Using Qualtrics Panels to Source External Auditors: A Replication Study

2018 ◽  
Vol 33 (1) ◽  
pp. 29-41 ◽  
Author(s):  
Travis P. Holt ◽  
Tina M. Loraas
Keyword(s):  
Broad Spectrum ◽  
Financial Statement ◽  
Behavioral Accounting ◽  
Quality Of Data ◽  
External Auditors ◽  
Potential Risks ◽  
External Auditor ◽  
The Many ◽  
Promising Avenue

ABSTRACT The use of Qualtrics Panels to source external financial statement auditors presents an innovative and efficient way of gathering these somewhat difficult to obtain experimental participants. In this paper, we offer insights to behavioral accounting researchers regarding the efficacy of using this method. First, we discuss the many benefits afforded using Qualtrics Panels. Second, we highlight potential risks that researchers should be aware of surrounding these panels. Next, we provide examples of tools that researchers can employ to increase the quality of data received by these panels. Finally, we replicate two current behavioral audit studies to better understand the suitability of these participants. Our results indicate that Qualtrics Panels present a promising avenue for obtaining external auditor participants when the research context is applicable to a broad spectrum of auditors. Even then, researchers should exercise caution in the decisions made surrounding the use of these panels.

The Joint Influence of the Extent and Nature of Audit Evidence, Materiality Thresholds, and Misstatement Type on Achieved Audit Risk

2012 ◽  
Vol 31 (2) ◽  
pp. 19-41 ◽  
Author(s):  
David V. Budescu ◽  
Mark E. Peecher ◽  
Ira Solomon
Keyword(s):  
Financial Reporting ◽  
Financial Statements ◽  
Internal Controls ◽  
Financial Statement ◽  
Audit Risk ◽  
Joint Influence ◽  
Materiality Thresholds ◽  
External Auditor ◽  
Audit Effectiveness

SUMMARY We use simulation to investigate the joint effects of materiality, evidence extent, evidence nature, and misstatement type on achieved audit risk, i.e., the risk of undetected material financial statement misstatement due to error or fraud. Our primary results are fourfold. First, contrary to conventional audit wisdom, we show that elevating the extent of testing decreases achieved audit risk only under certain conditions and may well increase it. Second, reducing materiality (attempting to perform a more precise audit) can either enhance or jeopardize audit effectiveness. Third, learning about the quality of the internal controls over financial reporting not only can help the auditor to perform an integrated audit, but also helps the auditor to reach better judgments about the extent to which and how evidence from the auditee organization's management and/or information systems may be distorted as a result of misstatement, reducing the risk that the auditor would be misled by such evidence. Fourth, when financial statements are biased intentionally due to fraud, it is especially important for the external auditor to supplement more traditional audit tests with tests that produce evidence that is less likely to be biased by management. Auditors who do not understand these four results run a heightened risk of compromising audit effectiveness.

scholarly journals Exploring the application of analytical procedures by Jordanian external auditors

2021 ◽  
Vol 10 (3) ◽  
pp. 44-53
Author(s):  
Modar Abdullatif ◽  
Aya Banna ◽  
Duha El-Sahsah ◽  
Taher Wafa
Keyword(s):  
Internal Controls ◽  
Structured Interviews ◽  
Quality Of Data ◽  
High Quality ◽  
External Audit ◽  
External Auditors ◽  
Analytical Procedures ◽  
Limited Demand ◽  
Do So

This study aims to explore the application of analytical procedures (AP) as a major external auditing procedure in the developing country context of Jordan, a context characterised by the prevalence of closely held businesses, and limited demand for an external audit of high quality (Abdullatif, 2016; Almarayeh, Aibar-Guzman, & Abdullatif, 2020). To do so, the researchers conducted semi-structured interviews with twelve experienced Jordanian external auditors. The main issues covered are the detailed use of AP as an audit procedure and the most significant issues that may limit the effectiveness and reliability of this procedure in the Jordanian context. The main findings of the study include that AP are generally used and favoured by Jordanian auditors, despite their recognition of several problems facing the application of AP, and potentially limiting its reliability and effectiveness. These problems include weak internal controls of some clients, low quality of data provided by some clients, a lack of availability of specialised audit software for many auditors, and a lack of local Jordanian industry benchmarks that can be used to develop expectations necessary for the proper application of AP. The study recommends the establishment of such industry benchmarks, along with better monitoring by the regulatory authorities of the quality of company data, and increasing the efforts of these authorities on promoting the auditors’ use of specialised audit software in performing AP

scholarly journals The perceptions of loan officers and auditors of factors affecting auditor independence: Evidence from Palestine

Accounting ◽  
2021 ◽  
pp. 845-854
Author(s):  
Saher Aqel
Keyword(s):  
Audit Committee ◽  
Auditor Independence ◽  
Financial Statement ◽  
Policy Makers ◽  
Factors Affecting ◽  
External Auditors ◽  
Audit Firms ◽  
External Auditor ◽  
Loan Officers ◽  
International Audit

The study investigates the perceptions of external auditors and loan officers regarding external auditor's independence in Palestine. Data were gathered using a questionnaire developed by the author and include 5 main issues related to the perception of external auditor’s independence. The sampling population identified for this study consists of external auditors working in domestic and international audit firms and financial statement users mainly loan officers in Palestine. The sample included 79 auditors and 76 loan officers. The findings revealed that there are significant differences in the perceptions of external auditors and loan officers in relation to provision of non-audit services, auditor’s economic dependence on a single audit client, and long relationship between an auditor and a client. The results revealed mixed results about the effect of presence of active audit committee on independence of the external auditors. Furthermore, acceptance of significant gifts from the client was considered an important factor that may influence auditor independence by loan officers and external auditor and thus significant differences between the two respondent groups were found in relation to acceptance of significant gifts from the client. These findings can be useful to policy makers and professional auditing bodies in Palestine on setting new regulations or strengthening existing ones to enforce auditor’s independence in Palestine.

scholarly journals Pengaruh Capital Adequacy Ratio (CAR), Return On Assets (ROA), dan Non Performing Financial (NPF) Terhadap Penyaluran Pembiayaan pada Bank Umum Syariah yang Terdaftar di Otoritas Jasa Keuangan (OJK) Periode Tahun 2012–2019

2021 ◽  
Vol 17 (1) ◽  
pp. 64-81
Author(s):  
Irma Citarayani ◽  
Melani Quintania ◽  
Dita Paramita Handayani
Keyword(s):  
Financial Statements ◽  
Manufacturing Companies ◽  
Public Accounting ◽  
Return On Assets ◽  
Accounting Firms ◽  
Purposive Sampling ◽  
External Auditors ◽  
External Auditor ◽  
Fraudulent Financial Statements

The purpose of this research is to see the effect of pentagon fraud that proxied by financial targets, nature of the industry, quality of external auditors, change of auditors, number of CEOs who frequently detect fraud in financial statements. Financial statement fraud in this study was measured using the proxies of Return on Assets, Receivables, selection of audit services at public accounting firms, changes in public accounting firms, changes in directors, and the number of CEO photos. The population in research study are use manufacturing companies who listed on the Indonesia Stock Exchange (BEI) in 2017-2019. This research uses a purposive sampling technique so, there are 48 financial reports from 25 manufacturing companies. The analytical method used in this research is multiple linear regression analysis with SPSS version 20. The results of this research indicate that financial targets, nature of industry, quality of external auditors and the number of CEOs who often don’t have a significant effect in the handling of fraudulent financial statements. Meanwhile, changes in auditors and changes in direction have a significant effect from pentagon fraud side on fraudulent financial statements. Tujuan penelitian ini adalah untuk melihat pengaruh fraud pentagon yang di proksikan dengan financial target, nature of industry, quality of external auditor, change of auditor, frequent number of CEO terhadap pendeteksian kecurangan (fraud) laporan keuangan. Kecurangan dalam Laporan Keuangan di penelitian ini diukur menggunakan proksi Return on Assets, Receivable, pemilihan jasa audit pada KAP, pergantian KAP, perubahan direksi, dan banyaknya foto CEO. Perusahaan manufaktur yang terdaftar di Bursa Efek Indonesia (BEI) pada tahun 2017-2019 digunakan sebagai populasi dalam penelitian ini. Penelitian ini menggunakan teknik purposive sampling sehingga terdapat 48 laporan keuangan dari 25 perusahaan manufaktur. Analisis regresi linear berganda merupakan metode analisis yang digunakan dengan SPSS versi 20. Financial target, nature of industry, quality of external auditor dan frequent number of CEO tidak bepengaruh signfikan dalam mendeteksi adanya kecurangan dalam Laporan Keuangan dalam penelitian ini. Sedangkan, change of auditor dan change of direction berpengaruh signifikan dalam medeteksi kecurangan dalam laporan keuangan.

Aspects in Model Testing of a Monopile in Steep Waves

2017 ◽  
Author(s):  
Trygve Kristiansen ◽  
Erin E. Bachynski ◽  
Florent Bickert ◽  
Abdessamad Hniche ◽  
Vincent Kocher ◽  
...  
Keyword(s):  
Experimental Data ◽  
Bottom Topography ◽  
Test Procedure ◽  
Model Testing ◽  
Quality Of Data ◽  
Combined Use ◽  
Reynolds Number Effects ◽  
Steep Waves ◽  
The Many

Different aspects regarding model testing of a vertical, bottom-fixed monopile in steep waves are discussed. The different topics are related in the sense that they can improve the quality of experimental data. The discussion includes wave generation, wave absorption, tank wall effects, Reynolds number effects, the effect of sectioning of models and tank bottom topography. An automatic test procedure was developed with a significant gain in both quality and quantity of experimental data. The purpose of this paper is to increase the awareness of the many possible flaws that can be made in a closed wave tank, in order to contribute to increased quality of data. None of the topics are treated in much detail. However, they are exemplified by new experimental data as well as numerical simulations. The importance of the combined use of experiments, theory and numerical calculations is emphasized.

scholarly journals The Impact of the Requirements of International Audit Standard No (300): Planning for Auditing Financial Statements on the Quality of the Audit Report

2018 ◽  
Vol 10 (12) ◽  
pp. 19
Author(s):  
Khalil Abu Saleem
Keyword(s):  
Design Methodology ◽  
Financial Statements ◽  
Audit Report ◽  
Significant Relation ◽  
External Auditors ◽  
Audit Standard ◽  
External Auditor ◽  
The Impact ◽  
International Audit

Purpose: This study aimed to demonstrate the impact of the requirements of the International Auditing Standard No. (300): Planning the auditing of financial statements on the quality of the report performed by the external auditor. Design / Methodology / Approach: The descriptive statistical method was used, the data was collected through a questionnaire developed by the researcher, which targeted (113) individuals of the external auditors. The study included six axes, five of which were allocated to measure the impact of the requirements of the audit standard No. (300), while the sixth axis was devoted to measure the quality of the auditing report. Results: The study found that there is a statistically significant relation with the requirements of the International Auditing Standard No. (300): Planning the auditing of financial statements on the quality of the report of the external auditor, where the axis of planning activities had the most significant impact on the quality of the audit report, while the additional considerations were less impactful in the auditing process. Originality/ Value: According to the researcher knowledge, this study is considered as the first one which dealt with the variables of the study combined; this will provide a solid ground for researchers to motivate themselves to conduct further research and studies on these variables.

scholarly journals Analysis of The Influence of Pentagon Fraud in Detecting Financial Statement Fraud Using Method F- Score

2021 ◽  
Vol 1 ◽  
pp. 40-56
Author(s):  
Vina Yusniarti ◽  
Henny Mulyati ◽  
Amrizal Amrizal
Keyword(s):  
Financial Stability ◽  
Stock Exchange ◽  
External Pressure ◽  
Financial Statement ◽  
Manufacturing Companies ◽  
Financial Statement Fraud ◽  
External Auditors ◽  
Share Ownership ◽  
Political Relations

This study aims to examine the elements of fraud in the  fraud  pentagon theory in detecting financial statement fraud. Pentagon fraud is variables from the pressure element, opportunity, rationalization, capability, and elements of arrogance, namely political relationships which are hypothesized to affect financial statement fraud. The F-Score method is used to determine financial statement fraud. This research  sample was selected using the purposive sampling method from 47 manufacturing companies in the basic industry and chemicals industry listed on the Indonesia Stock Exchange (BEI) in the period 2015 to 2019. Hypothesis testing uses multiple regression analysis models using SPSS 22 to test the effect of the target. finance, financial stability, external pressure, institutional share ownership, ineffective supervision,  influence on  the nature of the industry, quality of external auditors, replacement of auditors, change of directors and political relations to financial statement fraud. The results showed that the quality of external auditors and auditor turnover had a significant positive effect on financial statement fraud. Meanwhile, financial targets, financial stability, external pressure, institutional share ownership, ineffective supervision, the influence of the nature of the industry, the change of directors, and political relations have no effect on financial statement fraud.

scholarly journals Perceptions about turnover in the internal audit activity: an overview of the Brazilian context

2019 ◽  
Vol 11 (2) ◽  
Author(s):  
Claudio de Souza Miranda ◽  
João Paulo Resende de Lima
Keyword(s):  
Quality Of Life ◽  
Turnover Rate ◽  
Internal Audit ◽  
External Audit ◽  
Internal Auditor ◽  
External Auditors ◽  
Main Factors ◽  
External Auditor ◽  
Audit Activity

Purpose: This paper aims to present and discuss a general overview about the level of turnover through the perception of internal audit professionals in the Brazilian context. Methodology: The research was carried out through an applied survey with 140 internal audit professionals, whose counts were collected through LinkedIn. The professionals evaluated mainly work in large organizations, 61.4% are former external auditors who made the career change mainly because their previous career did not have a balance between personal and professional life, and 94% understood that the exchange generated better quality of life. Results: A low turnover rate was observed among the participating professionals. Among the main factors related to turnover are the receipt of proposals of work in other organizations for the audit experience, as well as others within the own organization that act. On a scale of 1 to 10 participants define their quality of life as 6.7 and if they say they value the function. Contributions of the Study: This paper contributes with the literature advancing the discussion about turnover and quality of life to the branch of internal audit and brings the discussion to the Brazilian context. The work also contributes to the discussion about the change of career from external auditor to internal auditor, with previous work focusing on the turnover of internal audit activity, and those who study turnover in external audit do not assess the fate of professionals, presenting a gap to be fulfilled in theory.

scholarly journals Corporate governance, audit firm size and restated financial statement in Indonesia stock exchange

2014 ◽  
Vol 10 (2) ◽  
pp. 77-84 ◽  
Author(s):  
Ardiansyah Rasyid ◽  
Cenik Ardana
Keyword(s):  
Corporate Governance ◽  
Financial Reporting ◽  
Audit Committee ◽  
Stock Exchange ◽  
Financial Statement ◽  
Audit Firm ◽  
Audit Firms ◽  
External Auditor ◽  
Big Four

This research aims to describe the corporations to take restatement in financial statement such as, corporate governance implementation and size of Audit Firm. Corporate Governance and size of Audit Firm are involved in auditing process. Theoretically, those influence the quality of financial statement. The occurrence of restatement of financial reporting is as a proxy for a lower of financial statement quality. Hence, corporate governance and size of Audit Firm should prevent from restated financial statement. The result of this research describe that number of independent commissioner and number of audit committee do not prevent from restated financial statement. In addition, size of Audit Firm is not obvious to increase the quality of financial statement, because there are several of big four audit firms have been appointed by such corporation as external auditor or some of restatements have been done by non-big four. This research describes the composition of independent commissioner, audit committee and also Audit Firms size do not influence directly to restated financial statement.

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