ABSTRACT
This audit report is a reassurance to management that it is fulfilling its stewardship and accountability roles. It enables the owners of organization for example, the shareholders of a company to rekindle with competence in management and decide whether or not to explain the scope of their investment in such organization. Thus, the audit report is a strong indication to investors, guiding them on investment decisions in their lending decisions to creditors and organizations, where it gives tax authorities an initial confidence in the tax returns filed by organizations. This research work attempts to examine the level of confidence exhibited by members of the Nigerian society, as well as the implication of such psychological attitude to audit reports. This research will contain five chapters. Chapter one contains the introductory part, statement of research problem, objectives of the research, its significance, scope, the necessary hypotheses and constraints. Chapter two will be a detailed evaluation of audit and audit report of financial statements. Chapter three comprises of research methodologies. Chapter four shows the method of data collection and analysis of the information gathered, while chapter five comprises of findings, recommendations and conclusion to the topic.
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