standards.
In doing so, the IAASB enhances the quality and uniformity of practice throughout the world and strengthens
public confidence in the global auditing and assurance profession. (www.ifac.org/iaasb, 2011). Convergence of
auditing standards is part of the International Federation of Accountants (IFAC) agenda.
There was a proposed revision of standards on Review Engagements. This is to provide alternative in jurisdiction
where audit for small companies are not mandatory. In response to the call for a separate auditing standards for
Small and Medium Enterprises (SMEs), the IAASB recently issued an Audit Practice Alert regarding the audit of
fair value accounting estimates under the current situation in the market where the level of uncertainty is very
high.
International Forum of Independent Audit Regulators (IFIAR) serves the protection of public interest through
enhancement of audit quality. The body shares knowledge of audit market environment and practical experience
of independent audit regulatory activity. It provides the contact point for other international bodies which have
interest on audit quality (www.ifiar.org,2011).
It is now a global expectation that auditors of public interest entities are regulated by a body which is
independent from the accounting profession. The acceptance of International Financial Reporting Standard
( IFRS ) in Nigeria is expected to enhance not only the quality of financial statements but also the audit such
statements.
4.1 The Enron Scandal
The case of Enron Scandal was revealed in October 2001.It led to the bankruptcy of Enron Corporation an
American energy Company based in Houston, Texas which was formed in 1985.This scandal also led to the
dissolution of Arthur Andersen, one of the five largest audit and accountancy partnerships in the world. It is
attributed as the biggest audit failure. Shareholders lost nearly $11 billion (share price fell from $90 to $1).
(Wikipedia, 2011) Arthur Andersen was found guilty by a US District court. Although the US Supreme court
overturned the ruling, the firms had already lost most of its clients.Consequent upon this case, the United States
promulgated the Sarbanes- Oxley Act which increased the accountability of auditing firms to remain unbiased
and independent of their clients.
WorldCom is another case of failed corporate governance, accounting abuses and outright greed. The company
was created in 1983 by Bernie Ebbers. By 1999 WorldCom’s share traded at $64 and competed with AT &T. By
2002 the WorldCom was declared the largest American’s bankruptcy.(Wikipedia,2011)
In Nigeria, Cadbury Nigeria Plc represents Nigeria’s Enron (Cadbury,2006). Messrs Bunmi Oni and Ayo
Akadiri ended their long years of service at Cadbury in disgrace. The duo were involved in overstatement of
accounts and deliberate manipulation of finances.
5.0 Audit Challenges
In this new millennium Audit Professionals face both opportunities and challenges that will keep auditing a
challenging career and an excellent training ground for corporate executives.
Welch(2011) summarized the challenges and opportunities in the following:
Doing More with Less
Effective Usage of Both Internal and External Resources
Creating the Integrated Auditor
Adapting to New Organizational Environments
"Tuning In" on an Organization's Strategic Relationships
Auditing in a Highly Automated Environment
Effectively Usage of Automation to Audit
Addressing Management Concerns with the Cost and Other Effects of Fraud
5. Research Journal of Finance and Accounting www.iiste.org
ISSN 2222-1697 (Paper) ISSN 2222-2847 (Online)
Vol.4, No.6, 2013
5
Finding New Tools to Meet the Audit Challenge
Meeting the Challenges Created by the New Economy
Beasley, Carcello and Hermanson (2001) also discussed some challenges of auditors. Among these include:
1. Gathering sufficient audit evidence.
2. Exercising due professional care.
3. Demonstrating appropriate level of professional skepticism.
4. Interpreting or applying requirements of Generally Accepted Audit Practice (GAAP).
5. Designing audit programs and planning engagement (inherent risk issues, non-routine transactions).
Everywhere users of audit reports are asking the question ‘Are good accountants bad auditors?’
(Onwukwe,2012). The challenge is for auditors to be independent of their clients and imbibe the letter and spirit
of independent auditors earlier enumerated i.e. integrity, accountability and objectivity.
Auditors in the 21st
century will also face challenges in terms of professional training and development. There is
inadequate infrastructural facilities to produce the required quality and number of accountants and auditors that
meet today’s industrial and government needs. Ethical standard and professional competence are required for
the auditors to gain the confidence of the public.
6.0 Conclusion
The expectation on the quality of audit would remain high in view of the interest of the investors on the audited
financial statement. Audit quality goes beyond the competency of individual auditor but depends on the capacity
and professional values adopted by the auditing firms
As the business environment gets more globalised and complex, auditing would be more challenging and the
quality of the people involved in audit would be very important to maintain audit quality
External agencies outside the accounting profession would be more involved in the audit quality issues.
References
ANAN(2008) : Association of National Accountants of Nigeria www.anan.org. Retrieved August, 2011
Ajayi,C. A. (1997) : The Development of Accounting Profession in Nigeria. Published in Accounting Education
in Nigeria : Challenges and Prospects – A Publication of the Society of Women Accountants of Nigeria (SWAN)
Beasley, Carcello, and Hermanson, (2011) : Top 10 Audit Deficiencies :Lessons from fraud-related SEC cases
published in Journal of Accountancy.
Cadbury (2006):Nigeria’s Enron: nigeriaworld.com
Chukwunedu S. ( 2009) : Bridging the Expectation Gap: The Perception of ICAN members. Available at
SSRN:http://ssrn.com/abstract=1730705 or
Derek Matthew (2006) : A history of auditing – The changing audit process in Britain. Published by Taylor &
Francis, 2006.
Gupta Kamal (2004): Contemporary Auditing-Tata MacGraw-Hill Education 6th
edition.
Hasyudeen Nick (2009):Audit profession-Global Development and Key issues-www.slideshare.net
History of Auditing-www.ehow.com/Business ICAN (1965 ) : Institute of Chartered Accountants’ Act 1965
Lee, K. (2009). “Why and how to adopt green management into business organizations? The case study of
Korean SMEs in manufacturing industry,” Management Decision 47(7), 1101-1121.
Onwukwe, Dan (2012): Subsidy probe report: Are good accountants bad auditors? In Sun Newspaper, May 1,
2012.
Rostami , V. (2009): Audit Expectation Gap: International Evidence. International Journal of academic
Research, 1(1),1 40-146. Retrieved on 2/7/2010 from www.ijar.lit.az
Salehi, Mahdi(2008): Audit expectation gap: Concept, nature and trace . Published by African Journal of
Business Management Vol. 5(21), pp. 8376-8392, 23 September, 2011
Tanko, Muhammad (2011) : Audit Expectation Gap: The Trend to Close the Gap in the 21st
Century. Research
commissioned by The Institute of Chartered Accountants of Nigeria ( ICAN).
The Association of Chartered Certified Accountants www.accaglobal.com/af
Watts R and Zimmerman J (1983): Agency Theory and the Role of Audit. Published by The Institute of
Chartered Accountants( England and Wales.
Welch Ian (2011) : Reshaping Audit for the new Global Economy; www.acca.
Wikipedia, 2011:en.www/wiki/Enron. Retrieved, August,2011.
Wikipedia, 2011:en.www/wiki/WorldCom. Retrieved, August,2011.
www.ifac.org/iaasb, retrieved, August,2011.
www.ifiar.org, retrieved, August,2011