The Role of Internal Auditors to Attract the Investors in Kurdistan Region of Iraq

Hawkar Anwer Hamad; Khowanas Saeed Qader

doi:10.25212/lfu.qzj.9.1.53

المؤلفون

Hawkar Anwer Hamad Department of Accounting and Finance, College of Administration and Economics, Lebanese French University, Kurdistan Region, Iraq
Khowanas Saeed Qader Department of Accounting and Finance, College of Administration and Economics, Lebanese French University, Kurdistan Region, Iraq

DOI:

https://doi.org/10.25212/lfu.qzj.9.1.53

الكلمات المفتاحية:

Internal Auditor; Financial Report; Investors, Organizations.

الملخص

The exponential rise in globalization has transformed many sectors including internal auditing. Today’s businesses are relied on quality and standard internal reporting in order to attract both local and foreign investors. Thus, it is vital for internal auditors to implement international financial reporting standards. The purpose of this study is to explore the role of internal audit in attracting investors. To analyze this issue, the study developed a model with four constructs; internal auditor experience, standard or qualitative internal auditing reports, organizational productivity and attracting investors. Data were collected from internal auditors working in different sectors (both public and private) and analyzed using SPSS. Correlations between variables are evaluated based on descriptive statistics, Structure Equation Modelling (SEM), reliability, validity and regression analysis. The study’s findings have shown that experienced internal auditors designed qualitative and standard internal auditing reports which attract both foreign and local investors compare to inexperienced internal auditors.

التنزيلات

بيانات التنزيل غير متوفرة بعد.

المراجع

Ali, Z., & Bhaskar, S. B. (2016). Basic statistical tools in research and data analysis. Indian journal of anaesthesia, 60(9), 662.

Allegrini, M., & D’Onza, G. (2003). Internal auditing and risk assessment in large Italian companies: an empirical survey. International Journal of Auditing, 7(3), 191-208.

Asare, S. K., & Wright, A. M. (2012). Investors', auditors', and lenders' understanding of the message conveyed by the standard audit report on the financial statements. Accounting Horizons, 26(2), 193-217.

Berry, A., & Robertson, J. (2006). Overseas bankers in the UK and their use of information for making lending decisions: Changes from 1985. The British Accounting Review, 38(2), 175– 191.

Briozzo, A., & Albanese, D. (2020). Voluntary audit, investment, and financing decisions in Latin American small and medium enterprises. Journal of International Accounting, Auditing and Taxation, 100302.

Broadley, D. (2006). Auditing and its role in Corporate governance, FSI Seminar on Corporate Governance for Banks.

Elorrieta, A. M. (2002). Disclosure and Transparency Accounting and Auditing, The Third Meeting of the Latin American Corporate Governance Roundtable, OECD & World Bank Group.

Fallatah, Y. (2006). The role of asset reliability and auditor quality in equity valuation. Florida Atlantic University.

Ghosh, S. (2007). External Auditing, Managerial Monitoring and Firm Valuation: An Empirical Analysis for India. International Journal of Auditing, 11(1), 1–15.

Gómez‐Guillamón, Antonio Duréndez. "The usefulness of the audit report in investment and financing decisions." Managerial Auditing Journal 18, no. 6/7 (2003): 549-559.

IFAC. (2014). Handbook of International Quality Control, Auditing, Review, Other Assurance, and Related Services Pronouncements. Volume I.

Samsonova-Taddei, A., & Humphrey, C. (2014). Transnationalism and the transforming roles of professional accountancy bodies: Towards a research agenda. Accounting, Auditing & Accountability Journal, 27(6), 903-932.

Krauss, S. E. (2005). Research paradigms and meaning making: A primer. The qualitative report, 10(4), 758-770.

Lenz, R., & Sarens, G. (2012). Reflections on the internal auditing profession: what might have gone wrong?. Managerial Auditing Journal.

Leung, P., Cooper, B. J., Hass, S., Abdolmohammadi, M. J., & Burnaby, P. (2006). The Americas literature review on internal auditing. Managerial Auditing Journal.

Magembe, B. A. S., Sethibe, A., & Kitindi, E. G. (2007). Lending decision making and financial information: The usefulness of corporate annual reports to lenders in Botswana.

Marczyk, G., DeMatteo, D., & Festinger, D. (2005). Essentials of research design and methodology. John wiley & sons, Inc..

Martínez‐López, F. J., Gázquez‐Abad, J. C., & Sousa, C. M. (2013). Structural equation modelling in marketing and business research. European Journal of Marketing.

Moorthy, M. K., Mohamed, A. S. Z., Gopalan, M., & San, L. H. (2011). The impact of information technology on internal auditing. African Journal of Business Management, 5(9), 3523-3539.

Moradi, A., Poschmann, A., Ling, S., Paar, C., & Wang, H. (2011). Pushing the limits: A very compact and a threshold implementation of AES. In Advances in Cryptology–EUROCRYPT 2011: 30th Annual International Conference on the Theory and Applications of Cryptographic Techniques, Tallinn, Estonia, May 15-19, 2011. Proceedings 30 (pp. 69-88). Springer Berlin Heidelberg.

Ramamoorti, S. (2003). Internal auditing: history, evolution, and prospects: research opportunities in internal auditing. The Institute of Internal Auditors (IIA), The United States of America, 1-23.

Salehi, Mahdi. "Evaluating effectiveness of external auditors' report: Empirical evidence from Iran." Pakistan Journal of Commerce and Social Sciences (PJCSS) 4, no. 1 (2010): 69-83.

Sarens, G. (2009). Internal auditing research: Where are we going? Editorial. International Journal of Auditing, 13(1), 1-7.

Sawyer, L. B. (1993). Why internal auditing?. Internal Auditor, 50(6), 43-49.

Tenenhaus, M. (2008). Component-based structural equation modelling. Total quality management, 19(7-8), 871-886.