THE AUDITOR AS AN INDISPENSABLE PART OF A PROFITABLE BUSINESS ORGANIZATION: A CASE STUDY OF DANGOTE FLOUR MILL PLC

ABSTRACT
The broad objective of this study is to examine the auditors as an indispensable part of a profitable business organization: a case study of Dangote flour mills plc. The specific objectives were to show if awareness of high risk areas (HRISK) by external auditor, external auditor independence (INDEXT) and positive synergy between external and internal audit has a significant effect on profitable business organization. The research design for this study is the exploratory research design. The study selected staffs of Dangote flour mill. A total sample of 55 respondents was selected using the simple random sampling technique. Descriptive statistics and Ordinary Least Squares Regression was used for the data analysis. The findings reveal that awareness of high risk areas (HRISK) by external auditor has a significant effect on fraud detection, external auditor Independence (INDEXT) has a significant effect on fraud detection and finally, positive synergy between external and internal Audit has no significant effect on fraud detection. Based on the study findings, the study recommends that there is the need for auditors to develop their skill in easily identifying high risk areas that reveal easy loopholes for fraud to be perpetuated. Secondly, the independence of the external auditor must be protected such that the auditor is not influenced in carrying his/her duties. Thirdly, internal auditors must be fully committed to assisting external auditors in their roles and disclosing full information that is required by external auditor.

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