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The Effects of Collaboration between Internal Auditing and Financial Affairs Departments: A Survey Conducted through the Internal Auditing and Financial Affairs Departments

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  • Ibrahim Mert

Abstract

All companies have an accounting department, but the internal auditing department is structured when the management of a company is getting more difficult, paralleling to its growing and complexity.It has been studied in this article the function of an internal auditing department, the possible risks, disorders, and collaboration with accounting in order to minimize these points as much as possible. It is clear that the main information source of auditing is accounting records, financial reports, analysis, etc. The closer collaboration needs to be established for the big size companies because controlling the assets would be more complicated for big companies that have multiple complex departments. For these types of large scale businesses, there are clearly so many objects in order to establish a strict collaboration. How the collaboration can be, what they can provide each other, how they should support their works, where they must act together, and other possible questions can be raised. The answers to these questions should establish all necessary procedures, and strict applications of these procedures would add considerable value to complex organizations.

Suggested Citation

  • Ibrahim Mert, 2021. "The Effects of Collaboration between Internal Auditing and Financial Affairs Departments: A Survey Conducted through the Internal Auditing and Financial Affairs Departments," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 3, pages 96-114.
    • Handle: RePEc:bas:econst:y:2021:i:3:p:96-114
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    References listed on IDEAS

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    1. Michael C. Jensen, 2010. "The Modern Industrial Revolution, Exit, and the Failure of Internal Control Systems," Journal of Applied Corporate Finance, Morgan Stanley, vol. 22(1), pages 43-58, January.
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    3. Ho, Sandra & Hutchinson, Marion, 2010. "Internal audit department characteristics/activities and audit fees: Some evidence from Hong Kong firms," Journal of International Accounting, Auditing and Taxation, Elsevier, vol. 19(2), pages 121-136.
    4. Ebrahim Mohammed Al-Matari & Abdullah Kaid Al-Swidi, 2014. "The Effect of the Internal Audit and Firm Performance: A Proposed Research Framework," International Review of Management and Marketing, Econjournals, vol. 4(1), pages 34-41.
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    More about this item

    JEL classification:

    • M40 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - General
    • M41 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Accounting
    • M42 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Auditing

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