1.

5 JUSTIFICATION OF THE STUDY

Banking industry in Nigeria just of recent has gone through different form of reformation which
is induced by the central bank of Nigeria. The most recent one was in 2005 when bank needed to merge
with one another due to their inability to meet up with the increment in the capital base and this
brought to notice of the public especially the stakeholder in the industry that all the report being given
really what is what, there should not have be any difficult for them to raise the capital base increment
announced by the central bank of Nigeria. This event led to many of the shareholders loose most of
shares in the bank which makes them to lose their confidence in the industry. The reason why this
research is work is carried out is to see the fact of impact taking by the auditor during this period, this is
because the stakeholder believe that had been the auditor to perform their duties as they ought to,it
ought not to resulted to that extended and clearer picture of the bank performance ought to have been
showed in the report giving by the auditor in the financial report of each year

1.6 SCOPE OF THE STUDY

The scope of this study covers Guarantee Trust Bank Plc, in Ilorin Kwara State. The study will base on the
relevance of the external audit on the going concern of the banking industry.

Also, the project will analyze the problem faced by the external auditors in the course of their
Audit work in the banking industry and to these problems would also be suggested.

i.7 LIMITATIONS OF THE STUDY

In the process of carrying out this research work some challenges are faced there.
i. Low level of resources in term of insufficient finance.
ii. No enough time to carry out this research work properly
iii. No enough co-operations from the respondent of the case study and these make the work to be
more cumbersome.

In the project work, effort are made to ensure that the above mentioned constraint do not
affect the effective completion of the success 0f this project work.

1.8 PLAN OF THIS STUDY

This project work is divided into five chapters for easy presentation of the information
gathered and its contains as follow;

Chapter one contain the introduction, background of the study, statement of problems,
objective of the study, justification of the study, research hypothesis, scope of the study, limitation of
the study, plan of the study and definition of key terms.

Chapter two focuses on literature view, the concept of external auditing, general review of
banking in Nigeria closed types of auditing, reason for an audit, regulatory frame work, appointment of
an auditor, auditors duties and power, nature and scope of auditing, audit expectations GAP, system
auditing, Going concern concept, audit report, audit report, audit tool of going concern.

Chapter three concern with methodology of research design, population of the study same
size and sampling technique; Method of data collection and method of data analysis
 Chapter four deals with data presentation and interpretation hypothesis testing and discussions of
the findings

Chapter five take care of the summary, findings, conclusions, and recommendation.

1.9 DEFINITION O