Description
TABLE OF CONTENTS
Cover page
Title page
Approval page
Dedication
Acknowledgement
Abstract
Table of contents
CHAPTER ONE
1.0-Introduction
………………………………………………………………………………….. 1
1.1-Background of the study
……………………………………………………………….. 1-2
1.2-Statement of the problem
……………………………………………………………… 2
1.3-Purpose of the study
……………………………………………………………………… 3
1.4-Research questions
……………………………………………………………………….. 3
1.5-Research hypothesis
……………………………………………………………………… 4
1.6-Significance of the study
……………………………………………………………..… 5
1.7-Scope and limitation of the study
………………………………………………….. 5-6
1.8-Definition of terms
………………………………………………………………………… 6-7
Reference
.……………………………………………….…………………………………….8
CHAPTER TWO
2.0-Review of related literature
………………………………………………………….. 9
2.1-Nature of auditing
………………………………………………………………………… 9-11
2.2-Features of auditing
……………………………………………………………………… 11-13
2.3-Auditors report
…………………………………………………………………………….. 13
2.4-Types of audit
……………………………………………………………………………….. 14-15
2.5-Duties of auditors
………………………………………………………………………….. 15-16
2.6-Objectives of auditing
……….………………………………………………………….… 17-19
2.7Appointment of auditors
…………………………………………………………………. 19-20
2.8-Rights of an auditor
………………………………………………………………………… 20-21
2.9-Classification of study
…………………………………………………………………….. 21-24
2.10-Advantages of auditing
…………………………………………………………………. 25-26
2.11-Nature and definition of government organization and auditing
…… 26-28
2.12-Audit objectives with respect to government organization
……………. 29-30
2.13-Prospects of auditing in government organization
…………………………. 30-31
2.14-Historical development of federal mortgage bank
…………………………. 31-32
Reference
…………………………………………………………………………………….. 33
CHAPTER THREE
3.0-Research methodology
…………………………………………………..…………..…. 34
3.1-Introduction
………………………………………………………………………..…………. 34-35
3.2-Research design
………………………………………………………………………….…. 35
3.3-Arear of
study… 36
3.4-Population of the study
………………………………………………………………….. 36-37
3.5-Sample and sampling technique
……………………………………………………… 37-38
3.6-Questionnaire design and distribution
……………………………………….…… 38-40
3.7-sources of data
…………………….………………………………………………………… 40
3.8-instrument for data collection.
……………………………………………………….. 41
3.9-Method of data analysis
……………………………………………………………..…… 41-43
3.10-Validity and reliability of instrument
……………………………………………… 43-44
CHAPTER FOUR
4.0-Data presentation and analysis ….………………………………………….….
45-46
4.1-Presentation and Analysis of data ………………………………………….….
46-57
4.2-Testing of hypothesis …………………………………………………………………
57-67
CHAPTER FIVE
5.0-Summary of findings, conclusion and recommendation …….………
68
5.1-Findings …………………………………………………………………………………….
68-69
5.2-Conclusion …………………………………………………………………………..……
69-71
5.3-Recommendation ……………………………………………………………………..
71-73
Bibliography ……………..………….…………………………………………………….
74
Questionnaire …………………….…………………………………………………….…
75-78
ABSTRACT
The topic of this research is problems and prospects of auditing in
government organization, the population of the study was 82 while the
research used yaro Yamani formula in the determination of the sample
size which was 68.The researcher used both the primary and the
secondary sources in obtaining the relevant data used in the course of
the study. The primary data was collected using the questionnaire while
that of the secondary data was obtained using written textbooks,
journals, magazines, newspapers, and the use of library. The researcher
used chi-square in the testing of the hypothesis formulated while simple
percentages were used in analyzing the research questions. Some of the
problems bound to be encountered when auditing government
establishments are embezzlement of funds by some government
officials, deficiency in confirming accounts receivable and failure to
exercise due professional care. Some findings were made of which one
out of them is that financial reports submitted are not in consonance
with the transactions carried out by the government establishment.
Recommendations were also made of which one out of them is that the
auditor should maintain his position of independence as much as
possible.
University,
Accountancy,
Caritas
Dept. of
Management Sci.
Faculty of
Amorji-Nike,
P.M.B 01784,
Enugu State.
June 2012.
Dear Sir/Madam,
I Udeogu Esther Ijeoma, a final year student of the above
University, am carrying out a research on the “problems and prospects of
auditing in government organization” (A case study of Federal mortgage
bank) In Partial Fulfillment of the Requirement for the Award of Bachelor
of Science Degree in Accountancy.
Your bank has been particularly chosen because of the experience it
has acquired since its years of operation in this field.
Please respond to each of these items by ticking on the appropriate
box provided and giving your own opinion where necessary. I assure you
that all the information given shall be used only for this project and shall
be treated with utmost confidentiality.
Thanks for your co-operation.
Yours
Faithfully
Udeogu .E. Ijeoma
PROBLEMS AND PROSPECTS OF AUDITING IN
GOVERNMENT ORGANIZATION
(A CASE STUDY OF FEDERAL MORTGAGE BANK ENUGU
STATE)
BY
UDEOGU ESTHER IJEOMA
ACC/2008/480
DEPARTMENT OF ACCOUNTANCY
FACULTY OF MANAGEMENT AND SOCIAL SCIENCES
CARITAS UNIVERSITY AMORJI-NIKE,ENUGU
AUGUST 2012.
CHAPTER ONE
INTRODUCTION
Background of the Study
Government organization have played a greater part in the
economic growth of any economy, especially in the Nigerian
economy. The contributions they have made so far cannot be
overemphasized because their utmost aims of establishment is to
provide some vital or essential services to improve the social and
economic well being of the people.
These government organizations are mainly being funded
either by the federal or state government through their budgetary
allocations made to them yearly and they can also obtain loans or
overdraft from commercial bank as well as subvention from
government. These funds are expected to be utilized effectively
and efficiently. But in most practices they are being
misappropriated or embezzled by some government officials.
As a result of this mis-appropriation which has characterized
most of the government organizations. Honestly and prudently
managed. The audit is expect to
show whether proper principles of accounts and audit ethics have
been adhered to and that financial statements prepared give a true
and fair view.
Statement of the Problem In any business Organization in which allocation and application of
funds serves as a backbone for financial activities to be carried out the following are problems in which are bund to be encountered.
1. Embezzlement of fund by some government Officials
2. Failure to exercise due professional care and the
appropriate level of professional skepticism.
3. Overreliance on inquiry as a form of audit evidence
4. Deficiency in confirming accounts receivable
5. Failure to recognize related party transactions and
assuming internal control exist when they may not.
These and other factors contribute to problems of auditing in
government organization.
Purpose of the Study
The purpose of studying this topic is to examine the importance,
problems and prospects of auditing in government institution.
To ascertain the problems encountered while auditing in
government establishment.
To know if auditors exhibit enough professional
competence in conduct of their work.
To know how effective auditing is in government
establishment
Research Questions
This research work seeks to ask the following questions among
others, deduced from the purpose of the study.
Are auditors being threatened or intimidated during their audit
work.
Are auditors being faced with some problems during their
audit work.
Are vital documents needed for the audit of the
organization being held from the auditors
Research Hypothesis
Based on the purpose, and research questions the following
hypothesis are put forward.
Ho Financial reports submitted are not in consonance with the
transactions carried out by the government establishment
HI Financial report submitted are in consonance with the
transactions carried out by the government establishment.
Ho Treats and intimidation do not positively affect the quality of
auditors work in government establishment.
HI Treat and intimidation positively affect the quality of auditors
work in government establishment.|
Ho Poor professional conducts by auditors do not affect the
quality of work done by auditor in government establishment.
HI Poor Professional conduct by auditors affects the quality of
work done by auditors in government establishments.
Significance of the study Where audit principles and procedures are carried out in
government organizations the following benefits are derived
of which these work will be beneficial to the following people
and establishments:
Government good audit work will prevent, expose fraud,
errors and irregularities in government establishment.
Auditors: will benefit by knowing the challenges facing them
in their audit work and thereafter the prospects.
Banks; will also benefit because it will give them insight on
how to handle audit work successfully.
Students and researchers will benefit by gaining knowledge
on the audit challenges to banks and the prospects.
Scope and limitation of the study
This project would cover arrears such as audit principle(s)
and procedures giving as in depth analysis on how audit work is
carried out in government organizations.