ABSTRACT
The topic of this research is problems and prospects of auditing in
government organization, the population of the study was 82 while the
research used yaro Yamani formula in the determination of the sample
size which was 68.The researcher used both the primary and the
secondary sources in obtaining the relevant data used in the course of
the study. The primary data was collected using the questionnaire while
that of the secondary data was obtained using written textbooks,
journals, magazines, newspapers, and the use of library. The researcher
used chi-square in the testing of the hypothesis formulated while simple
percentages were used in analyzing the research questions. Some of the
problems bound to be encountered when auditing government
establishments are embezzlement of funds by some government
officials, deficiency in confirming accounts receivable and failure to
exercise due professional care. Some findings were made of which one
out of them is that financial reports submitted are not in consonance
with the transactions carried out by the government establishment.
Recommendations were also made of which one out of them is that the
auditor should maintain his position of independence as much as
possible.

CHAPTER ONE
INTRODUCTION
1.1 Background of the Study
Government organization have played a greater part in
the economic growth of any economy, especially in the
Nigerian economy. The contributions they have made so far
cannot be overemphasized because their utmost aims of
establishment is to provide some vital or essential services
to improve the social and economic well being of the people.
These government organizations are mainly being
funded either by the federal or state government through
their budgetary allocations made to them yearly and they
can also obtain loans or overdraft from commercial bank as
well as subvention from government. These funds are
expected to be utilized effectively and efficiently. But in
most practices they are being misappropriated or embezzled
by some government officials.
As a result of this mis-appropriation which has
characterized most of the government organizations.
Honestly and prudently managed. The audit is expect to
show whether proper principles of accounts and audit ethics
have been adhered to and that financial statements
prepared give a true and fair view.
1.2 Statement of the Problem
In any business Organization in which allocation and
application of funds serves as a backbone for financial
activities to be carried out the following are problems in
which are bund to be encountered.
1. Embezzlement of fund by some government Officials
2. Failure to exercise due professional care and the
appropriate level of professional skepticism.
3. Overreliance on inquiry as a form of audit evidence
4. Deficiency in confirming accounts receivable
5. Failure to recognize related party transactions and
assuming internal control exist when they may not.
These and other factors contribute to problems of auditing
in government organization.
1.3 Purpose of the Study
The purpose of studying this topic is to examine the
importance, problems and prospects of auditing in
government institution.
 To ascertain the problems encountered while auditing
in government establishment.
 To know if auditors exhibit enough professional
competence in conduct of their work.
 To know how effective auditing is in government
establishment
1.4 Research Questions
This research work seeks to ask the following questions
among others, deduced from the purpose of the study.
 Are auditors being threatened or intimidated during
their audit work.
 Are auditors being faced with some problems during
their audit work.
 Are vital documents needed for the audit of the
organization being held from the auditors
1.5 Research Hypothesis
Based on the purpose, and research questions the following
hypothesis are put forward.
Ho Financial reports submitted are not in consonance with
the transactions carried out by the government
establishment
HI Financial report submitted are in consonance with the
transactions carried out by the government
establishment.
Ho Treats and intimidation do not positively affect the
quality of auditors work in government establishment.
HI Treat and intimidation positively affect the quality of
auditors work in government establishment.
Ho Poor professional conducts by auditors do not affect
the quality of work done by auditor in government
establishment.
HI Poor Professional conduct by auditors affects the
quality of work done by auditors in government
establishments.