AN INVESTIGATION OF PRELIMINARY COMPREHENSION OF AUDITING AMONG ACCOUNTING STUDENTS IN MALAYSIA

Abstract

In recent years, audit has a critical function in identifying fraud that has taken place in the corporate sectors and in producing high-quality audit reports that help management make decisions that will boost the business operation. According to MIA By-Laws (on professional ethics, conduct, and practice), auditors must carry out their professional responsibilities with integrity, objectivity, impartiality, and prudence. Despite the fact that the audit course is one of the core courses in the university-level accounting program, there are indications that accounting students do not have a good understanding of the audit profession. This study aims to ascertain the preliminary understanding of auditing among accounting students in regard to a few crucial elements, including the audit process, the duties and responsibilities of auditors, and the significance and impact of the audit. To understand the perspectives and understanding of the students of the course, semi-structured interviews with fifty students who are in their second-year Bachelor of Accountancy studies from a local university in Melaka, Malaysia were conducted. These students were taking the audit course for the first time. Findings of the study indicated that before taking the audit course, the undergraduates did not have a thorough understanding of audit. Despite having rudimentary understanding of the goals of auditing and how it greatly benefits the organizations, students did not have a comprehensive grasp of auditing. Thus, it is recommended that audit course instructors provide students with the necessary knowledge through in-class lectures, handouts, or other materials that expose students to particular audit areas to improve students' comprehension of auditing.