Essay On Auditor Independence

1.0 Introduction

In almost all countries, auditing as a profession is becoming very demanding. Auditor independence has long been regarded as a cornerstone of the auditing profession. Auditor independence is a hypothesis that has been, and still continues to be, linked to the reliability of financial statements and the effective functioning of capital markets. Independence is fundamental since it is the guarantee that indeed the auditing of the client’s financial statements is done in an effective and efficient manner and that it show a true and fair view. Some people may ask whether the issue is worth it all; whether independence is really so essential. To that question there is a simple answer; the concept of audit and the concept of independence

It also helps to assist other independence decision makers in resolving questions about independence. Furthermore, it would benefit investors, other users of financial information, and other interested parties understand the nature, significance, and limitations of auditor independence .The threats will be elaborated in depth and the research will also attempt to find possible solutions to counter these threats affecting the

It is considered as one of the greatest asset possessed by the auditing profession. To be credible, an auditor’s opinion must be based on an objective and disinterested viewpoint. Over many years, practitioners and academics have struggled to find definitions for independence in the audit context. De Angelo (1981) defined auditor independence as the conditioner probability of reporting a discovered bridge while Arens et al. (1999) defined ‘independence in auditing’ as taking an unbiased viewpoint in the performance of audit tests, the evaluation of the results and the assurance of audit