THE ROLE OF INTERNAL AUDIT IN IMPROVING THE QUALITY OF FINANCIAL REPORTS

Аннотация

INTRODUCTION The sources explained that the internal audit profession in general and internal audit, in Internal audit plays a vital role in developing and particular, is an ancient profession, as the sources enhancing performance and providing credibility, explained that internal audit predates the reliability, and impartiality to ensure the efficiency Christian era; at the end of the fourteenth century, of improving the quality of financial reports with the employer (owner), when he suspected of its money of great importance in adding value to its treason, appointed someone to verify the accounts activities and improving its operations, mainly if it so that the person was sitting with the accountant is characterized by efficiency and effectiveness, to listen to what he had to say about the and the internal audit profession is currently Babylonian (about 3000 BC) and evidence receiving great global attention and support by indicates the existence of auditing activity, in boards Internal audit are distinct topics that also Ancient China, Greece, Rome and the Latin reflect the level of standardization of information meaning of the Word (auditor, he hears hearer or and help in monitoring and tracking management listener) because in Rome auditors work to hear performance, so the problem posed by this study declarations or statements of taxpayers from revolves around a critical point, which is whether farmers about the results of their work, fees, and internal audit contributes to enhancing the quality taxes owed to them to evaluate the results of of financial reports. currency and its actions and determine the effects Internal Audit reflected on those results to detect errors. https://www.theamericanjournals.com/index.php/tajssei 171 THE USA JOURNALS THE AMERICAN JOURNAL OF SOCIAL SCIENCE AND EDUCATION INNOVATIONS (ISSN- 2689-100X) VOLUME 06 ISSUE07 Many of the studies covered in this study indicate internal audit has been defined as a system for the impact of internal audits on the quality of developing and measuring internal performance financial reports. One of the studies conducted by regarding the audit of inputs, processes, outputs sepasi,2017)) entitled "Internal Audit Board of and results, an independent evaluation function Directors and Financial Reporting Quality the goal established within the economic unit for the the research indicates that it is expected that high- purpose of examining and evaluating the activities quality internal audit leads to the preparation of carried out by this unit (Gurama & Mansor, 2018: high-quality financial reports, as high-quality 73), Raji pointed out that audits are generally tools financial reports express themselves in the quality for examining complex processes, to determine of profits, as well as profits have played a whether they are committed or not to comply with significant role in the capital market for a long the economic units policy, standards and time, as for the study conducted by (Ekonomi, regulations that the "IEEE" standard for software 2018) entitled The Role of the Internal Audits to development that complies with the units policy, the Quality of Financial Reporting, there is a standards or regulations, an audit is defined as an significant role of internal audit in the quality of independent assessment of the conformity of financial reports, the quality of financial reports is software products and processes with regulations, higher if the role of internal audit has a role in standards, guidelines and specifications and achieving and understanding the objectives, reporting these results to management for the management, scope of work, application of purpose of decision-making, established principles and implementation of the internal procedures and plans (Raji, 2020: 33). audit function،Albawwa, 2021)) focused on the Handoyo explained that internal audit is a study entitled "The Relationship Between Internal performance function within the economic unit Auditors Personality Traits, Internal Audit and is similar to governance designed to increase efficiency, And Financial Reporting Quality: value for the purpose of improving organizational Empirical Evidence from Jordan" that personal performance, this activity can help achieve the traits have indirect effects on the quality of objectives of the economic unit through a financial reports through the effectiveness of the disciplined approach to improving and evaluating internal audit function and also that internal risk management processes control and auditors with high scores in openness to governance through activities in the form of experience, job stability and conscientious traits independent and objective consultation and can be among the most important contributors to assurance (Handoyo et al., 2021: 47), is a the effectiveness of the internal audit function and systematic process through which information and also that the personal traits of internal auditors can assurances are objectively