The Role Of Internal Auditing On Management’s Control Success

The Role Of Internal Auditing On Management’s Control Success

Abstract

This study was to examine and find out the part of auditing on operation’s control success with a particular reference to the Department of Audit, Ministry of Finance, Uyo, Akwa Ibom State. To achieve this ideal, four exploration questions and three exploration suppositions were formulated to guide the experimenter study. The data collected were anatomized using simple probabilities and tables to dissect exploration questions, and Chi-square statistical tool was used for testing the exploration suppositions. A structured questionnaire was used as the major instrument for data collection from the staff and operation of Department of Audit, Ministry of Finance, Uyo. After careful analysis of the data, the following findings were revealed that; auditing enhances responsibility in public sector in Nigeria. The study was concluded with some recommendations that the state government should ameliorate the remuneration and borderline benefits of internal adjudicators as this would enhance their effectiveness and honesty in the discharge of their duties. really, upholding integrity, neutrality and translucency in the conduct of their separate inspection functions will make the internal adjudicators to be more applicable in the public sector and the rate of shy good force in the inspection departments in the public sector should be minimized. To make this effective, further adjudicators with the needed professional knowledge and skill should be employed. Government should show further commitment in this area.

Chapter One

Preface

Background Of The Study

Organization all round the world be it public or private or else needs auditing for proper assessment of their fiscal statements. Auditing is an independent examination of an expression of opinion on the fiscal statement of an enterprise or association by an appointed adjudicator in performance of that appointment and in compliance with any applicable statutory obligation( Chamber, 2008). It aims at furnishing result to the ineluctable problem of credibility in report and accounts. It prevents and detects crimes and frauds and also produces a report of the true and fairness of the fiscal statement( Coper, 2003). They also gain full understanding of the operations under review. The part of internal inspection has grown extensively in utmost associations in the recent history. This can be attributed incompletely to the growth of the associations, which entails extensively extended operations and the need to insure that the associations programs and introductory account controls are observed at every hand of the association. Again, it can be observed as a measure by operation to insure that the government regulations concerning the operations of associations, both public and private are properly complied with so as to guard against conflicts and inconsistence with the law.

As the association expands and administrative responsibility broadens, the head can no longer have particular knowledge of every aspect of the association. It becomes insolvable for him to control or cover the continuing effectiveness of all controls. This calls for the delegation of this responsibility to a separate department called the internal inspection department. Internal Audit Department is a department set up by operation, generally manned by a Chartered Accountant, as established in section 358 of the companies Act 1976, to admit the conditioning of other workers thereby enhancing controls in the association. Management’s Control Success

opinions may be made for colorful purpose and they vary from one business to another. Internal control provides assurance and responsibility of the fiscal statements used in making decision, hence, there’s need for auditing of fiscal statement, Auditing thus is made to determine whether persons in positions of financial responsibility in government and commerce are acting and reporting in an honest manner.

The ministry of finance plays a vital part in the overall planning, controlling and disbursement of government finances, for the day to day handling of the state administration. principally, these functions are carried out by colorful departments in the ministry, the departments; labor force finance and inventories, planning, exploration and statistics, office of the Accountant general. Internal Auditing

The labor force department is headed by a director and its functions include appointment, creation and discipline of staff and other staff weal matters. The department of finance and inventories is headed by director, whose functions include provision of finance operation information to the ministry of decision timber.

Planning, exploration and statistics department is headed by a deputy director exploration into colorful aspects of government finances and frugality while administrative director is in charge of ministry of finance incorporated.

The office of the Accountant general is headed by Accountant general whose functions include provision of effective Account services to the government and advising on fiscal matters. At the helm of affairs in the ministry is the Chief Executive called Honourable Commissioner for Finance while the Chief Accounting Officer is the Permanent Secretary. Management’s Control Success

In general, this ministry takes charge to disbursement of finances to ministries, departments, boards and parastatals for payment of staff hires and stipend, pensions and statistics. The main focus of this exploration state the intention of the experimenter to study the impact inspection could produce on public sector account system in Akwa Ibom State.