The Impact of Audit Report in Organizational Performance (A Case Study of Power Holding Company of Nigeria, Ughelli Branch)

ABSTRACT

This is a research work that is carried out on the impact of audit report on organizational performance, Ughelli Branch. This study explains what audit is all about, stating clearly that it is a written report about the accuracy and reliability of a client by a qualified auditor which is presented to the management in form of financial statement. Base on this report, the auditor goes on to express his opinion on whether the financial statement of the organization to shows a true and fair view during the year under review. The study clearly review the problems of financial statement of an organization, the areas to be covered on the study which is restricted to P.H.C.N Ughelli in particular, the source of information which involves the use of questionnaires and time limit given to complete the study. Report writing has to do with communication and conveying information and ideas to someone else. This testifies if the report is writing by an independent public account on the basic of a standard examination of the financial statement of a client’s company. The reporting auditor has a message, which he wishes to convey to those who will need his report. In writing a report, an auditor must assume that his researcher will have some basic knowledge of business operators of accounting statement and of the particular company to which the report may concern. The auditor must be independent. The American institute of certified public accountants has established some standards that are to be observed by its member in their professional work. The original under review must have an internal control system, which contain its plan, assignment and responsibilities. The auditor work is carried out at the client’s premises auditors expresses an unqualified opinion on a client’s financial statement when the report does not contain certain reservations. The qualified opinion restricts the auditor’s responsibility for fair presentation in some areas of the financial statement. 

 

 

TABLE OF CONTENTS

Title                                                                                                            i

Approval                                                                                                    ii

Certification                                                                                               iii

Dedication                                                                                                 iv

Acknowledgement                                                                                     v

Abstract                                                                                                      vi

Table of content                                                                                        vii

CHAPTER ONE: Introduction     

1.1        Background of the study                                                                 1

1.2        Statement of the problem                                                                2

1.3        Purpose of the study                                                                       3

1.4        Research questions                                                                        3

1.5        Significance of the study                                                                 4

1.6        Scope/Delimitation of the study                                                      4

1.7        Limitation of the Study                                                                    5

1.8        Operational definition of terms                                                       6

CHAPTER TWO: Literature Review

2.1        Introduction                                                                                      8

2.2        The Boar of Directors and Its Members                                         10

2.3        Power of the Board                                                                         11

2.4        The General Managers and his Principal Officers                        11

2.5        Financial Department                                                                      15

2.6        Importance of Power                                                                       18

2.7        Qualification of Auditor                                                                    19

2.8        Auditors Examinations and Evaluation Standard                          20

2.9        Internal Control                                                                                21

2.10    Adequate Planning                                                                         22

2.11    Audit Evidence                                                                                24

2.12    Form and Distribution of the Report                                               25

2.13    Report on Group Account                                                               25

2.14    Timeless of Reporting                                                                     25

2.15    Financial Reporting                                                                         26

2.16    Qualified and Unqualified Opinion                                                 27

2.17    Report to Management                                                                   28

2.18    Relationship of Auditor to their Parties                                           28

CHAPTERTHREE: Research Methodology

3.1        Introduction                                                                                     30

3.2        Research Design                                                                             30

3.3        Population of the study                                                                   30

3.4        Sample size                                                                                     30

3.5        Sampling Techniques                                                                      31

3.6        Research Instrument                                                                       32

3.7        Validation of the Instrument                                                            32

3.8        Reliability of the Instrument                                                            33

3.9        Method of data collection                                                                33

3.10    Method of data analysis                                                                  33

CHAPTER FOUR: Data Presentation and Analysis                                   

4.1    Introduction                                                                                     35

4.2    Data Presentation and Analysis                                                     35

4.3    Discussion of Findings                                                                              42

CHAPTER FIVE: Summary, Conclusion and Recommendations

5.1    Summary of findings                                                                       44

5.2    Conclusion                                                                                      45

5.3    Recommendation                                                                            45

          Bibliography                                                                                     47

          Appendix                                                                                          48

          Questionnaire                                                                                  49