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Journal of Management Science

Stakeholders’ Trust towards the Role of Auditors: A Synopsis of Audit Expectation Gap

Author:Akther Taslima, Xu Fengju Date:June 25,2019 Hits:


The role of external auditor has always been a dubious issue since the emergence of the profession whereas public expectation is beyond imagination regarding the role of auditors. With the inevitable facts that the business entity assumption separates the business and owners; agency conflict exists between the parties and the role of external auditors rises as a means of monitoring the task of management on behalf of owners. As auditing is a powerful tool to retain stakeholders confidence on the result of business operations, numerous expectations ambiances the role played by the external auditors. This paper is an attempt towards empathizing the Audit Expectation Gap (AEG) and offers a rational to look upon the issue, based on the extensive literature review. Further, the study portrays the necessity of involving stakeholder’s expectation towards the auditing profession and auditors should not skip the issue merely enunciating that it is a self-regulatory profession; otherwise, stakeholders will lose faith on auditors, and its consequence is far reaching.



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Stakeholders’ Trust towards the Role of Auditors: A Synopsis of Audit Expectation Gap
Akther Taslima1,2, Xu Fengju1
1. School of Management, Wuhan University of Technology, Wuhan, P.R China 430070
2. Department of Accounting & Information Systems, Jagannath University, Dhaka-1100, Bangladesh
Corresponding author: Akther Taslima, Ph.D. fellow, School of Management, Wuhan University of Technology, Wuhan, P.R China 430070.
How to cite this paper: Taslima, A., & Fengju, X. (2019). Stakeholders’ Trust towards the Role of Auditors: A Synopsis of Audit Expectation Gap. Journal of Management Science, 6(1), 43-49.
DOI: 10.34038/jms.2019.06.002
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