External Audit and Quality of Accounting and Financial Information in Cameroonian Companies

Abstract

In the present economic and financial context of internalisation of commercial transactions and investments, benchmarks in the quality of financial and accounting information within a company are sought by the various stakeholders with quality and reliable financial information being the main factors of concern. Given its geographical setting and the fact that most Cameroonian companies are not listed, this study adopts a new approach to investigate the contribution of external audit in improving the quality of accounting and financial information produced by unlisted companies like Cameroon. To achieve, data were gathered through a survey on a sample of 52 employees of companies in Cameroon. Linear regression and the one factor ANOVA analysis were used to test the research hypotheses. The results indicate that the auditor’s field of specialisation did not reduce manipulation of accounting and financial information, but that the auditor’s mandate duration and the auditor’s reputation have a significant influence on the quality of accounting and financial information.