Corporate Governance and Audit Risk

Corporate Governance is a contemporary issue in the business world. It could be described as a company’s overall efficient control to ensure transparency and full disclosure in organization business dealings. Despite organizations establishing various forms of Corporate Governance incidence of corporate failures still, occur which poses audit risk and affects auditors' reputation. This study was a form of explorative research which investigated how corporate governance affects Audit client audit risk. We carried out an in-depth study of past literature to gain a better understanding of the concepts of corporate governance and audit risk and to also know the findings of previous researches on the subject. Our study concluded that when there is good governance in the organization, the quality of the financial report will improve and this will ultimately reduce audit risk.