The Impact of Internal Auditing in Ini Local Government Administration

The Impact of Internal Auditing in Ini Local Government Administration


The Impact of Internal Auditing in Ini Local Government Administration


Quick Navigation for Final Year Undergraduates, Masters (Thesis), and Ph.D. Dissertation Students Who Need Our Services on Their Research Works

Find More Project TopicsFIND HERE
Hire Us for Thesis WorksHIRE NOW
Hire Us for Project WorksHIRE NOW
Hire Us for Seminar WorksHIRE NOW
Hire Us for AssignmentsHIRE NOW
Hire Us for ProposalsHIRE NOW
Contact  UsHERE NOW




Chapter One of The Impact of Internal Auditing in Ini Local Government Administration



This work “impact of internal Auditing in Local Government Administration” aims at analyzing whether the internal auditing enables management to ensure efficient use of resources. In modern business organizations, Management and ownership are distinguished. The purpose management is to make it possible for people to operate in groups through the use of available human and material resources in order to make gain. Many organizations render valuable service to both members of the public and government. Examples are Local Government Areas whose services include provision and maintenance of road, Motor park, market, health service and primary school, as well as the maintenance of peace and order in the society.

It is through Local Government that State and Federal Government generate enough revenue to finance their projects yearly. The nature of services offered by Local Government place the state and Federal Governments at high level of generating revenues.

It is based on these reasons that efficient operational results are demanded from the various Local Government Administration.

Efficient management only result through sound internal control and other control measures adopted by management. However, the introduction of control measures cannot itself guarantee profitability of any enterprise without the activities of the organization being reviewed, measured, evaluated and appraised.

An important tool used for this purpose is the Internal Audit Function. Auditing, in general, involves an independent examination and investigation of the guidance from which the financial statement has been prepared with a view to enabling the independent examiner report, whether in his opinion and according to the best of the information and explanations obtained by him, the statements is properly drawn up and gives a true and fair view of what of reports to show and if not, to report in what respects he is not satisfied. (Ayasi, 1982).

Internal auditing, as a branch of auditing, is defined by the international federation of accountant (1984) as “an element of internal control system set up by management of an enterprise to examine, evaluate and report on accounting and other controls and operation”. Commenting on the role of internal auditors, Authens Holmes ad Wyane Overniyem (1976) said the internal auditor appraises  financial records, accounting and operating procedures, evaluates the system of internal control periodically, summarizes the results of the continuous investigation and prepares recommendation for better operation and report the result o f his findings to top management.

The internal auditing is a management tool which functions by appraising all activities of the organization with a view to helping management attain its defined goals and objectives efficiently and effectively. Besides, internal auditing assists the operation of the independent auditor ensuring that a good system of internal control is maintained within the organization.


The researcher observed that the importance of internal auditing has not been realized by the management of most organizations including Local Government Councils.

It is also observed that most assets of the Local Government Councils are exposed to waste and fraud as a result of poor or weak internal auditing carried out by internal audit unit.

In addition, the researcher observed that failure by the management to realize the benefits of internal auditing and the inability of the management to implement efficient management of the assets of the council which has negative effect on the council’s productivity.


The study was carried out by the researcher in order to discover the following:-

  1. The reason for creating in the Local Government Council and administration.
  2. If internal auditing enables management to ensure efficient use of resources.
  3. The benefits management derives from the services of internal audit department.
  4. The scope of work for internal audit department in the Local Government Council.
  5. The possible problems always confronting internal auditors and how to solve them.


To obtain accurate and concise facts for this study, few research questions were selected and answered in the study.

  1. What is the purpose of creating internal audit department in Ini Local Government Council?
  2. Is there any benefit derived from internal auditing by the management of Local Government Council?
  • What is the extent of work covered by the internal audit department in the council?
  1. What are the major problems encountered by the council internal auditors in the process of their work?


This study was taken to shade more light on “The impact of Internal Auditing in Local Government Administration” in Local Government Council. It is essential in a number of ways such as: The study will reveal the reasons responsible for frequent loss of assets and occurrence of frauds leading to inefficient management by consecutive Local Government Council Management. The study will also enlighten the management of Local Government Council on the need to establish a strong internal audit department in their respective councils and also improve their functions.

The study is further intended to point out  to the management and other employee of the Local Government that internal auditing is not a threat to their jobs but is mainly to ensure compliance with established system and polices set up by management.


This study was limited in scope by the following three factors:-

The study was conducted on the impact of internal auditing in Ini Local Government Council in Akwa Ibom State. No such study was conducted in any other Local Government Council within or outside the state. The study investigated the impact of internal audit.


For the purpose of this study, the following terms were used as defined.

AUDIT:      Audit is an examination of the books of accounts and vouchers of a business organization, as will enable the auditor to satisfy himself/ that the balance sheet is properly prepared  so as to give a true and fair view of entity for the financial year (Bigg, 1965).

ACCOUNTING: This is the process of recording classifying, selecting, measuring, interpreting and communicating financial data of an organization to enable user make assessments and decision. It is a discipline which comprises a set of theories and concepts for processing financial data into information. (Longe and Kazeem,1999).

AUDITING: Auditing is the independent examination of, an expression of opinion on, the financial statements of an enterprise by an appointed auditor in pursuance of that appointment and in compliance with any relevant statutory obligation (Adeniji, 2004).

AUDITOR: An auditor is an independent public accountant who has the sufficient professional qualification to express an opinion as to the truth a d fairness of the financial statement of an organization.

INTERNAL AUDIT: According to Okolo (1987) internal audit is the independent review or appraise within an organisation of the accounting, financial and other operations as a basis for protective and constructive service to management.

MANAGEMENT:- The is an enquiry into the effectiveness of management. Management audit is an enquiry into the advisability of any of the polices of the directors in furthering the objectives of the company as defined with which they are securing the execution of the policies (Mithchamp, 1987).




This research material is intended for academic use only and should be used as a guide in constructing your research project and seminar presentation. You should never duplicate the content word for word (verbatim), as SCHOOLTHESIS.COM will not be held liable for anyone who does.

The purpose of publishing this material is to alleviate the stress of hopping from one school library to the next in search of research materials. This service is lawful because all educational institutions allow students to read past projects, papers, books, and articles while working on their own.

SCHOOL THESIS is merely giving this information as a research reference. Use the document as a reference or structure for your own research paper. This paper’s content should be able to assist you in coming up with new ideas and thoughts for your own study

The Impact of Internal Auditing in Ini Local Government Administration research paper, should only be used as a guide.