Global Advanced Research Journal of Management and Business Studies (GARJMBS) ISSN: 2315-5086 June 2014 Vol. 3(6), pp 242-248

Copyright © 2014 Global Advanced Research Journals   

 

Original Research Articles

Corporate Failure and the Dilemma of Auditors 

Friday E. Akpan and Adebisi, Joseph Femi, Ph.D 

Nigerian College of Accountancy,  kwall, near Jos - Plateau State.

Corresponding Author Email: adebisijf@yahoo.com 

Accepted 18 June 2014

 

Abstract

Corporate failure has continued to dominate the entire corporate environment throughout the World, and Nigeria is not an exception. This has elicited continuous outcry about corporate survival; and the blame is always shifted to corporate management on the account of its failure to harness and use available resources effectively and efficiently for good corporate objectives. Thus, there is an increasing lack of confidence on corporate management. The negligence has led to untimely liquidation of many businesses. The main objective of the study is to examine corporate failure and the dilemma of auditors and expectation gap which has led to some pressures for increased auditor liability. It further looks at corporate failure and where the auditors share in it. The study made use of survey research design and the population for the study comprise of 200 questionnaires administered made up of shareholders, business groups and employees within Jos metropolis of Plateau State. We had 188 respondents representing 94% of the survey. Data were presented on tables of percentages and we tested the research hypotheses wit f-ratio. Findings from the study revealed that corporate failure exist despite efforts of auditors to carry out effective audit and corporate scrutiny. Proper auditing of financial records of companies has a relationship with corporate survival, and remains competitive and transparent in business environment as required by International Financial Reporting Standard (IFRS). The following recommendations were made. Corporate Auditors should perform audit with technical competence, integrity, and independence with defined objective. They should search for and detect material misstatements whether intentional or unintentional. Government and relevant stakeholders corporate owners about engaging competent hands in carrying out corporate audit in line with international best practice as these will enhance total compliance with requirements of IFRS as this will reduce incidences of corporate failure. 

Keywords: Corporate failure, Corporate world, IFRS, Survival.

Related Articles


Original Research Articles
Maria L Salvetat, Marco Zeppieri, Flavia Miani and Paolo Brusini
Endothelial cell loss and graft survival after Descemet stripping automated endothelial keratoplasty (DSAEK): 6-year follow-up
Glo. Adv. Res. J. Manage. Bus. Stud. June 2015 Vol: 4(6): - [Abstract] [Full Text - PDF] (127 KB)
SY Annor, BK Ahunu, GS Aboagye, K Boa-Amponsem and J.P Cassady.
Phenotypic and genetic parameter estimates for grasscutter production traits. 1. (Co) variance components and heritability
Glo. Adv. Res. J. Manage. Bus. Stud. August 2012 Vol: 1(6): - [Abstract] [Full Text - PDF] (175 KB)
Ariel Strazza, Daniela R Montagna, Mónica Aixala, Roberto P Meiss, Paula Chiarella and Raúl A Ruggiero
Revisiting the phenomenon of concomitant tumor resistance and its impact on established metastases of murine and human origin
Glo. Adv. Res. J. Manage. Bus. Stud. December 2017 Vol: 6(12): - [Abstract] [Full Text - PDF] (181 KB)
Letter to Editor
Giandomenico Roviello
Role of time to PSA progression as prognostic factor for overall survival in new therapeutic agents for treatment of patients with metastatic hormone-refractory prostate cancer
Glo. Adv. Res. J. Manage. Bus. Stud. October 2013 Vol: 2(10): - [Abstract] [Full Text - PDF] (137 KB)
Original Research Article
Nooshin Sajjadi and Abdolah Raesi Sarasiab
Evaluation of LC50 of Nanoparticle of Mercury and Selenium in Different life Stages of the Fish Tenualosa ilish (Hamilton 1822) in the Environment Experimental
Glo. Adv. Res. J. Manage. Bus. Stud. September 2018 Vol: 7(9): - [Abstract] [Full Text - PDF] (833 KB)
Review
Adekunmisi, Sowemimo Ronke
Strategies for marketing library services and information products in Nigeria.
Glo. Adv. Res. J. Manage. Bus. Stud. December 2013 Vol: 2(12): - [Abstract] [Full Text - PDF] (161 KB)

Current Issue

Viewing Options

View Full Article - PDF
Download Full Article - PDF

Search for Articles

Friday Akpan E on Google Scholar
Friday Akpan E on Pubmed
Adebisi on Google Scholar
Adebisi on Pubmed
Joseph Femi on Google Scholar
Joseph Femi on Pubmed

Statistics

Viewed 1144
Printed 358
Downloaded 1868
Powered By iPortal Works