Research Paper
Year: 2023 | Month: July | Volume: 10 | Issue: 7 | Pages: 414-427
DOI: https://doi.org/10.52403/ijrr.20230752
The Influence of Independence, Competence, and Due Professional Care on the Quality of APIP's Internal Audit with Auditor Ethics as a Moderation Variable in the BPKP Representative of the North Sumatra and Inspectorate of the North Sumatra
Oktavian1, Iskandar Muda2, Khaira Amalia Fachrudin3
1,2,3Department of Accounting, Faculty of Economics and Business, Universitas Sumatera Utara, Indonesia
Corresponding Author: Oktavian
ABSTRACT
BPK found 15,674 problems related to financial management in Indonesia worth IDR 18.37 trillion in the first semester of 2022. This indicates that APIP's role has yet to be fully effective in providing adequate assurance of compliance, efficiency, thrift, and effectiveness in achieving the objectives of carrying out the duties and functions of government agencies.
This study examines the effect of independence, competence, and due professional care on internal audit quality with auditor ethics as a moderating variable. The research was carried out on auditors/P2UPD at the BPKP Representative Office of North Sumatra Province and the Inspectorate of North Sumatra Province. This quantitative research uses primary data collected through questionnaires that 151 respondents have filled in. Research data is processed using multiple regression analysis methods.
This research concludes that independence, competence, and due professional care positively and significantly affect internal audit quality. In addition, auditor ethics can significantly strengthen the relationship between independence and internal audit quality. However, auditor ethics cannot significantly strengthen the relationship between competence and due professional care with internal audit quality.
Keywords: BPKP, inspectorate, independence, competence, due professional care, auditor ethics, internal audit quality
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