Audit Evidence Gathering and Audit Quality Theory: Implications for Auditors' Opinion during COVID-19 Era

Abstract

Audit Evidence gathering has a direct effect on the quality of audit reports through the expression of audit opinions by audit firms. De–Angel (1981) believes that the bigger the audit firm, the more the capacity to deploy advanced technology, infrastructure, and qualified human resources in carrying out audit services and the higher the audit quality. This paper explored the effects of audit evidence gathering during the COVID-19 pandemic on audit opinion and audit quality due to changes in work patterns by audit firms in carrying out audit assignments remotely. This paper used a purposive sampling technique with the use of a questionnaire by administering 276 practicing accountants in Lagos who are experienced in audit evidence gathering and know how the COVID-19 pandemic has affected the quality of audits and expression of opinion. The study found out from the inferential statistics Adjusted R Square showed enough evidence against the Null Hypothesis and concluded that audit evidence-gathering techniques have a significant positive effect on qualifying audit opinions, Non-qualifying audit opinions, Disclaimers audit opinions, and Stakeholders' expectation gap. The study also found the scarcity of literature in this area due to the recency of the issue, and further research is recommended to be extensively done in the future.