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PROJECT TOPIC: AUDITORS GAP OF INDEPENDENCE AND RELIABILITY OF FINANCIAL STATEMENT (A CASE STUDY OF PWC NIGERIA)

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Abstract

The purpose of this study which is to analyze the “auditors gap of independence and reliability of financial statement” with respect to PWC Nigeria is to highlight the factors contributing to audit expectation gap problem in Nigeria. The audit expectation gap is the difference in perception between auditors and users of an audited financial statement concerning the nature of auditing. This study adopts a survey research design. Even though the study covers the business plan scope of Nigeria with respect to price water house coopers in particular. The population size is 15000 persons which are stakeholders of PWC Nigeria out of which a sample size of 200 persons made up of 50 persons, each of auditors, accountants in business, bankers and investors or shareholders were selected continently in Abuja, Lagos, and Enugu. The research instrument used was the questionnaire. The data collected were analyzed using cross-sectional chi-square analysis and analysis of variance (ANOVA). The study found that there exist expectation gap in Nigeria particularly concerning auditors responsibility relating to fraud detection and prevention and soundness of internal control structure of the audited entity. The researcher recommends that the audit profession and regulators should formulate a standard, rules, and regulations that shall adequately guide the auditors to fulfill the reasonable expectations of various user group thereby increasing the rate of reliability of the financial statement


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