Audit Quality Attibutes and Client Factors

Abstract

This study aims to examine and provide empirical evidence of the impact of client size and industry specialization on audit quality and the effect of audit quality on audit fees, reputation, and litigation both on audit-detecting misstatement quality and audit-reporting misstatement quality-analyzed based on client factors. This paper utilizes the perspective regulatory theory and signaling theory and is based on quantitative-causality research conducted by the survey method. Technique sampling is performed by purposive sampling. The results indicate that client size had a significant positive effect on the audit qualitydetecting misstatement but does not have any impact on the audit quality-reporting misstatements whereas industry specialization auditors have no effect on the audit qualitydetecting misstatement but have a significant effect on the audit quality-reporting misstatements. Clients may opt for the auditor that charges lower fees but can provide a positive signal for stakeholders or choose an auditor that is registered with BPK or OJK because such audit firms are more acceptable by stakeholders. As for the external auditors, the highquality audit is necessary to avoid the risk of litigation in addition to maintaining independence.

PENGARUH UKURAN KAP, AUDIT FEE, DAN UKURAN PERUSAHAAN TERHADAP KUALITAS AUDIT (Studi Empiris pada Perusahaan Manufaktur Sektor Industri Barang Konsumsi Terdaftar di Bursa Efek Indonesia Periode 2015–2019)

“…Beberapa penelitian tentang kualitas audit telah banyak dilakukan antara lain oleh Calocha & Herwiyanti (2020);Muhamad Taqi et al (2020); dan AL-Qatamin & Salleh (2020) yang menunjukkan bahwa kualitas audit akan dipengaruhi oleh beberapa faktor, yaitu dari faktor internal (yaitu dari diri auditor sendiri, antara lain pengalaman, profesionalisme, tekanan anggaran, audit tenur, dan pengetahuan dalam mendeteksi kesalahan), dan juga faktor eksternal (yaitu dari sisi client, misalnya besar kecilnya perusahaan klien atau fee yang diberikan). Faktor yang masih menarik untuk diteliti salah satunya yaitu kompetensi dan juga independensi kantor akuntan yang ditunjukkan dengan ukuran KAP yang digunakan perusahaan (Widiastuty, 2010).…”

O impacto do rodízio de auditoria no gerenciamento de resultados em empresas brasileiras com auditoria especializada e não especializada

“…Em seu estudo, Taqi et al (2020) argumentaram que um auditor especialista do setor leva à maior qualidade da auditoria, compensando os efeitos negativos da rotação do auditor. Isso é explicado pelo fato de que os auditores costumam auditar clientes no mesmo setor, tornando-se mais conhecedores desse setor e consequentemente resultando em melhoria da qualidade da auditoria.…”

“…Mesmo apoiando-se na pesquisa de Widya (2019), os resultados deste estudo divergem do que a construção teórica predominante propõe, baseado nas pesquisas de Gul et al (2009) e Taqi et al (2020). Desta forma, os resultados desta pesquisa evidenciam um novo achado para a literatura nacional no que tange a falta de relação entre o rodízio de auditoria e o gerenciamento de resultados em empresas com auditoria especializada.…”