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EVALUATION OF VALUE FOR MONEY AUDIT
AS A TOOL FOR FRAUD CONTROL IN THE PUBLIC SECTOR
ABSTRACT
The scope of
governmental auditing has been widened over the year by the demand for
independent verification of information to the extent that it can no longer be
limited to the audit of financial operations, but value for money audit which
ensures that the activities and programs are carried out at low cost and high
standard. Lack of commitment in cost efficiency to the overall achievement of
goals by the managers in the public sector brought the need of this research
work titled “Evaluation of value for money audit as tool for fraud control in
the public sector”. The aim was to ascertain whether government auditing
achieves the purposes for which programs are authorizes and funds released
economically and efficiently in accordance with applicable law and regulations.
A survey research design was adopted for the study with sample size of 100
respondents randomly sample and stratified from Audit and finance department of
PHCN (Abuja). Three hypotheses were tested at 5% level of significance using the
analysis of variance (ANOVA) statistics. it was found that value for money
audit play a vital role in promoting the effectiveness and efficiency of
activities in the public sector the researcher recommend that government should
support the implementation of policies formulated to enhance value for money
audit in the public sector.
CHAPTER ONE
1.1
BACKGROUND OF THE STUDY
Every sector
of the economy both the private and the public sector has its own objectives
and goals to achieve. For the public sector of the economy, their goal is to
satisfy the social needs of the citizens and in the effort to achieve these
purposes, auditing more often, play a vital role.
The size and
scope of these sectors have sometimes made it clear for the executor to
exercise personal and first hand supervision of operation. It is in this light
that value for money audit established by management is initiated, for any
organization to carry out its business efficiently and effectively, there must
be some factors that must be put in place for the smooth running of the
organization like materials, machines, human labor and money e. t. c.
Auditing is
seen to play an intermediary function in between management and the resources
of the organization. It is also fundamental to any business either the public
or private sector, which will help the business to keep its adequate financial
records. These financial records are kept in response to the demand by a system
control which requires..
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