Moderating Role of Auditors Attitude and Perception On Artificial Intelligence and Audit Practice of Audit Firms in Nigeria

This study explores the moderating role of auditors’ attitude and perception on the relationship between artificial intelligence (AI) and audit quality of audit firms in Nigeria. Grounded on the Technology Acceptance Model and the study utilized cross-sectional survey research design and a population of all audit firms licensed by ICAN and Taro Yamene formula was used to derive the sample size. Questionnaire was used as the primary source of data collection from 237 respondents after validity and reliability tests. The data obtained from the questionnaire administered were analysed using univariate, bivariate, and multivariate analysis to discover if the change in auditors’ attitude and perception, expert systems, neutral network, machine learning and fuzzy logic influence audit quality in Nigeria. The finding from the structural equation modelling (SEM) shows a significantly positive relationship between expert systems of AI on audit quality of public audit firms in Nigeria, a significantly positive relationship between neutral network of AI on audit quality of public audit firms in Nigeria, a significantly positive relationship between machine learning of AI on audit quality of public audit firms in Nigeria, a significantly positive relationship between fuzzy logic of AI on audit quality of public audit firms in Nigeria, and a significantly positive relationship between auditors’ expertise and experience on audit quality of public audit firms in Nigeria. The study also revealed that auditors’ attitude and perception moderate a significantly positive relationship between artificial intelligence (expert systems, neutral network, machine learning and fuzzy logic) on audit practice (audit quality) on audit quality of public audit firms in Nigeria. Hence, based on the findings, the paper concludes that artificial intelligence is a significant determinant of audit quality in Nigeria and auditors’ attitude and perception moderate significantly positive association between artificial intelligence is a significant determinant of audit quality of public audit firms in Nigeria. The study offers practical implications for audit regulators, professional bodies and audit firms aiming to improve audit outcomes through the effective integration of AI technologies.