Journals Information
Universal Journal of Accounting and Finance Vol. 10(1), pp. 243 - 253
DOI: 10.13189/ujaf.2022.100125
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Factors Influencing Auditors' Professional Scepticism: Malaysian Evidence
Razana Juhaida Johari 1,*, Tarmizi Mohd Hati 2, Sayed Alwee Hussnie Sayed Hussin 3
1 Faculty of Accountancy, Universiti Teknologi MARA, Malaysia
2 Majlis Peperiksaan Malaysia, Persiaran 1, Malaysia
3 Jabatan Audit Negara, Pusat Pentadbiran Kerajaan Persekutuan, Malaysia
ABSTRACT
The practice of professional scepticism is an essential element to audit quality. An auditor is required to have a sceptical attitude to minimize the mistakes made during the examination or investigation of financial statements. However, the occurrences of corporate scandals among the audited companies had affected the public’s confidence and the blame was shifted on auditors for ineffective application of professional scepticism. Therefore, this study examines the potential factors that influence auditors’ professional scepticism including auditors’ trust, locus of control, and fraud risk assessment. The primary data were collected through the questionnaires given to the auditors from public accounting firms in Kuala Lumpur. The results of this study show that the attitude of professional scepticism has no significant bearing on auditors’ level of competence (knowledge and experience). Whereas, there are positive relationships between auditors’ trust, fraud risk assessment, work internal locus of control and professional scepticism.
KEYWORDS
Auditors' Professional Scepticism, Competence, Trust, Locus of Control, Fraud Risk Assessment, Malaysia
Cite This Paper in IEEE or APA Citation Styles
(a). IEEE Format:
[1] Razana Juhaida Johari , Tarmizi Mohd Hati , Sayed Alwee Hussnie Sayed Hussin , "Factors Influencing Auditors' Professional Scepticism: Malaysian Evidence," Universal Journal of Accounting and Finance, Vol. 10, No. 1, pp. 243 - 253, 2022. DOI: 10.13189/ujaf.2022.100125.
(b). APA Format:
Razana Juhaida Johari , Tarmizi Mohd Hati , Sayed Alwee Hussnie Sayed Hussin (2022). Factors Influencing Auditors' Professional Scepticism: Malaysian Evidence. Universal Journal of Accounting and Finance, 10(1), 243 - 253. DOI: 10.13189/ujaf.2022.100125.