Journal
Metropolitan Journal of Academic Multidisciplinary Research
MJAMR
Relationship Between Auditing And Financial Performance Of Kasese Municipal Council. A case study of Kasese Municipal Council.
Kiripi Jeninah, Zikusooka Enock
| Journal | Metropolitan Journal of Academic Multidisciplinary Research (MJAMR) |
| Volume / Issue | Vol. 4, No. 12 |
| Published | 31 December 2025 |
| ISSN | 3006-4384 |
Abstract
The study examined the relationship between auditing practices and financial performance of Kasese Municipal Council in Western Uganda. The research was motivated by persistent concerns about financial management and accountability in local governments, which often resulted in service delivery gaps. Using a cross-sectional research design, data were collected from 78 respondents including council staff, auditors, and financial managers through structured questionnaires and interviews. The study employed both descriptive and inferential statistics, including Pearson correlation and regression analysis. Results revealed a strong positive correlation (r=0.782, p<0.01) between internal audit effectiveness and financial performance. The regression analysis showed that audit quality explained 61.2% of variance in financial performance (R²=0.612, F=48.367, p<0.001). Specific findings indicated that internal control systems (β=0.456, p<0.01), audit independence (β=0.389, p<0.01), and compliance auditing (β=0.312, p<0.05) were significant predictors of financial performance. The study concluded that strengthening audit functions significantly enhanced revenue collection, expenditure control, and overall financial accountability at the municipal level. Key recommendations included: increasing budgetary allocation to the internal audit department, recruiting qualified audit personnel, establishing an independent audit committee, and implementing computerized financial management systems. The study contributed to the literature on public sector financial management and provided practical insights for local government administrators and policymakers seeking to improve financial performance through enhanced auditing mechanisms.
Keywords
Auditing
Financial Performance
Internal Control
Local Government
Kasese Municipal
Cite This Article
Kiripi Jeninah & Zikusooka Enock (2025). Relationship Between Auditing And Financial Performance Of Kasese Municipal Council. A case study of Kasese Municipal Council. Metropolitan Journal of Academic Multidisciplinary Research, 4(12). https://journals.miu.ac.ug/pages/article.php?article_id=541
More in This Issue
View full issue →
21
Relationship Between Digital Literacy And Performance Of Small And Medium-Sized Electronic Enterprises In Kampala District, Uganda.
Digital literacy
SME performance
electronic enterprises
Kampala District
22
Relationship between E-Funds Transfer And Financial Performance Of Commercial Banks Of Stanbic Bank At Kawempe Branch
E-funds transfer
financial performance
commercial banks
digital banking
23
Relationship Between Electronic Medical Records And Healthcare Service Delivery In Entebbe Regional Referral Hospital And Dr Ronald Bata Hospital.
Electronic Medical Records
Healthcare Service Delivery
Hospital Information Systems
Patient
24
Relationship Between External Business Environment And Effective Pricing Among Clearing And Forwarding Logistics Enterprises In Nakawa Division, Kampala.
External business environment
pricing effectiveness
logistics industry
clearing and forwarding
25
Relationship Between Financial Reporting Standards And The Financial Performance Of Centenary Bank Kassanda
Financial reporting standards
IFRS
financial performance
profitability