The impact of the input level of information system audit on the audit quality: Korean evidence

2021 ◽  
Vol 43 ◽  
pp. 100533
Author(s):  
Bong Gu Huh ◽  
Sunhwa Lee ◽  
Wonsin Kim
Keyword(s):  
Information System ◽  
Audit Quality ◽  
The Impact ◽  
Input Level ◽  
Korean Evidence

scholarly journals Impact of Accounting Information System on Internal Audit Quality: Mediating Role of Organizational Culture

2020 ◽  
Vol 12 (1) ◽  
pp. 205
Author(s):  
Qasim Ahmad Alawaqleh
Keyword(s):  
Information System ◽  
Organizational Culture ◽  
Audit Quality ◽  
Accounting Information ◽  
Internal Audit ◽  
Significant Variable ◽  
Accounting Information System ◽  
Internal Auditors ◽  
The Impact ◽  
The Relationship

This study advances the Accounting Information System (AIS) study by exploring the relationship between the AIS internal audit quality. It develops a model based on literature and considers one significant variable of mediation that is organizational culture. The AIS is expected to influence internal audit quality in different contexts, particularly in developing countries. The research model validated using AMOS and SPSS version 25. Based on a sample of 183 internal auditors in Jordanian industrial SMEs, empirical findings support the relationship between AIS and internal audit quality; however, the impact is direct while the organizational culture partially mediates this relationship. The results indicate that the AIS help enhance internal auditors' quality and the organizational culture, ultimately improving internal audit quality. The implications are useful for academics, administrators, and policymakers interested in evaluating the impact of intervening variables on the AIS and the internal audit quality relationship.

Perception of Professionals towards Effectiveness of Human Resource Information System

2015 ◽  
Vol 4 (3) ◽  
Author(s):  
Bharti Motwani
Keyword(s):  
Information System ◽  
Human Resource ◽  
Training Programme ◽  
Middle Level ◽  
Human Beings ◽  
Human Resource Information System ◽  
Resource Information ◽  
Future Challenges ◽  
Operational Decision Making ◽  
The Impact

Organizations are facing stiff market and other external pulls and pushes, thus HR will become vital source for managing future challenges. HRIS is an information system that makes use of computers to monitor, control, and influence the movement of human beings from the time they indicate their intention to join an organization till the time they separate from it. The purpose of the HRIS is to provide service, in the form of accurate and timely information, to the clients of the system. As there are a variety of potential users of HR information, it may be used for strategic, tactical, and operational decision making (e.g., to plan for needed professionals in a merger), to avoid litigation (e.g., to identify discrimination problems in hiring), to evaluate programmes, policies, or practices (e.g., to evaluate the effectiveness of a training programme), and/or to support daily operations (e.g., to help managers monitor time and attendance of their professionals). However, in order to maximize HRIS success, researchers and practitioners have to know more about its underlying drivers. The study is undertaken looking to the importance of HRIS in the organizations. The paper identifies the factors of HRIS as perceived by professional users. This study is also an attempt to study the impact of designation on identified factors of Human Resource Information System (HRIS). The results of this research will increase researchers comprehension on difference in factors that influence effectiveness of senior and middle-level professionals.

Impact of firm’s specific factors on audit fee of quoted consumer goods firms

2020 ◽  
Vol 4 (1) ◽  
pp. 47-55
Author(s):  
Wasiu Ajani Musa ◽  
Ramat Titilayo Salman ◽  
Ibrahim Olayiwola Amoo ◽  
Muhammed Lawal Subair
Keyword(s):  
Consumer Goods ◽  
Audit Quality ◽  
Audit Fees ◽  
Ordinary Least Squares ◽  
P Value ◽  
Chi Square ◽  
Ifrs Adoption ◽  
Audit Fee ◽  
Specific Factors ◽  
The Impact

Greater pricing presume on audit service has been put by the regulations of the auditing and accounting practices for the disclosure of audit fees, since audit fee is directly related to audit quality. However, the audit fees perceived by the client is often different from the amount charged by the auditors. Hence, this study investigated the impact of firm-specific characteristics on audit fees of quoted consumer goods firms in Nigeria using a purposive sampling technique. Secondary data were obtained from annual reports of the companies for the period from 2009-2016. The empirical result from Breusch-Pagan Lagrange Multiplier Test (BP-LM) produced a chi-square value of 13.94 with p-value of 0.0001 indicating that pooled ordinary least squares (OLS) will not be appropriate for the study. The Hausman test showed a chi-square of 23.55 with a p-value of 0.001 indicating that the null hypothesis is strongly rejected. Thus, the only estimate from the fixed effect model was interpreted to explain the relationship between firm-specific characteristics and audit fees of quoted consumer goods firms in Nigeria. The result revealed that auditee size, auditee risk, auditee profitability and IFRS adoption are the firm specific characteristics that impact on audit fees with only auditee size and IFRS adoption being positively related to audit fees while the other factors are negatively related to audit fees. Based on this finding, this study concluded that the firm’s specific factors are the major drivers of audit fees in Nigeria consumer goods firms. This study recommends among others that companies should implement corporate governance principles that address issues relating to board independence and committee sizes to guide activities in the consumer goods sector since profitability behave negatively with audit fees.

The Effect of Office Changes within Audit Firms on Clients' Audit Quality and Audit Fees

2020 ◽  
Vol 39 (1) ◽  
pp. 71-99
Author(s):  
Carl W. Hollingsworth ◽  
Terry L. Neal ◽  
Colin D. Reid
Keyword(s):  
Audit Quality ◽  
Audit Fees ◽  
Additional Analysis ◽  
Audit Firm ◽  
Audit Firms ◽  
Audit Fee ◽  
The Impact ◽  
Audit Partner Rotation

SUMMARY While prior research has examined audit firm and audit partner rotation, we have little evidence on the impact of within-firm engagement team disruptions on the audit. To examine these disruptions, we identify a unique sample of companies where the audit firm issuing office changed but the audit firm did not change and investigate the effect of these changes on the audit. Our results indicate that companies that have a change in their audit firm's issuing office exhibit a decrease in audit quality and an increase in audit fees. In additional analysis, we partition office changes into two groups—client driven changes and audit firm driven changes. This analysis reveals that client driven changes are more likely to result in a higher audit fee while audit quality is unchanged. Conversely, audit firm driven changes do not result in a higher audit fee but do experience a decrease in audit quality.

Market Reactions to a High-Quality Auditor and Managerial Preference for Audit Quality

2019 ◽  
Vol 38 (4) ◽  
pp. 131-149 ◽  
Author(s):  
Patrick J. Hurley ◽  
Brian W. Mayhew
Keyword(s):  
Loss Aversion ◽  
Audit Quality ◽  
Data Availability ◽  
Quality Competition ◽  
High Quality ◽  
Market Reactions ◽  
Comprehensive Theory ◽  
Audit Reports ◽  
The Impact ◽  
Quality Theory

SUMMARY We insert an automated high-quality (HQ) auditor into established experimental audit markets to test the impact of high-quality competition on other auditors' supply of and managers' demand for audit quality. Theory predicts that managers will demand high levels of audit quality to avoid investors' price-protecting behavior. This demand should result in the HQ auditor dominating the market and increase other auditors' audit quality provision to compete with the HQ auditor. However, we find that the HQ auditor does not dominate the market—despite holding audit costs constant and investors placing a premium on HQ auditor reports. We also find that adding an HQ auditor results in other auditors lowering audit quality. Additional analyses indicate some managers demand lower audit quality to avoid negative audit reports, consistent with loss aversion as a potential explanation. Our findings indicate a need to develop a more comprehensive theory of the demand for auditing. Data Availability: The laboratory market data used in this study are available from the authors upon request.

Clients' Expectations on Audit Judgments: A Note

2004 ◽  
Vol 16 (1) ◽  
pp. 63-74 ◽  
Author(s):  
Venkataraman M. Iyer ◽  
Dasaratha V. Rama
Keyword(s):  
Audit Quality ◽  
Financial Statements ◽  
Early Years ◽  
Relative Power ◽  
Client Perceptions ◽  
Audit Firm ◽  
Auditor Tenure ◽  
Start Up ◽  
Nonaudit Services ◽  
The Impact

Audited financial statements can be viewed as the product of negotiations between a company's management and its auditor. Relative power of these two parties is a major factor that determines the outcome of the negotiation. This study examines the impact of auditor tenure, importance of a client to an audit partner, nonaudit purchases, and prior audit firm experience of client personnel on client perceptions about their ability to persuade the auditor in the context of an accounting disagreement. We obtained responses to a survey from 124 CPAs in industry who are employed as CEOs, CFOs, controllers, or treasurers. Our results indicate that respondents from companies with short auditor tenures were somewhat more likely to indicate that they could persuade the auditor to accept their (client's) position in case of a disagreement. This finding is consistent with the argument that auditors are susceptible to influence in the early years as they are still in the process of recouping start-up costs, but is not consistent with concerns expressed by legislators and others that long auditor tenures will adversely affect audit quality. Respondents who believed their business was more important for the audit partner were also more likely to believe that they could persuade the auditor. However, the purchase of nonaudit services and prior audit experience were not related to client's perceptions about their ability to persuade the auditor.

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