48
magazine
ALRAQABA
Issue Research
5- Audit quality concept approved by the 9th
session of the Arab Organization of Supreme
Audit Institutions.
Systems and methods of audit quality
The world came across of the financial markets
liberation, whereas in the financial crises of 2008
that threatened many institutions, different ques-
tions occurred about basic matters relating to the
nature, scope of, and communication methods of
the review process although the accounts audi-
tors were not considered responsible. Commonly,
review reports preciseness is considered one of
the review quality signs. The accountant auditor’s
report may affect positively the audit quality and
the review process development. Therefore, we
should focus on the most important sides that
leads in return to improve and develop the audit
quality.
1- Audit Report Development.
2- Accounts Auditor Independency.
3- Audit process transparency enhancement.
1- Development of audit report
The report is considered the final product of the
audit process which represents the guideline for
the audited financial statements users, therefore,
it is quite important for this report to be clear ,con-
cise, and compatible with the professional stan-
dards that governs the preparation of this report
which are financial statements presentation. The
report should include whether the financial state-
ments are prepared according to the common
accounting principles.
2- Independency of the Accounts Auditor
Real independence is the opinion or intellectual
honesty of the accounts auditor, and the fact that
he should not follow anybody in any way, and is
not subject to the client impact in his decisions
taking. There is also the standard of professional
care exertion while practicing the audit process in
a professional sufficient manner. The independen-
cy of the auditor is considered vital and important
for the audit quality. One of the suggestions for
the auditor’s independency enhancement is his
obligatory periodical change, the supporters of
this proposal view that it improves the latter inde-
pendency, and thus the review process. Whereas
the new auditor shall review the work of former,
prohibit the audit team from having relation with
the company management subject to their audit.
Moreover, the obligatory change of the comptrol-
ler shall limit the development of the relation be-
tween the auditor and the client that decreases
the auditor independency and objectiveness.
Long term contracting with the auditor may lead
to decrease the level of the audit quality and the
auditor’s work efficiency that becomes lower by
time.
3- Enhance transparency of the audit process.
(PCAOB ) suggested to disclose the auditor who
performed the audit process. Other disclosures
relating to the first part is disclosure of the auditor
name which shall increase the personal feeling of
responsibility, it provides useful information for in-
vestors, encourages the auditor to pay attention,
supports transparency, improves interaction, and
facilitates the accountability of the auditor when
failure occurs, and also encourages his indepen-
dency.
Audit Quality International Standards
Audit quality standards applies on all sizes of
economical and administrational units’ in both of
the private and public sector that are working in
various fields. Before discussing the audit quality
framework issued by the International Standard
Council, the audit quality contents may be sum-
marized as follows:
The elements of the audit quality consist of the
audit environment, inputs, outputs, and the inter-
action that goes between them, and then the in-
