Open AccessThe Determinants of Audit Quality: A Study Using the Approach of Earnings Surprise Benchmark
Author(s) -
Reni Yendrawati,
Arifin Praditya Putra,
Rina Yuliastuty Asmara
Publication year - 2021
Publication title -
journal of economics and management sciences
Language(s) - English
Resource type - Journals
eISSN - 2576-3016
pISSN - 2576-3008
DOI - 10.30560/jems.v4n3p16
Subject(s) - audit , accounting , quality audit , business , nonprobability sampling , stock exchange , joint audit , walk through test , earnings , population , audit evidence , internal audit , finance , medicine , environmental health
This study aims to find empirical evidence regarding the influence of audit tenure, audit firm rotation, audit firm industry specialization, and time budget pressure on audit quality. This research is a quantitative research using secondary data in the form of financial statements. This study uses a population of manufacturing companies in the consumer goods sector listed on the Indonesia Stock Exchange in 2015-2017. The sampling was done by using a non-probability method with a purposive sampling technique. The number of samples used in this study is 34 companies. The data analysis method used is a logistic regression analysis method using Statistical Package for Social Sciences (SPSS) version 21. The results of this study indicate that audit tenure and audit firm rotation have no effect on audit quality, PAF industry specialization has a positive effect on audit quality, time budget pressure has a negative effect on audit quality.