Evaluation of the Corporate Governance Process in Terms of International Auditing Standards

Today, the issue of forming a sound financial structure is one of the most important efforts of all governments and international economic organizations. The causes of this process are; financial crises and corporate bankruptcies resulting from frequent fraudulent transactions or errors. The businesses are not only left to the free management of the controlling shareholder. Because small shareholders, which are called beneficiaries, the state, the creditors and the employees, the businesses need to be managed well. Going concern concept has gained importance. The International Auditing Standards issued by the International Auditing and Assurance Standards Board emphasize how to manage businesses. The aim is to create accountable, responsible, transparent, fairly managed businesses. The whole organization, especially the board of directors, is responsible for the good management of these businesses. Corporate governance have form a frame for border defining the responsibilities of management in terms of protecting the rights of all stakeholders in business activities. The purpose of this study is to assess the relationship between corporate governance and independent audit standards.