THE PURPOSE OF INTERNAL AUDITING Agency theory The members of management operate as agents for the owners of the business. The agency theory considers the owner as the principle. An independent and objective internal audit is a measure of control used by the agent to satisfy the principle that the duties have been met. Accountability is the duty all managers assume in order to show that they have met their responsibilities and made use of the resources entrusted to them. .It is a basic means of preventing the neglect of responsibility or the unsatisfactory application of delegated authority Managers are also responsible for the productivity of their employees The internal Auditor acts as a substitute for managers supplying management with information. Similarly, intermal auditors are concerned with the accountability of senior management to the board of directors. Corporate governance: Managers need assistance and professional council in fields outside the manager's competence. The internal auditor, with a management orientation, is equipped by training and education to help managers solve problems in the different fields. THE PURPOSE WITH INTERNAL AUDITING The purpose of intemal auditing is to improve the performance of the organisation. The intemal auditor can help management to improve the chances of reaching organisation objectives. This is done by informing top management, unit management and the audit committee about the efficiency of the existing internal control system, explain the performance manager, and management process to the unit assist with the implementation of the performance management process THE SERVICES PROVIDED BY INTERNAL AUDITING Internal auditorsS assist management in the prevention and detection of fraud