ASSESSMENT OF INTERNAL AUDIT PRACTICE IN KAKI PLC ADDIS ABABA, ETHIOPIA

Abstract

The purpose of this study is to assess the internal audit practice in KAKI Private Limited Company. This descriptive research is conducted by using mixed method approach. The collected data was analyzed through SPSS and the findings were described statistically and also presented using tables. The findings of the study revealed that the internal audit service performs different activities in the company like checking compliance with contracts, ascertained compliance based on organizational policies and procedures. On the other hand the audit service not reviewing information contained in reports of operating departments and not checking efficiency of operating results. The internal audit is not sufficiently independent in performing their professional obligations and duties. The internal audit service of the company did not have internal audit policies and procedures. Finally it is recommended that internal audit should be engaged in checking efficiency of operating results and internal audit service has to have sufficient staff to successfully carry out its responsibilities. The management should create a good working condition to be independent in performing their professional obligations.