Alfa Tahir, Fatima and Md. Idris, Kamil and Zainol Ariffin, Zaimah (2014) Measuring Nigerian stakeholders’ perceptions of auditor independence: A proposed framework. Asian Social Science, 10 (14). pp. 81-92. ISSN 1911-2017

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Abstract

The significance of the audit function stems from the need to enhance the credibility and reliability of financial reports by providing reasonable and objective assurance that the financial reports are indeed a reflection of the true state of affairs of a business concern. However, because an auditor’s state of mind is difficult to observe, stakeholders of audit quality generally evaluate the auditor’s appearance of objectivity by considering whether or not auditors are able to avoid circumstances that impair Audit Independence (AI). In this regard, most AI researches focus on examining factors influencing perceived audit independence (PAI) and not what actually constitutes PAI and how it can be measured.This paper proposes that PAI can be measured by assessing how auditors use safeguards to manage AI threats to acceptable levels that may no longer compromise AI.This in turn establishes the constituents of PAI and provides a basis for measuring AI.

Item Type:	Article
Uncontrolled Keywords:	independence in appearance, threats, safeguards
Subjects:	H Social Sciences > HF Commerce > HF5601 Accounting
Divisions:	Tunku Puteri Intan Safinaz School of Accountancy (TISSA)
Depositing User:	Prof. Dr. Kamil Md Idris
Date Deposited:	14 Apr 2016 00:15
Last Modified:	14 Apr 2016 00:15
URI:	https://repo.uum.edu.my/id/eprint/17772

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