An Analysis of Multi-Location Audit Risk Factors and the Improvement of the Audit Process: An Empirical Study
Hegazy, Mohamed and El Nahass, Marwa. (2012) An analysis of multi-location audit risk factors and the improvement of the audit process: An empirical study. Journal of economics and engineering, 3(1), 35-48
14 Pages Posted: 18 Jun 2014
Date Written: April 1, 2012
Purpose - This study aims to explore and explain the risk factors affecting Multi-location Audit Risk.
Methodology - An empirical study was conducted for the assessment of multi-locations audit risk factors applied in the Egyptian audit firms. The researchers joined an audit team in one of the largest Egyptian audit firms for a period of about six months observing how multilocation audits are performed. The researchers used a questionnaire and interviews with professional senior auditors. A number of hypotheses were tested using descriptive data analysis and Spearman correlations.
Findings - The results showed that the study hypotheses are accepted. They further indicated the absence of direct guidelines for professional auditors in performing multi location audits in Egypt.
Value - The main contribution of this study is detailed analysis of the nature of Multi-location audit risk leading to a proposed multi-location audit framework. This framework was divided into sections that reflected the preplanning and the substantive tests in multi-location audit firms in Egypt. This framework included proposed audit procedures to help audit practitioners perform a quality audit.
Keywords: Multilocation audits, multilocation audit risk, Audit risk, Audit risk model
JEL Classification: 41
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