Examining Audit Expectation GAP: Evidence Form Palestine رسالة ماجستير

Abstract

This study aimed to explore the existence and prevalence of the audit expectations gap in listed companies in Palestine Exchange. This thesis examines the internal auditors as well as the external auditors’ perception and attitudes regarding the extent of the audit expectation gap in the audit profession. This study follows the quantitative research approach using questionnaire design utilizing E. survey design using Google drive. Besides, (211) questionnaires were distributed and she was able to obtain (189) filled questionnaires and valid for analysis. The study found that there is a high level of audit expectation gap in listed firms in Palestine. The most prevalent are the independence audit expectation gap. The audit performance gap, and the responsibilities audit expectation gap. The study also found that there are a number of methods and strategies to decrease the audit expectation gap such as improving the credibility of the report among users of financial statements. Also, improving the quality of the internal control system in the company. Likewise, supporting the independence of the external auditor by separating the audit process from other services provided by audit offices reduces the audit gap. Also, the study results showed that there are insignificant differences in the mean of the studied sample toward the audit expectations gap attributed to age, experience, size of audit firm/department, position, nature of work. However, there are significant differences in the mean of the studied sample toward the audit towards audit expectations gap attributed to academic achievement and it was for the best interest of those holding a master’s degree. The study suggested that the Palestinian Association of Certified Public Accountants should involve in auditors training and development to improve the efficiency of the auditors and o increase their awareness of their duties and responsibilities. Likewise, the VI auditors should work hardly to develop their competencies and experiences in audit field best practices.