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Question - Background: The problem is that big corporate houses not undertaking audits have resulted in their performances deteriorating with time and hence loss of competitive advantage in the market" (Khan & Subhan, 2019)
Big corporate houses are performing poorly and losing competitive advantage in their market niche because they do not undertake to audit seriously. Auditing is an objective and evaluation of a company's financial statement usually performed by external or internal auditors. Following scandals of firms such as Enron, there has been an increasing problem of audit divisions, which grabbed the attention of big firms' financial loss. Auditing must be taken seriously to protect the stakeholders and interested parties within the company (Petrick & Scherer, 2003). Big corporate houses that do not carry auditing have their performance deteriorating.
Purpose statement: The purpose of the study is to examine the importance of auditing to big corporate houses
Research questions:
What is the importance of auditing big corporate houses?
What do big corporate houses do to evade auditing scandals?
Does the research questions align with the purpose statement? Why or why not?
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