AUDIT CONFLICT: IT’S IMPACT ON AUDITORS ABILITY TO RESIST MANAGEMENT PRESSURE

ABSTRACT: The project deals with audit conflict its impact on auditor’s ability to resist management pressure. This study examines the effect of ethical reasoning and formal sanction on the behaviour of auditors with detestiful attributes. The researcher used two source of data collection, primary and secondary data. Method of investigating, the researcher made use of various research instruments in gathering information for the research. One of the method and instrument used for data collection is the questionnaire, oral interview with directly observing the workers to ascertain their performance. First, we find a significant positive association between Machiavellianism and unethical auditor’s behaviour. In addition, we find that auditor’s unethical behaviour is significantly reduced by higher ethical reasoning abilities and increase threat of sanctions.