The study sought to determine the effects of audit committee characteristics on internal audit effectiveness in the county governments of Nyandarua and Kericho, Kenya. The study was confined to four independent variables, that is, size of audit committee, audit committee independence, audit committee financial expertise and audit committee management support. The study was guided by the Stakeholders Theory, the Agency Theory, and Institutional Theory. The study adopted a descriptive research design. The target population for this study comprised of internal audit staff, accountants and revenue officers of county executive and county assembly in the county government of Nyandarua and Kericho who number 35 and 32 respectively. The study adopted a census where all members were taken as respondents. Questionnaires were used to collect data after pilot testing. The questionnaires were pretested to ensure content validity and also for reliability at the recommended Cronbach alpha of 0.7. Data collected was analyzed using Statistical Package for Social Sciences (SPSS). The data collected was analyzed using both descriptive and inferential statistical methods. It is hoped that the findings of the study were beneficial to all stakeholders in the county governments. This would lead to the development of better practices to improve the management efficiency in the county governments. Findings indicated that the independent variables; size audit committee, audit committee independence had a positive significant relationship with internal audit effectiveness in Nyandarua and Kericho Counties. Based on the findings of the study, it was concluded that the size of audit committee, have significant influence on internal audit effectiveness in both counties. The study recommended that the county governments should ensures that the composition of audit members should clearly be spelt out to enable their functions effectively.
Al-Shaer, H., Salama, A., & Toms, S. (2017). Audit committees and financial reporting quality: Evidence from UK environmental accounting disclosures. Journal of Applied Accounting Research, 18(1): 2-21.
Eyenubo, A., Mudzamir, M., & Ali, M. (2017). Audit committee effectiveness of financial reporting quality in listed companies in Nigeria stock exchange. International Journal of Academic Research in Business and Social Sciences, 7(6).
Hassan, Y. (2016) Determinants of audit report lag: Evidence from Palestine. J Account in Emerging Econ 6: 13-32.
Hepworth, N., & De Koning, R. (2012). Audit Committees in the Public Sector. A discussion Paper.
ICPAK. (2017). Audit Committee Members Training. The Institute Of Certified Public Accountants of Kenya.
Ihuhua. (2012). Namibian Sun. (2012, November). Permanent Secretaries Admit Operational Challenges. Website: http://www.sun.com.na.
Kuang, C., & Sharma, V. (2013). Voluntary audit committee characteristics, incentives, and aggressive and earnings management: Evidence from New Zealand, International Journal of Auditing, Asian Journal of Finance & Accounting, 5(1), 183-196.
Lipton, M., & Lorsch, J. (2011). A model proposal for improved corporate governance. Business Lawyer, 48(1): 59-77.
Magrane, S., & Malthus, R. (2010). "Audit committee effectiveness: a public sector case study", Managerial Auditing Journal, 25(5): 427 - 443
Moses, T. (2016). The Impact of Audit Committee Size on the quality of Financial Reporting in Quoted Nigerian Banks. International Journal of Advanced Academic Research, Social & Management Sciences, 2(5): 62-74.
Onyabe, M., Joshua, O., Terzengwe, N., Onipe, A., & Ahmed, M. (2018). Audit Committee Independence, Size and Financial Reporting Quality of Listed Deposit Money Banks in Nigeria. IOSR Journal of Business and Management, 20(2), 40-47.
Salihi, A., & Jibril, S. (2015). The Effect of Board the Size and Audit Committee the Size on Earnings Management in Nigerian Consumer Industries Companies. International Journal of Innovative Research and Development, 4(3): 84-91.
In-Text Citation: (Henry et al., 2022)
To Cite this Article: Henry, M. M., Duncan, N., & Robert, M. (2022). Effect of The Size of Audit Committee on Internal Audit Effectiveness in Kericho and Nyandarua County Governments in Kenya. International Journal of Academic Research in Business and Social Sciences, 12(3), 1–7.
Copyright: © 2022 The Author(s)
Published by Knowledge Words Publications (www.kwpublications.com)
This article is published under the Creative Commons Attribution (CC BY 4.0) license. Anyone may reproduce, distribute, translate and create derivative works of this article (for both commercial and non-commercial purposes), subject to full attribution to the original publication and authors. The full terms of this license may be seen at: http://creativecommons.org/licences/by/4.0/legalcode
