MJAMR

Role Of Auditors In Detecting Financial Misstatements In Private Organizations In Uganda: A Case Of Mukwano Group Of Companies

Namulindwa Suzan, Kabanda Richard


Abstract

This study examined the role of auditors in detecting financial misstatements in private organizations in Uganda, with specific reference to the Mukwano Group of Companies. Financial misstatements, whether arising from errors or fraud, represent a significant threat to corporate governance, investor confidence, and organizational sustainability. The study was guided by three objectives: to assess the auditing procedures used in detecting financial misstatements, to examine the challenges faced by auditors in detecting financial misstatements, and to evaluate the effectiveness of audit reports in preventing future misstatements at Mukwano Group of Companies. A descriptive research design was adopted, with data collected from 80 respondents comprising internal auditors, external auditors, finance managers, and senior management. Structured questionnaires and semi-structured interviews were used as data collection instruments. Findings indicate that auditors employ analytical procedures, substantive testing, and internal control assessments as primary detection mechanisms. Key challenges include management override of controls, limited audit access, time pressure, and sophisticated fraud schemes. The study recommends strengthening audit committee independence, enhancing forensic audit capabilities, and improving auditor-management communication protocols.

Keywords

Auditors financial misstatements fraud detection internal audit external audit private
Metropolitan Journal of Academic Multidisciplinary Research

Cite This Article

Namulindwa Suzan & Kabanda Richard (2026). Role Of Auditors In Detecting Financial Misstatements In Private Organizations In Uganda: A Case Of Mukwano Group Of Companies. Metropolitan Journal of Academic Multidisciplinary Research, 5(4). https://journals.miu.ac.ug/pages/article.php?article_id=577

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