How auditors identify and report key audit matters - An organizational routines perspective

Maroun, Warren; Duboisée de Ricquebourg, Alan

doi:10.1016/j.bar.2023.101263

Cited by 7 publications

(1 citation statement)

References 53 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…We consider this time gap between the regulations’ implementation and the interviews to be adequate for obtaining meaningful results because new regulatory provisions require auditors to familiarize themselves with the changes, develop procedures and assess outcomes, particularly when significant changes are involved. In this regard, Maroun and Duboisée de Ricquebourg (2023) emphasize the need for a time gap to analyze the effectiveness of new audit regulations, as auditors require time to develop and refine their processes. Consequently, the authors examined how auditors identify and report KAM through interviews conducted in South Africa from April 2020 to March 2021, a jurisdiction where the new auditors’ report regulation (ISA 701) has been applied since 2017.…”

Section: Methodsmentioning

confidence: 99%

Effects of the 2014 European reform on audit activity, the audit outcome and the audit market: the auditors’ view

Castillo-Merino,

Garcia-Blandon,

Rodríguez-Pérez

2024

MEDAR

View full text Add to dashboard Cite

Purpose This paper aims to examine the effects of the 2014 European regulatory reform on auditors’ activity, the audit outcome and the audit market, with a focus on the Spanish market. Design/methodology/approach The research is based on in-depth, semistructured interviews with partners of the main audit firms operating in the Spanish market. This qualitative approach provides a precise identification of the cause-effect relationships of the new measures introduced by the European audit regulation. Findings The findings indicate that, based on auditors’ opinions, the costs of the main regulatory changes outweigh the benefits. The European Union (EU) Audit Regulation imposes more demanding provisions, such as an extended auditor’s report, mandatory audit firm rotation, more banned nonaudit services and stricter quality controls, resulting in substantial side effects on audit activity and the audit market. This could undermine the objective of enhancing the quality of audit services. Originality/value To the best of the authors’ knowledge, this is the first study to analyze the effect of the 2014 EU regulatory reform on audit activity, audit market and audit outcome based on auditors’ perceptions. The findings may be of interest to academics, professionals and regulators alike, as they offer valuable insights for assessing the effectiveness of the new audit provisions. Additionally, the qualitative methodology used facilitates a causal analysis of the key elements introduced by the regulations, potentially paving the way for future research avenues.

show abstract

Section: Methodsmentioning

confidence: 99%

Effects of the 2014 European reform on audit activity, the audit outcome and the audit market: the auditors’ view

Castillo-Merino,

Garcia-Blandon,

Rodríguez-Pérez

2024

MEDAR

View full text Add to dashboard Cite

show abstract

Analysis of non-English key audit matters: Do key audit matters influence investor sentiment?

Kitiwong,

Ekasingh,

Sarapaivanich

2025

Journal of International Accounting, Auditing and Taxation

View full text Add to dashboard Cite

Earnings management reactions to key audit matters

Camacho‐Miñano,

Campa,

Parte

2024

Global Policy

View full text Add to dashboard Cite

This paper aims to investigate the earnings management (EM) reactions of firms to the key audit matters (KAMs) disclosed in expanded audit reports. Although previous literature has extensively investigated the interconnection between EM and different risks, little research to date examines the association between KAMs and EM strategies, considering both real earnings management and accruals earnings management. To test the hypotheses, we use a sample of UK listed companies over the period 2013 to 2018. The results show a different relationship between KAMs disclosed in the extended audit report and EM strategies. In particular, findings reveal that EM strategies differ according to the number of KAMs, the type of KAMs and each specific type of KAMs. The article contributes to a better understanding of the effect of financial information transparency and accounting quality.

show abstract

How auditors identify and report key audit matters - An organizational routines perspective

Cited by 7 publications

References 53 publications

Effects of the 2014 European reform on audit activity, the audit outcome and the audit market: the auditors’ view

Effects of the 2014 European reform on audit activity, the audit outcome and the audit market: the auditors’ view

Analysis of non-English key audit matters: Do key audit matters influence investor sentiment?

Earnings management reactions to key audit matters

Contact Info

Product

Resources

About