An Assessment of Electronic-Auditing and Economic Value of the Nigerian Listed Companies
Keywords:Economic value, electronic-auditing, information technology, internal auditor, pandemic
The bid for an internal auditor to remain relevant in a technologically driven business and add value in a modern and complex global business environment remains a challenge in the accounting profession in Nigeria. This study evaluated the effect of electronic-auditing by internal auditors for the improved economic value of listed companies in Nigeria. The study adopted a survey research design. The sample size of the study consisted of 24 companies selected from the eleven industrial sub-sectors (Agriculture, Conglomerates, Construction, Consumer goods, financial services, Services, Health Care, ICT, Industrial goods, Natural Resources and Oil and Gas sectors) among the 161 listed companies on the Nigerian Stock Exchange as at 30 November 2019. The sample frame of this study is 5,012 respondent units, and the sample size is 501, comprising 401 internal auditors and 100 top management staff. A validated structured questionnaire with a five-point Likert-type scale was administered, and 78.443% response rate was achieved. Random sampling technique was adopted in the selection of the 24 companies with about two companies representing each sector. The research instrument was subjected to content validity and reliability test, which yielded Cronbach’s alpha coefficient value of 0.80. The findings revealed that electronic-auditing had a positive and significant effect on the economic value of listed companies in Nigeria (? = 0.061, t(393) = 4.396, p<0.05). The study concluded that possession and utilisation of electronic-auditing skills are essential for internal auditors who must have the requisite expertise to analyse the risks that advance technology requires to be able to add economic value in an organisation.
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