ATTENTION:
BEFORE YOU READ THE CHAPTER ONE OF THE PROJECT TOPIC BELOW,
PLEASE READ THE INFORMATION BELOW.THANK YOU!
INFORMATION:
YOU CAN GET THE COMPLETE PROJECT OF THE TOPIC BELOW. THE FULL
PROJECT COSTS N5,000 ONLY. THE FULL INFORMATION ON HOW TO PAY AND GET THE
COMPLETE PROJECT IS AT THE BOTTOM OF THIS PAGE. OR YOU CAN CALL: 08068231953,
08168759420
EFFECT OF INTERNAL
AUDIT ON MANAGERIAL PERFORMANCE IN PUBLIC ENTERPRISE
ABSTRACT
This research examined the Effect of Internal Audit on
Managerial Performance in Public Enterprise. Survey design was employed with
the use of a well-structured questionnaire. Respondents were selected based on
simple random sampling technique. Seventy (70) staff were selected from NNPC.
Two hypotheses were formulated and data collected were tested with the use of
Chi-Square analysis. Findings from the result shows that internal audit has
significant impact on the reduction of embezzlement in public enterprises and
established control has significant effect on managerial performance. The study
recommends that internal auditor should continue to efficiently review various
departmental functions with a view to enhancing effective accounting system and
control.
TABLE OF CONTENTS
CHAPTER ONE: INTRODUCTION
1.1 Introduction
1.2 Purpose of the
Study
1.3 Significance
of the Study
1.4 Relevant
Research Questions
1.5 Statement of
the Hypothesis
1.6 Delimitation
of the Study
References
CHAPTER TWO: LITERATURE REVIEW
2.1 Introduction
2.2 Roles and
Duties of Internal Auditor
2.3
Characteristics of the Nigeria Public Enterprise
2.4 Purposes of Auditing System in a Public
Enterprise Management
2.5 Management
Control in Public Enterprise
2.6 Economic
Implications of Ineffective Internal Auditing System
in the Public Enterprise Management
2.7 Management of
Performance Evaluation in NNPC
2.8 Internal
Auditing in NNPC
2.9 Qualification
of Internal Auditor
2.10 Accountability
in NNPC
References
CHAPTER THREE: RESEARCH METHODOLOGY
3.0
Introduction
3.1 Research
Design
3.2 Population of
Study
3.3 Sample and
Sampling Procedure
3.4 Sample and
Sampling Technique
3.5 Restatement of
Research Questions
3.6 Statement of
the Hypothesis
3.7 Data
Collection Instrument
3.8 Test of
Validity and Reliability of the Study
3.9 Administration
of the Data Collection Instrument
3.10 Procedure for
Data Analysis
CHAPTER FOUR: DATA PRESENTATION, ANALYSIS AND INTERPRETATION
4.1
Introduction
4.2 Analysis of
Respondents Bio-Data Department
4.3 Analysis of
Operational Variables
4.4 Descriptive
Statistics
4.5 Reliability
Test
4.6 Test of Hypotheses
CHAPTER FIVE: SUMMARY, CONCLUSION AND RECOMMENDATIONS
5.1
Introduction
5.2 Summary
5.3
Conclusion
5.4 Recommendations
5.5 Suggestions
for Further Study
Bibliography
Questionnaire
CHAPTER ONE
BACKGROUND OF THE STUDY
1.0 INTRODUCTION
The term audit is derived from the latin verb
"Audire" which means "tohear". The origin of audit dates
from ancient times when the landownersallowed tenant farmers to work on their
land whilst landowners themselvesdid not become involved in the business of
farming. The landlords reliedupon an overseer who listened to the accounts of
stewardship given by thetenants this period the word audit is described as:
The ,independent examination of, and expression of opinion on
the financial statements of an enterprise by an appointed auditor in pursuance
of thatappointment and in compliance with any relevant statutory obligation.
Furthermore, the introduction of the joint stock company
increased the supply of capital for industry and commerce. The small privately
owned business, which was financed by a sole trader or a partnership gave way
to the form of organization now familiar as the limited company. The body of
shareholders delegated some of their members to act as a board of directors, and
periodically the board submitted accounts to the shareholders so that they
could be aware of the state of affair of the enterprise in which they had an
interest. It was therefore necessary for the shareholders to satisfied the
accounts presented of the directors did provide an objective view of the state
of affairs of the company.
The joint stock company Act of 1844 .was the fist legislation
in Britain fore quire all incorporated businesses to hand their annual
financial statements examined by an auditor. Early auditors were, in many cases
non accountants who were required state whether the accounts showed a `true and
correct' view of state of affairs of the, it was the company's Act 1900 that
required auditor to be independent and it was not until the 1948Companied Act
that he was required to be professionally qualified. At this juncture, it was
more appropriate to define audit as:
An exercise whose objective is to enable auditors to express
an opinion whether the financial statement give a true and fair view (or
equivalent) of the entity's affairs at the period end and of its profit and
loss (or income and expenditure) for the period then ended and have been
properly prepared in accordance with the applicable reporting framework (for
example relevant legislation and applicable accounting standards) or where
statutory or other specific requirement prescribed the term, whether the
financial statements "present fairly".
WHAT IS INTERNAL AUDIT
Internal audit are those audit that are being carried out by
employees within an enterprise. Internal audit is an independent appraisal
functions established by the management of an organization for the review of
the internal control system as a service', to the organization. It objectively
examines, evaluates and reports on the adequacy of internal control as a
contribution to the proper economic efficiency and effective use of resource.
The institute of internal Auditors (IIA), the professional
body of internal auditors, define the function in the following way. "Internal
auditing is an impendent appraisal activity within the organization, for the
review of operations as a service to management. It is a management control
which functions by measuring and evaluating the effectiveness of the
controls".
The scope of the internal audit within an organization is
broad and may involve topic such as the efficacy of operations, there liability
of financial reporting and investigating fraud, safeguarding assets compliance
with laws and regulations.
INTERNAL AUDIT AND THE PREVENTION OF FRAUD
By definition, internal control is an independent appraisal
function within an organization, carried out by employees of the organization,
for the review of operations (financial and otherwise): as a service to
management. It is a management controls which functions, by measuring and
evaluating the effectiveness of other controls. Fraud or irregularities, which
arise in the conduct of the affairs of a company, may be classified broadly
into:
Defalcations involving the misappropriate of money or goods,
suchacts may be performed by an individual or group of individualswithout the
knowledge of the board of directors, or sometimes, bythe board with the
intention of defrauding the member.
Fraudulent manipulation of , financial statements not
involving defalcation. The main reasons for this are:
To attempt to improve the apparent position or the company
e.g tojustify a dividend that would not otherwise have been payable or toassist
in raising new finance: orTo attempt to defraud the tax authorities by reducing taxable profits.
The internal auditors should continuously review the existing
controls to ensure that they are followed and update them when need be. This
shall ensure that the occurrence of fraud is prevented and that when any such
'frauds occur, they are easily and timely identified and reported to
management. It is his duty to search for fraud, to examine the books, accounts
and control/processes/system with the objective of discovering whether there
have been defalcations or other irregularities by directors or employees of the
company. However, if the directors of the company decide to defraud the
members, there is not much the internal auditor can do. Being a staff of the
organization, he probable reports to the directors and depends on the board for
his remunerations, promotion and other employment incentives.
Similarly, where the management .of business wish to
manipulate the a misleading impression without actually diverting any of the
business assets, the internal auditors cannot do much as management misstate
the assets or liabilities. While the more common target for manipulations is
stock, other areas are also susceptible.
financial statements to giveIt is painful to observe that in
practice, members in the employment of companies as accountants, finance
controller, internal auditors etc are used to, enhance and perpetuate these
management/ directors aided fraud. Members must always beings to bear on all
activities they are carrying out for clients and employees the institute's
codes of professional conduct and ethics.
Misappropriation of cash may result from the making of
fictitious payments or the diversion of cash receivable. The number of ways in
which these may be done depend on the systems of control in existence and the
ingenuity of the person or persons involved. In many cases, it is the attempt
to cover of rather than the original theft that is detected. So prevention of
fraud is continuous review of controls and operations. The opportunities for
fraud will depend on the system of controls. Particularly, important are those
leading to segregation of duties. Although frauds involving collusion are not
uncommon, it is generally agreed that the chance of detection rises with the
number of people involved.
1.1 STATEMENT OF
PROBLEM
Despite the fact that there are installed control and check
of resources, embezzlement and fraud of resources misappropriate of funds,
errors,irregularities and mistake stills find their ways into the public
enterprises.
Internal audit department was established to reduce those
excesses however, in Nigeria public enterprises this is not so, as there are
series of problem which has been hindered in the internal audit efficiency.
1.2 PURPOSE OF THE
STUDY
Thebroad objective of this is to examine the effect of
internal audit on managerial performances in public enterprise (NNPC). However,
some of the specific objectives are as follows:
· To identify
the factors that hinder audit efficiency in NNPC as a public enterprise.
· Reduce
excesses of the internal auditing department of NNPC Identifying problems and
accountability in NNPC.
· Examine the
factors that hinder internal audit efficiency and how these factors are
impinged. It is also shapes up performance of management
1.3 SIGNIFICANCE
OF THE STUDY
The role of internal audit departmentis called upon to play
especially in public enterprise and the ignorance of the employees makes this
study importantWith sound internal audit, management that is characterized by
fraud, errors, irregularities, and mistakes in the public enterprises which has
resulted by the notion that government business are not supposed to make profit
is bound to be eliminated.
The management, employers, employees aswell as student
benefit from this study.
1.4 RELEVANT
RESEARCH QUESTIONS
Below are some questions that would be answered during the
course of this research works.
· What is the
impact of internal audit on the performance in public sector
· Does establish
control failed to enhance management performance in Nigeria public enterprise
(NNPC)
· Is there any
factors that determine the performance of the management in NNPC
· Does effective
internal audit enhance reduction of fraud?
· Is there any
factor that prevent; internal audit from being effective and efficient in NNPC.
1.5 STATEMENT OF
THE HYPOTHESIS
To ensure a mere analytical result oriented research,
hypothesis are formulated and tested on the research objectives.
The decision criteria are to accept the null hypothesis (HO)
and reject the alternative hypothesis (Hi) or otherwise based on the result of
the test performed. The research hypotheses are stated below:
Hypothesis 1
HO: Internal audit
has no significant impact on the reduction of embezzlement in public
enterprises
Hi: Internal
audit has significant' impact on the reduction embezzlement in public
enterprises
Hypothesis 2
HO: Established
control has no significant effect on managerial performance.
Hi: Established
control has significant effect on managerial performance.
1.6 DELIMITATION
OF THE STUDY
The scope of limited to various measurement of internal audit
which are used in public enterprises. The constraints to this study are time,
in adequate information, lack of enough literature on this subject arid
information which are considered confidential were not revealed by some of the
staff.
HOW TO GET THE FULL PROJECT WORK
PLEASE, print the following instructions and information if you
will like to order/buy our complete written material(s).
HOW TO RECEIVE PROJECT MATERIAL(S)
After paying the appropriate amount (#5,000) into our bank Account
below, send the following information to
08068231953 or 08168759420
(1) Your project topics
(2) Email Address
(3) Payment Name
(4) Teller Number
We will send your material(s) after we receive bank alert
BANK ACCOUNTS
Account Name: AMUTAH DANIEL CHUKWUDI
Account Number: 0046579864
Bank: GTBank.
OR
Account Name: AMUTAH DANIEL CHUKWUDI
Account Number: 2023350498
Bank: UBA.
FOR MORE INFORMATION, CALL:
08068231953 or 08168759420
AFFILIATE LINKS:
myeasyproject.com.ng
easyprojectmaterials.com
easyprojectmaterials.net.ng
easyprojectsmaterials.net.ng
easyprojectsmaterial.net.ng
easyprojectmaterial.net.ng
projectmaterials.com.ng
googleprojectsng.blogspot.com
myprojectsng.blogspot.com.ng
https://projectmaterialsng.blogspot.com.ng/
Comments
Post a Comment