Measuring The Impact of Internal Auditing Characteristics and Standards on Improving the Quality of Financial Statements in Companies
An Applied Study on a Sample of Companies Operating in Sulaymaniyah Governorate
DOI:
https://doi.org/10.71207/ijas.v21i86.4962Keywords:
Internal Auditing, Auditing Standards, Auditor Characteristics, Financial Statement Quality, Financial Reporting, Sulaymaniyah CompaniesAbstract
The study explores the role of internal audit attributes and standards in promoting the quality of financial statements within companies based in Sulaymaniyah Governorate. It focuses on evaluating internal auditors’ characteristics, performance, strengths and weaknesses, adherence to modern auditing standards, and their role in mitigating audit risks, financial manipulation, and accounting errors. The study also highlights the importance of companies’ reliance on internal auditing to improve the quality of financial information and statements while protecting the rights of investors, owners, and stakeholders. The research sample included company managers, department heads, accountants, auditors, and administrators. Questionnaires were distributed to five companies, yielding 65 valid responses, and data were analyzed using SPSS and Microsoft Excel.
The research indicates that improving financial statement quality is closely linked to auditors’ competence and compliance with professional standards, which enhances reliability and error prevention. The study recommends strengthening auditors’ independence and impartiality, applying modern auditing techniques, and considering their recommendations to ensure accurate and fair financial reporting.
Downloads
References
1. أبو لـبن، حـاتم فوزي محمـود، (2021). أثر الـتدقيق الداخلي علـى جودة التقارير المالية في المؤسسات الحكومية في قطاع غزة"، مجلة البحوث فـي العلوم المالية والمحاسبة، المجلد 4، العدد1.
2. اكريم، علـى عبد الله. (2024). أثر أداء المدقق الداخلي علـي جـودة التقارير المالية, المجلة الإفريقية للدراسات المتقدمة في العلوم الإنسانية والاجتماعية, 2(1), 635-651.
3. دردس، خالد وجيه صادق، و دحدوح، حسين أحمد. (2010). أثر تقديم خدمة التدقيق الداخلي من جهات خارجية في جودة التدقيق الداخلي بالشركات المدرجة في بورصة عمان: دراسة ميدانية (رسالة ماجستير غير منشورة). قسم المحاسبة،كلية الاعمال ، جامعة جدارا اريد ، الأردن .
4. فيصل, مايده محمد ، و الهادي, ضيف الله محمد. (2022). دور حـوكمة الشركـات في تحقيق جـودة المعلومات المحاسبية. مجلة إقتصاد المال والأعمال, 7(1), 275-292. https://asjp.cerist.dz/en/article/185103
5. المطارنة، غسان فلاح، (2016). تـدقيق الحسابات الـمعاصر من الناحية النظرية ، دار المسيرة للنشر ، الطبعة الاولى ، الأردن.
6. نجیة, وحياني، و فتحی, بن يشو، و نذير, حاج سليمان محمد (2023). أهمية التدقيق الداخلي في الرفع من جودة القوائم المالية في المؤسسات الجزائرية. les cahiers du mecas, 19(2), 433-449. https://asjp.cerist.dz/en/article/234390
7. نظمي، ايهاب، (2012). تدقيق الحسابات الإطار النظري ، دار وائل للنشر ، الطبعة الأولى ، الآردن.
8. زغبة، طلال، شريط، حسين الأمين(2018). أهمية التدقيق الداخلي كأداة لقياس جودة القوائم المالية – دراسة عينة من المؤسسات الاقتصادية. جامعة المسيلة, ). أهمية التدقيق الداخلي كأداة لقياس جودة القوائم المالية- دراسة عينة من المؤسسات الاقتصادية-. مجلة الدراسات الاقتصادية المعاصرة, 3(5), 195-204. https://asjp.cerist.dz/en/article/85459
Abo-Hebeish ، Ahmed M. Abo; (2018)، A Practical Guide to the Art of Internal Audit, 2nd Edition. Published by Cognella Academic Publishing Copyright© 2018. "ISBN-13 9781516527861".
9. Alsalem, M. A. ., & Omar, G. M. D. . (2021). Application of International Financial Reporting Standards (IFRS) and their Impact on the Quality of Financial Reporting: An exploratory study on a group of companies in Sulaymaniyah Governorate / Iraq. The Scientific Journal of Cihan University– Sulaimaniya, 4(2), 331-356. https://doi.org/10.25098/4.2.15
10. Al-shehadeh, Abdul Razzak & Soda, Mohammed & Omari, Rania. (2018). The Impact of the Internal Audit on the Quality of Accounting Information in the Jordanian Commercial Banks. International Journal of Economics and Finance. 10. 157-157. https://doi.org/10.5539/ijef.v10n9p157.
11. Al Dmour, A., Abbod, M. F., & Al Dmour, H. H. (2017). Qualitative characteristics of financial reporting and non financial business performance. International Journal of Corporate Finance and Accounting, 4(2), 1 22. 10.4018/IJCFA.2017070101.
12. Al Asbahi, A. H. M., & P. (2021). Qualitative characteristics as a reliable tool for assessing the quality of accounting information: An overview study. International Journal of Research Granthaalayah, 9(5), 187 199. https://doi.org/10.29121/granthaalayah.v9.i5.2021.3938
13. Alshammari, M. T. A., & Hussein, A. Q. (2024). The role of internal audit in improving the quality of financial reports. The American Journal of Social Science and Education Innovations, 6(07), 171–187. https://doi.org/10.37547/tajssei/Volume06Issue07-19
14. Bayz, H. A., Taha, O. H., Muhammed, P. R., & Dler, G. M. (2025). Economic and Social Impacts of Sales Tax Imposition: A Field Study of the Opinions of a Sample of Academics, Specialists, and Workers in Hotels and Restaurants in the City of Sulaymaniyah. Journal of University of Human Development, 11(2), 68–77. https://doi.org/10.21928/juhd.v11n2y2025.pp68-77
15. Chauke. Deroul ; (2021). Ethical sensitivity of internal audit university students. 2021-04. Available at: http://hdl.handle.net/10948/51074. Submitted In Fulfilment Of The Requirements For The Degree Of Master Of Commerce (Accounting) To Be Awarded At The Nelson Mandela University.
16. Dewa Brata, Ignatius & Arnan, Sendi. (2021). "The Influence Of Internal Audit Toward Fraud Prevention In One Of Banks In Bandung". Turkish Journal of Computer and Mathematics Education (TURCOMAT). 12. 840-845.
17. Fatah, N. A., Omer, G. M. D., Bayz, H. A., Karem, L. E., Ahamd, K. H., Mustafa, W. O., Aivas , S. A. (2025). Conceptualization of the Capital Maintenance. British Journal of Interdisciplinary Research, 2(3), 134–148. https://doi.org/10.31039/bjir.v2i3.27
18. Gjoni Karameta, A., Fejzaj, E., Mlouk, A., & Sila, K. (2021). Qualitative Characteristics of Financial Reporting: An Evaluation According to the Albanian Users’ Perception. Academic Journal of Interdisciplinary Studies, 10(6), 35. https://doi.org/10.36941/ajis-2021-0151
19. Hama Amin, O. A., & Mustafa, W. O. . (2022). The Role of Modern Management Accounting Systems in Enhancing The Quality of Accounting Information And Its Reflection on The Administrative Decision-Making Process.: Survey of The Opinions of a Sample of Stakeholders in a Group of Industrial Companies In Sulaimaniyah Province/ Iraq. The Scientific Journal of Cihan University– Sulaimaniya, 5(2), 144-172. https://doi.org/10.25098/5.2.7
20. Handoyo، Bregitta & Bayunitri، Bunga Indah ;(2021)، The influence of internal audit and internal control toward fraud، prevention، Accounting Department،Widyatama University، Bandung، Indonesia،Vol3،No1. https://doi.org/10.35912/ijfam.v3i1.181
21. Kashona، Sarafina ;(2019)، The Effectiveness Of Internal Control And Internal Audit In Fraud Detection And Prevention ،A Thesis Submitted In Partial Fulfilment Of The Requirements For The Degree Of Master Of Business Administration Finance، The University Of Namibia.
22. Iriyadi, Iriyadi & Fettry, Sylvia & Nuraini A, Nuraini A & b, Mariyam. (2021). FINANCIAL REPORTING QUALITY: HOW TO OPTIMIZE THE ROLE OF INTERNAL AUDIT. International Journal of Advanced Research. 9. 118-125. 10.21474/IJAR01/13883.
23. Kieso, Donald E. & Weygandt, Jerry J. & Warfield, Terry D. (2022). Intermediate Accounting (18th edition). New York، USA. Publisher: John Wiley & Sons (Wiley). ISBN: 978-1-119-77889-9
24. Krichene, Aida & Emna, Baklouti;(2021)، Internal audit quality: perceptions of Tunisian internal auditors an explanatory research. Journal of Financial Reporting and Accounting 24 May 2021; 19 (1): 28–54. https://doi.org/10.1108/JFRA-01-2020-0010
25. Lastianti, Siwidyah & Muryani, Endang & Ali, Mahrus. (2018). The Role of The Internal Audit Management of Enterprise Risk Management. International Journal Of Entrepreneurship And Business Development (IJEBD). 1. 110-119. https://doi.org/10.29138/ijebd.v1i2.553
26. Sudirman, Sudirman & Sasmita, Halida & D, Muhammad & Krisnanto, Budhi & Muchsidin, Feronica. (2021). Effectiveness of Internal Audit in Supportive Internal Control and Prevention of Fraud. Bongaya Journal for Research in Accounting (BJRA). 4. 8-15. https://doi.org/10.37888/bjra.v4i1.271
27. Mery, Sutrisna & Nadirsyah, Nadirsyah & Indayani, Indayani. (2022). The Effect of Human Resource Competence, Utilization of Information Technology, Internal Control Systems, and Application of Government Accounting Standards on The Quality of Financial Reporting (Study on South Aceh Government SKPK). International Journal of Business, Economics, and Social Development. 3. 124-134. https://doi.org/10.46336/ijbesd.v3i3.311
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2025 Guldoz Mohammed dler Omer, Wshiar Omar Mustafa, Hakar Abubakir Bayz
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
Authors retain the copyright of their papers without restrictions.
