Investigating Using Audit Risk Model: Evidence from the View of Palestinian Auditors رسالة ماجستير

Abstract

This study explored how well external auditors in Palestine apply the audit risk model and the factors influencing its implementation. Using a quantitative approach with a descriptive design, data were collected from 129 auditors registered with the Association of Certified Public Accountants and those from the four largest auditing firms in Palestine. The findings revealed a strong commitment among auditors to applying the audit risk model, particularly focusing on detection, inherent, control, and acceptable risks. This commitment stems from the model's role in enhancing audit quality, efficiency, and resource allocation. Common responses to audit risks included increasing the timing and quantity of samples, greater auditor involvement in planning, and modifying evidence types. Minor differences in auditors' views on implementing the model were noted, influenced by factors like experience, certifications, academic background, audit team size, and firm size. However, opinions varied significantly based on the auditors' individual perspectives. The study recommends that Palestinian auditing firms increase their focus on adhering to the audit risk model due to its benefits and alignment with international standards. Additionally, it suggests that the Palestinian Association of Certified Public Accountants and related organizations should offer training for inexperienced auditors to better understand and manage audit risks.