Journal of Emerging Trends in Economics and Management Sciences: Home

Abstract:
Criticism of auditors and litigation against them may result from auditors? failure to meet society?s expectations of them. It may be that society?s expectations are unreasonable, or that society?s expectations are reasonable but that auditors? existing legal and professional requirements do not fulfill these expectations. This study examined the existence of expectations gap between the auditors and users of financial statements in Nigeria. The study adopts a survey research design.400 copies of questionnaire were administered on auditors, bankers and investors in Ibadan and Osogbo, Nigeria. Data collected were analyzed using cross-sectional Friedman Test analysis and Analysis of Variance (ANOVA). The study reveals that an audit expectation gap exists in Nigeria. We therefore recommended that the role and responsibility of auditors in the areas of fraud and illegal acts should be broadening. It is also necessary to raise the awareness of the financial statements users about auditing profession, its roles and objectives in the community.

Keywords: audit, audit expectation gap, fraud, role conflict theory, Nigeria.

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