Effects of Auditing Standards on Auditors Performance

Abstract

The objective of the research work is to examine whether application of auditing standards do enhance the quality of external auditor’s performance. The research population for this work comprises of all external auditors in Ondo and Ekiti States. The primary source of data collection was employed and the stratified random sampling method was used to select the required sample size.  The research instrument used for data collection was questionnaire and hundred (100) copies of questionnaire were administered and Eighty Six (86) were returned, representing 86%. The 4-point Likert scale was logically employed to assign number to the measure of the degree of intensity of the relationships among the variables and the ordinary least squares (OLS) was used. The study revealed that there was a positive relationship between the auditing standards and auditor’s performance and that auditor’s performance often depends on their competency and ability to comply with required auditing standards. It is therefore recommended that the audit report should be expanded beyond complying with all standards by including a statement about the auditors’ evaluation of the internal control mechanism and there should be need for more interpretations, clarifications and improvements in both International Auditing Standards (IASs) and the Nigerian Auditing Standards so as to enable auditors to improve more on their service deliveries

Keywords: Accounting Standard, Auditing Standard, External Auditors and Auditor’s performance

DOI: 10.7176/EJBM/12-21-05

Publication date:July 31^st 2020