CHAPTER ONE

INTRODUCTION

1.1        BACKGROUND OF THE STUDY

 Ordinarily, an auditor is one to whom the receipt and payment of an organization were read, as is simplified in the Latin verb audira, to hear.  This is so because in the ancient time account and records of business, estate, trust and farms were checked by their owners by their being called out by those who compiles them. Auditing however, as it is known today is an independent examination of the financial record and statement of business organization non-profit making bodies, government parasatatrals etc with a view to reporting on them whether they show a true and fair view.

          The practice was  known to have  been exercised by such ancient civilization as the Egyptians. But infact, the increased complexity of commerce today ha greatly widened the scope of auditor operation and has called for a high degree of skills and discernment likewise, the development of modern accountancy and auditing is also  credited to the great expansion in industry  and commerce, which has taken place since  the industrial revolution. It should be realized that the swift   change in nature has really created an increases in business transaction and investment in limited liability companies, where share holders are not the manager of their capital. This has thus provided the need for the manager to account to the shareholder. On this note the government made provision for accounts of companies to be examined and reported to the persons other than those who manage the business.

1. 1. This material content is developed to serve as a GUIDE for students to conduct academic research work
2. 2. As a source for additional understanding of the subject.
3. 3. As a source for ideas for your own research work (if properly referenced).
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5. 5. Direct citing (if referenced properly)
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