<p>Financial statements are source of information for investors in determining which companies to invest in. Therefore, the reliability financial has an important role. In order reports be reliable, there two things, namely reporting quality and earning factors. The auditor gives a fair opinion as form quality. Thus, going concern is one opinions given by on This study tries examine what ...

Extant research typically uses a variation of Big N auditor, discretionary accruals, audit fees, accrual quality, going-concern opinions, or meet or beat the quarterly earnings target as a proxy for audit quality. We provide evidence on the construct validity of these measures by evaluating whether they are able to successfully predict alleged audit deficiencies in engagements that are the subj...

This study analyzes the pricing of auditors’ business risk in the first year of an audit engagement. We posit that reportable events from the prior auditor’s tenure that are disclosed in the 8-K auditor change filing provide reliable information about the level of business risk for the incoming auditor. We hypothesize that for clients perceived as risky, the incoming auditor charges a fee-premi...

There has been a long-standing debate as to the relative merits of mandatory auditor rotation. In the United States (US), Section 203 of the Sarbanes-Oxley Act (2002) (SOX) requires rotation of the lead engagement partner and the concurring review partner at least once every five years. Section 207 also requires a study on the potential effects of mandatory audit firm rotation. After conducting...

Patients choose to seek a second opinion in matters related to their health for a variety of reasons, and the total cost associated with these second opinion visits is estimated to be billions of dollars annually. Understanding the reasons behind second opinion self-referrals is key to improving patient satisfaction and reducing redundancy in delivered health care. This study represents a retro...

The development and existence of appropriate, high quality auditing standards is the fi rst step in the road to quality audits. Auditing standards serve several important purposes including defi ning what an audit is, promoting consistency, facilitating education, providing a means to judge performance, and, most of all, infl uencing auditor behavior. Standards also affect many of the other fac...

It has been reported in the literature on strategic auditing that audit risk (the probability of audit failure) may increase when the auditor obtains information, whereas conditions for such cases have not been identified as yet. This paper provides simple models to analyze the general tendencies of exogenous parameters for such cases. The analysis shows that audit risk increases with more info...

This study aims to see how the influence of professional auditors on quality auditors. Reports that can be trusted with good audit reduce fears manipulation in financial statements presented a company and increase public confidence reliability reports have been audited by accountant. Findings research professionalism auditor agrees implemented. seen from acquisition % score 72.40%. Furthermore,...