Bridging the Expectation Gap in External Audits:

Insights from Our Recent Round Table Conference in September 2024

Introduction

At our recent round table conference, we delved into the critical issue of bridging the expectation gap in external audits. The expectation gap - disparities between what stakeholders expect from an audit and what auditors can realistically deliver - remains a pivotal concern in maintaining the credibility and reliability of financial reporting. This document aims to present key insights gathered from the discussion and provides a detailed analysis of questions posed to participants to better understand their perspectives.

Upholding Integrity, Independence, Ethics, and Professionalism

A fundamental principle in auditing is the unwavering adherence to integrity, independence, ethics, and professionalism. These attributes form the bedrock of trust in the auditing process. Upholding these values requires continuous education, strict adherence to auditing standards and relevant laws and regulations.

• Maintaining an ethical framework: Auditors must adhere to a code of ethics that mandates honesty, objectivity, and transparency in all their dealings. This ethical framework ensures that auditors provide unbiased and impartial opinions, which are crucial for the credibility of the audit report.

• Professionalism in conduct: Professionalism involves not only the technical competence of auditors but also their demeanor, communication skills, and commitment to continuous improvement. Professionalism in conduct enhances the credibility of audit reports and fosters trust among stakeholders.

• Independence: Independence is the cornerstone of auditing. It safeguards against potential conflicts of interest and ensures that auditors can perform their duties without undue influence from the entities they audit. Independence reinforces public confidence in the audit process.

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