Auditing Education And The Audit Expectation Gap Problem In Nigeria.

Auditing as a corporate governance mechanism has been commissioned to resolve the problem of information asymmetry between corporate managers and shareholders by providing independent audit reports as to the truth and fairness or otherwise of the state of affairs of corporate concerns. Over the years however, the credibility of such reports has been called to question as a result of well publicized and spectacular corporate scandals and Auditors subsequent involvement in these scandals. This has exacerbated the Audit Expectation Gap Problem. Solving this problem require effective action to eliminate or at least reduce the gap. This study examined the relationship between auditing education and the audit expectation gap problem in Nigeria. A descriptive survey research design was adopted and a sample of 296 stakeholders consisting of investors, bankers, auditors and stock brokers within Abuja metropolis were considered for the purpose of data collection using a four point likert scale questionnaire. The study aligned with the role conflict theory. Result using pearson correlation coefficient indicated that auditing education has a significant relationship with the audit expectation gap in Nigeria. It was concluded that educating the public is a veritable way of narrowing the AEG in Nigeria. The study recommended that the audit profession should evolve a simplified and broad based strategy for educating users of financial statements on the basic functions of external audit.