ABSTRACT

This research project focuses on the critical role of auditing in ensuring the accuracy of financial statements within firms. It delves into the significance of audit practices, emphasizing their role in managing and confirming the correctness of accounting procedures. Despite this crucial role, conflicts of interest often arise, raising questions about the authenticity of audits and auditors' opinions on firms' assertions. These conflicts can stem from various sources, including non-audit services, client pressure, and personal relationships, potentially compromising auditors' independence, objectivity, and integrity.

The study specifically investigates the experiences of small audit firms in Nigeria, Nigeria, in managing conflicts of interest in audit practice. It aims to identify the forms, causes, effects, and effective management strategies for conflicts of interest in this context. Through a cross-sectional survey design, data will be collected using questionnaires from owners, auditors, staff, and stakeholders of these small audit firms.

The research seeks to shed light on the challenges faced by these firms and propose viable solutions. It also aims to contribute to the enhancement of audit quality and the maintenance of stakeholders' confidence in financial reporting. The findings from this study could potentially influence regulatory policies and serve as a reference for further research in this domain.