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Purpose: The purpose of this thesis is to investigate the relationship between audit quality, with a specific focus on auditor size and audit fees, and the cost of debt and access to debt for medium-sized privately held enterprises in Sweden. Additionally, we seek to explore how family firms moderate these relationships. Theoretical perspective: This paper combines signaling theory and agency theory to theorize how Big-4 classifications of audit firms and audit fees signal audit quality and different levels of agency cost of debt to creditors. Further, it explores the moderating effect of family firms using socioemotional wealth theory alongside agency theory. Method: This study is based within the positivistic paradigm, employing a deductive approach. The study uses a quantitative methodology, gathering data from 463 medium-sized privately held enterprises in Sweden. The empirical data is analyzed using multiple linear regressions, with the moderating effects of family firms. Findings: The findings of this study suggest that firms engaging Big-4 audit firms do not experience lower costs of debt nor improved access to debt. However, audit fees demonstrate a positive relationship with both the cost of debt and access to debt. Further, the study indicates that family firms do not have a moderating effect on these relationships.

Purpose: The purpose of this thesis is to investigate the relationship between audit quality, with a specific focus on auditor size and audit fees, and the cost of debt and access to debt for medium-sized privately held enterprises in Sweden. Additionally, we seek to explore how family firms moderate these relationships. Theoretical perspective: This paper combines signaling theory and agency theory to theorize how Big-4 classifications of audit firms and audit fees signal audit quality and different levels of agency cost of debt to creditors. Further, it explores the moderating effect of family firms using socioemotional wealth theory alongside agency theory. Method: This study is based within the positivistic paradigm, employing a deductive approach. The study uses a quantitative methodology, gathering data from 463 medium-sized privately held enterprises in Sweden. The empirical data is analyzed using multiple linear regressions, with the moderating effects of family firms. Findings: The findings of this study suggest that firms engaging Big-4 audit firms do not experience lower costs of debt nor improved access to debt. However, audit fees demonstrate a positive relationship with both the cost of debt and access to debt. Further, the study indicates that family firms do not have a moderating effect on these relationships.

The objectives of this research are to assess the effects of political connection and audit fees on tax avoidance and to assess the moderation of audit quality. The population of this quantitative research is mining companies listed on the Indonesia Stock Exchange (IDX) during the 2017-2021 period, from which 142 companies were selected as the sample using purposive judgmental sampling. The Moderated Regression Analysis (MRA) conducted in this research has led to findings that tax avoidance is not affected by political connection and audit fees, that politically connected companies with high audit quality have lower tax avoidance rate, and that higher audit fees paid by companies with high audit quality does not reduce the companies’ motivation to commit tax avoidance.

The objectives of this research are to assess the effects of political connection and audit fees on tax avoidance and to assess the moderation of audit quality. The population of this quantitative research is mining companies listed on the Indonesia Stock Exchange (IDX) during the 2017-2021 period, from which 142 companies were selected as the sample using purposive judgmental sampling. The Moderated Regression Analysis (MRA) conducted in this research has led to findings that tax avoidance is not affected by political connection and audit fees, that politically connected companies with high audit quality have lower tax avoidance rate, and that higher audit fees paid by companies with high audit quality does not reduce the companies’ motivation to commit tax avoidance.

The professional literature has provided evidence of discrimination against ethnic minority professionals in a number of research contexts, including law, architecture, construction, and health care. However, research on ethnicity-based discrimination in the accounting profession has been sparser and has generally relied on ethnic minorities’ perceptions of discrimination rather than actual discrimination. In this study, we complement and extend this research by investigating whether ethnic minority audit partners are associated with lower audit fees than nonethnic minority audit partners. We also consider whether the association between ethnicity and audit fees depends on the status of the audit firm in which audit partners work. We find that ethnic minority audit partners are associated with lower audit fees and that this holds true only when they work in lower-status audit firms. Supplementary analyses carried out on our data suggest that discrimination is more likely to be performed by audit clients than by audit firms as we do not find evidence that audit firms systematically and selectively allocate ethnic minority audit partners to clients with specific characteristics (e.g., potentially less lucrative clients). Our study contributes to the literature on ethnicity-based discrimination in the accounting profession, to the literature on professional stereotypes, and to the audit pricing literature.

Title: The effect of regulatory reforms on audit quality in a lax enforcement and high trust environment: A quantitative study on Swedish companies Level: Student thesis, final assignment for Master Programme in Business Administration Author: Julia Owczarek Blom Supervisor: Asif M Huq Date: 2023 - May Aim: The aim of the study is to investigate the impact of regulatory changes on the consumption of non-audit services and the audit quality among the Swedish publicly listed firms on the Nasdaq Stockholm Stock Exchange. Specifically, the study focuses on whether there is a relationship between the 8th Directive on Statutory Audit and the EU Audit Package on non-audit services and the quality of audits. Furthermore, the study additionally investigates if the Swedish ownership structure has a negative impact on the audit quality among the companies. Method: The method used in this study is based on a quantitative approach where the final sample that is empirically tested includes 626 Swedish large-, mid-, and small-cap firms listed on the Swedish stock market, Nasdaq OMX Stockholm. Moreover, the data consist of 5517 firm years and annual reports between the years 2001 and 2021. Result and Conclusions: The result of this study suggests that the implementation of the 8th Directive on Statutory Audits has positively impacted audit quality, although it has not limited the consumption of non-audit services. Furthermore, the study further suggests that the EU Audit Package efficiently increased audit quality among the Swedish firms while, at the same time, decreasing the consumption of NAS. Although both regulations enhanced audit quality, the second regulatory change has been a lot more impactful than the previous one. In addition, the findings of the study suggest that the Swedish ownership structure, consisting of a single or few strong shareholders and companies being majority family owned, has a positive impact on audit quality. Contrib

From the perspective of institutional change in IPO regulation, this paper discusses the relationship between IPO pricing regulation and audit fees in China. This paper finds that the audit fees of IPO companies are higher in the stage of pricing regulation in comparison to the stage of pricing marketization. We also find auditors charge higher audit fees for private companies than state-owned companies during the IPO pricing regulation period. Furthermore, in regions with tightened legislation, IPO audit fees are higher in the IPO pricing regulation period.

The need for reliable financial information has led to the establishment of audits as a vital component of corporate governance. Audits serve to enhance the credibility of financial statements, mitigate agency conflicts, and instill trust among stakeholders. In an evolving business landscape, external factors such as covid, war, and climate change have emerged, potentially impacting the determinants of audit fees. Purpose: The main objective of this thesis is to investigate the influence of external risk factors such as the covid pandemic, the Russia-Ukraine war, and climate change on audit fees. Theoretical perspectives: Theoretical concepts base on previous research and publications on determinants of audit fees, audit risk, the covid pandemic, Russia-Ukraine war, and climate change. Literature was used to derive the research gap and research questions. Methodology: A qualitative method base exploratory approach. A literature review was conducted to uncover areas of interest that require more research. The influence of external risk on the audit fees was identified as a potential area for research; a focus on the covid pandemic, the Russia-Ukraine war, and climate change. The research is based on semi-structured interviews with auditors from big four audit firms in Sweden. Empirical foundation: Six auditors from various professional levels participated in the interview process to obtain empirical data. Conclusions: The findings of the study show that covid, Russia-Ukraine war, and climate change have significant implications on audit fees. These external factors contribute to increased complexity and risk in the audit process, necessitating additional resources and effort leading to increase in audit fees. Recognizing the influence of COVID-19, war, and climate change on audit fees is crucial for auditors, audit clients, policymakers, and regulators. This awareness can inform decision-making processes, financial planning, risk assessments, and the development of a

Purpose: The object of this analysis is to investigate empirically the determinants of the audit selection by local or Non-local Auditor (NLA) and their effect on companies listed on the Tehran Bourses. Theoretical framework: The selection of an independent auditor is influenced by numerous factors. The agency theory predicts that when firm size, debt leverage, and staff compensation costs rise, the likelihood of electing a qualified volunteer auditor in the ordinary general assembly will as well (Hassas Yeganeh & Heidari, 2008). Design/methodology/approach: The study seeks to examine whether local or NLA are chosen in companies mentioned on the Tehran Stock Exchange (TSE). The research sample contains 108 companies listed on the Tehran Bourses between 2013 and 2019. Findings: The findings show that the probability of contracting with a NLA decline to a considerable degree if there is a rise in the number of local auditor (LA) regardless of auditor rating. Also, the likelihood of choosing a NLA is lower for high-quality financial reporting companies. Besides, if a NLA is selected, audit fees (AF) are likely to be reduced. Research, Practical & Social implications: Independence is a determinant of employment for central and non-local auditors. The studies focus on auditor independence, which non-local auditors may not have when compared to local auditors in companies in which the government contributes to financing part of its capital. Originality/value: The research adds to the literature on corporate governance by emphasizing that Board oversight is not a good alternative to auditor monitoring of Financial Statements (FS) credibility and indicates that an auditor may have licensing criteria.

Purpose: This study aims to examine the relationship between corporate sustainability engagement and earnings management and the function of audit fees in that relationship. Theoretical framework: Sustainability reporting and earnings management may not be applicable or generate the same outcomes due to differences in societal values, culture, and development levels between developed and developing countries, which emphasises the need for this study to focus on Bangladesh, an emerging market. Design/methodology/approach: This research employs content analysis to determine the magnitude of the sustainability activities for 2010 to 2020 of the banking sectors of Bangladesh. Additionally, this study uses discretionary accruals as a proxy for earnings management. Findings: According to the results, there is a significant positive relationship between corporate sustainability engagement and earnings management, with audit fees serving as a moderator in the negative direction. According to these findings, high audit costs are likely to compel bank executives to submit high-quality financial reports and restrict their use of sustainability activities to management opportunism. Research, practical and social implication: The study's findings should concern researchers and corporate authorities interested about managers' earnings management aspirations. The findings will immediately impact academics and decision-makers in countries with similar financial and governmental systems. Originality/value: According to sustainability reporting studies, disclosures have been driven by the need to calm concerns about a company's authenticity. This paper acknowledges the need for increased audit fees for quality auditors, but it argues that rigorous audit procedures are more important for raising financial disclosure standards.

Title: The effect of regulatory reforms on audit quality in a lax enforcement and high trust environment: A quantitative study on Swedish companies Level: Student thesis, final assignment for Master Programme in Business Administration Author: Julia Owczarek Blom Supervisor: Asif M Huq Date: 2023 - May Aim: The aim of the study is to investigate the impact of regulatory changes on the consumption of non-audit services and the audit quality among the Swedish publicly listed firms on the Nasdaq Stockholm Stock Exchange. Specifically, the study focuses on whether there is a relationship between the 8th Directive on Statutory Audit and the EU Audit Package on non-audit services and the quality of audits. Furthermore, the study additionally investigates if the Swedish ownership structure has a negative impact on the audit quality among the companies. Method: The method used in this study is based on a quantitative approach where the final sample that is empirically tested includes 626 Swedish large-, mid-, and small-cap firms listed on the Swedish stock market, Nasdaq OMX Stockholm. Moreover, the data consist of 5517 firm years and annual reports between the years 2001 and 2021. Result and Conclusions: The result of this study suggests that the implementation of the 8th Directive on Statutory Audits has positively impacted audit quality, although it has not limited the consumption of non-audit services. Furthermore, the study further suggests that the EU Audit Package efficiently increased audit quality among the Swedish firms while, at the same time, decreasing the consumption of NAS. Although both regulations enhanced audit quality, the second regulatory change has been a lot more impactful than the previous one. In addition, the findings of the study suggest that the Swedish ownership structure, consisting of a single or few strong shareholders and companies being majority family owned, has a positive impact on audit quality. Contrib

From the perspective of institutional change in IPO regulation, this paper discusses the relationship between IPO pricing regulation and audit fees in China. This paper finds that the audit fees of IPO companies are higher in the stage of pricing regulation in comparison to the stage of pricing marketization. We also find auditors charge higher audit fees for private companies than state-owned companies during the IPO pricing regulation period. Furthermore, in regions with tightened legislation, IPO audit fees are higher in the IPO pricing regulation period.

The need for reliable financial information has led to the establishment of audits as a vital component of corporate governance. Audits serve to enhance the credibility of financial statements, mitigate agency conflicts, and instill trust among stakeholders. In an evolving business landscape, external factors such as covid, war, and climate change have emerged, potentially impacting the determinants of audit fees. Purpose: The main objective of this thesis is to investigate the influence of external risk factors such as the covid pandemic, the Russia-Ukraine war, and climate change on audit fees. Theoretical perspectives: Theoretical concepts base on previous research and publications on determinants of audit fees, audit risk, the covid pandemic, Russia-Ukraine war, and climate change. Literature was used to derive the research gap and research questions. Methodology: A qualitative method base exploratory approach. A literature review was conducted to uncover areas of interest that require more research. The influence of external risk on the audit fees was identified as a potential area for research; a focus on the covid pandemic, the Russia-Ukraine war, and climate change. The research is based on semi-structured interviews with auditors from big four audit firms in Sweden. Empirical foundation: Six auditors from various professional levels participated in the interview process to obtain empirical data. Conclusions: The findings of the study show that covid, Russia-Ukraine war, and climate change have significant implications on audit fees. These external factors contribute to increased complexity and risk in the audit process, necessitating additional resources and effort leading to increase in audit fees. Recognizing the influence of COVID-19, war, and climate change on audit fees is crucial for auditors, audit clients, policymakers, and regulators. This awareness can inform decision-making processes, financial planning, risk assessments, and the development of a

Controversies had risen among investors and other stakeholders of corporations why external auditors receive a substantial amount as remuneration of the audit and non-audit services rendered to their clients. These fees had been charged to add trustworthiness to the financial reports prepared by the management and also to protect the interest of the shareholders. A lot of problems occurred on what are such factors that determine (increases or decreases) the audit fees charged by external auditors. This study is aimed at examining the factors that determined audit fees of listed insurance companies in Nigeria using a correlational research design. The study’s population comprised of twenty-six (26) listed insurance companies in Nigeria. Panel data were generated from the annual report and accounts of the sampled insurance companies for the periods 2011-2020 arrived at using a judgmental sampling technique. The study used random effect Generalized Least Square (GLS) regression for data analysis. The study revealed that client size and audit firm size are the important factors determining audit fees of listed insurance companies in Nigeria. While client profitability, client complexity, client underwriting risk, and client liquidity risk are found to have an insignificant and negative effect on audit fees of listed insurance companies in Nigeria. The study, therefore, recommended that auditors of Nigerian insurance companies should inspire their clients in increasing their total assets including their investments which increases the size of their businesses. This increases the companies’ financial performances, as well as, the professional fees collected by auditors of insurance companies in Nigeria.

Purpose: The purpose of this research is to analyze the degree of transparency reports (TR)transparency and its relation with the audit firm size, fees, either from audit services, or from otherservices, and with the human capital.Design/methodology: In this study we considered 282 audit firms, and our final sample includes 268transparency reports from 2013 through 2017. For the period under analysis, audit firms financialinformation, human resources information and TR were collected. TR report information was dividedin four types of information: Mandatory Information I, Mandatory Information II, VoluntaryInformation and Extra Information. These indexes measure the fulfillment of each information on thetotal of information considered in each index. Non-parametric tests were applied to analyze thebehavior of each index for the different years, whereas the Generalized Linear Models were performedto study the impact of various factors on each disclosure index.Findings: Our results show a high level of transparency regarding Mandatory Information I, but alower accomplishment regarding all other information. In general, the auditor experience, the numberof auditors, the number of clients that are public-interest entities (PIE) and the percentage of extraaudit services have a significant impact on the information disclosed in the TR.Originality/value: Our paper contributes to the current literature by assessing the influence thathuman capital has on the information disclosed in the transparency reports, also it covers a 5-year periodand the compliance with the new disclosures added by Regulation No. 537/2014, Peer Reviewed

Controversies had risen among investors and other stakeholders of corporations why external auditors receive a substantial amount as remuneration of the audit and non-audit services rendered to their clients. These fees had been charged to add trustworthiness to the financial reports prepared by the management and also to protect the interest of the shareholders. A lot of problems occurred on what are such factors that determine (increases or decreases) the audit fees charged by external auditors. This study is aimed at examining the factors that determined audit fees of listed insurance companies in Nigeria using a correlational research design. The study’s population comprised of twenty-six (26) listed insurance companies in Nigeria. Panel data were generated from the annual report and accounts of the sampled insurance companies for the periods 2011-2020 arrived at using a judgmental sampling technique. The study used random effect Generalized Least Square (GLS) regression for data analysis. The study revealed that client size and audit firm size are the important factors determining audit fees of listed insurance companies in Nigeria. While client profitability, client complexity, client underwriting risk, and client liquidity risk are found to have an insignificant and negative effect on audit fees of listed insurance companies in Nigeria. The study, therefore, recommended that auditors of Nigerian insurance companies should inspire their clients in increasing their total assets including their investments which increases the size of their businesses. This increases the companies’ financial performances, as well as, the professional fees collected by auditors of insurance companies in Nigeria.

We study the determinants of auditor industry specialization, the impact of specialization on fees and audit quality, and a regulator's optimal choice of audit standards in the presence of specialization. In industries with correlated firm values, a specialist auditor enjoys synergies from information spillovers between clients. These spillovers, however, only induce a specialist to decrease audit effort when the cost of effort and the prior precision of the firms' values are low. We derive empirical predictions about the determinants of specialization, and show that specialization benefits firms through lower expected fees and higher audit reporting quality, but only enhances the usefulness of reports to investors when the specialist exerts high audit effort. In a regulated setting, a stricter audit standard affects fees through its impact on specialization. We provide conditions under which standards that maximize firm value will be more strict and less strict when a regulator recognizes synergies.

We show that increased audit effort is associated with lower annual report readability to compensate for a perceived increase in the risk of financial misstatement for United States (US) firms. In particular, we find that lower annual report readability is associated with longer audit delays and higher audit fees for Form 10-K for US auditors, suggesting that auditors spend more effort auditing clients when annual reports have lower readability. We also find that low readability increases the likelihood of auditors using more explanatory language in unqualified audit reports.

This study examines whether and to what extent risk-associated firms that are affiliated with a business group affect audit pricing decisions. The results indicate that auditors spend more audit hours and charge higher audit fees for group-affiliated firms than for other firms. Furthermore, when a group-affiliated client is economically important to auditors’ total revenue, higher audit fees are mainly explained by the increased audit effort. This suggests that the extent of the risk premium attached to group-affiliated firms may be limited by client firms’ bargaining power, especially in a competitive audit market such as Korea.

This study examines the association of audit fees with audit quality among a total of 104 and 108 non-financial companies listed on GCC stock markets for the periods preceding and subsequent the event, respectively, over the period 2005–2010. Using OLS regression, the results show that there is a significantly positive association between audit fees and audit quality for the periods preceding and subsequent the new auditor selection. Further, the results of this study contribute to the existing theory and empirical evidence of how the audit fees are associated with audit quality in the periods preceding and subsequent to the new auditor selection. This study offers policy-makers additional evidence to be used for setting up and/or enacting regulations in GCC region regarding issues related to audit fees., Este estudio examina la asociación de los honorarios de auditoría con la calidad de auditoría entre un total de 104 y 108 compañías no financieras que cotizan en los mercados de valores de GCC para los períodos anteriores y posteriores al evento, respectivamente, durante el período 2005–2010. Usando la regresión OLS, los resultados muestran que existe una asociación significativamente positiva entre los honorarios de auditoría y la calidad de la auditoría para los períodos anteriores y posteriores a la selección del nuevo auditor. Además, los resultados de este estudio contribuyen a la teoría existente y la evidencia empírica de cómo los honorarios de auditoría están asociados con la calidad de la auditoría en los períodos anteriores y posteriores a la selección del nuevo auditor. Este estudio ofrece a los formuladores de políticas evidencia adicional que se utilizará para establecer y / o promulgar regulaciones en la región del CCG con respecto a cuestiones relacionadas con los honorarios de auditoría.

This study examines the association of audit fees with audit quality among a total of 104 and 108 non-financial companies listed on GCC stock markets for the periods preceding and subsequent the event, respectively, over the period 2005–2010. Using OLS regression, the results show that there is a significantly positive association between audit fees and audit quality for the periods preceding and subsequent the new auditor selection. Further, the results of this study contribute to the existing theory and empirical evidence of how the audit fees are associated with audit quality in the periods preceding and subsequent to the new auditor selection. This study offers policy-makers additional evidence to be used for setting up and/or enacting regulations in GCC region regarding issues related to audit fees., Este estudio examina la asociación de los honorarios de auditoría con la calidad de auditoría entre un total de 104 y 108 compañías no financieras que cotizan en los mercados de valores de GCC para los períodos anteriores y posteriores al evento, respectivamente, durante el período 2005–2010. Usando la regresión OLS, los resultados muestran que existe una asociación significativamente positiva entre los honorarios de auditoría y la calidad de la auditoría para los períodos anteriores y posteriores a la selección del nuevo auditor. Además, los resultados de este estudio contribuyen a la teoría existente y la evidencia empírica de cómo los honorarios de auditoría están asociados con la calidad de la auditoría en los períodos anteriores y posteriores a la selección del nuevo auditor. Este estudio ofrece a los formuladores de políticas evidencia adicional que se utilizará para establecer y / o promulgar regulaciones en la región del CCG con respecto a cuestiones relacionadas con los honorarios de auditoría.

Titel: Revision i tider av social distansering Inledning: En kris är något som påverkar det normala och bidrar till en avvikelse i en organisation. Coronapandemin har bland annat satt krav på implementering av hemarbete och dess strategier. En revisors roll i företaget är att ge en rättvisande bild av företagets finansiella information. Som revisor behöver man säkerställa att man bibehåller den revisionskvalitet som krävs, även i tider av social distansering. Syfte och frågeställning: Denna studie syftar till att undersöka om, och hur, den sociala distanseringen, till följd av Coronapandemin, har påverkat kvaliteten på revisorns arbete. Hur har revisionskvaliteten påverkats av de krav som ställts på den sociala distanseringen till följd av Coronapandemin?Hur har följande fem punkter påverkats av Coronapandemin? Revisorsarvode Revisorns lön Fortlevnadsprincipen Revisionsförfarande HumankapitalSkiljer sig resultatet åt ifall man arbetar på “Big Four” eller inte?Teori: Studien bygger på den teoretiska studien gjord av Albitar, Gerged, Kikhia och Hussainey (2020), för att nå ytterligare bredd har även annan forskning bidragit till den teoretiska referensramen. Detta för att undersöka Coronapandemins påverkan på de fem ovan nämnda nyckelaspekter i ett senare stadie av Coronapandemin än den tidigare forskningen av Albitar med flera (2020).Metod: Studien antar ett deduktivt synsätt med inslag av induktion för att få en djupare förståelse kring ämnet. Genomförandet är av kvantitativ karaktär och genomförs genom enkäter med respondenter från revisionsbyråer Sverige över.Slutsats: Studiens resultat påvisar en viss påverkan på branschen till följd av Coronapandemin. Bland annat så har bedömningen om fortlevnad försvåras då framtiden är oviss för många av klienterna. Denna studie påvisar även att revisorsarvoden inte har sänkts till följd av Coronapandemin, inte heller revisorers löneutveckling. Vidare har de krav på digitalisering effektiviserat revisorers arbete som fått

In this paper we studied the effect of International Financial Reporting Standards (IFRS) on audit fees in Sweden. Using a classic audit fee model, with data between 2001-2019 for 100 publicly traded Swedish firms we studied the effects of IFRS on audit fees during the implementation period as well as the long-term effects of IFRS adoption. In addition to this we investigated if the adoption of IFRS affected large and small firms differently. In contrast to most previous literature, we found that the implementation of IFRS has not had any short- or long-term effects on audit fees in Sweden. However, we found small indications that changes in audit fees are lower for large firms after the implementation of IFRS but the model’s explanatory factor was low and the effect small so no definitive conclusions could be made. The results remain the same after performing several robustness tests.

Titel: Revision i tider av social distansering Inledning: En kris är något som påverkar det normala och bidrar till en avvikelse i en organisation. Coronapandemin har bland annat satt krav på implementering av hemarbete och dess strategier. En revisors roll i företaget är att ge en rättvisande bild av företagets finansiella information. Som revisor behöver man säkerställa att man bibehåller den revisionskvalitet som krävs, även i tider av social distansering. Syfte och frågeställning: Denna studie syftar till att undersöka om, och hur, den sociala distanseringen, till följd av Coronapandemin, har påverkat kvaliteten på revisorns arbete. Hur har revisionskvaliteten påverkats av de krav som ställts på den sociala distanseringen till följd av Coronapandemin?Hur har följande fem punkter påverkats av Coronapandemin? Revisorsarvode Revisorns lön Fortlevnadsprincipen Revisionsförfarande HumankapitalSkiljer sig resultatet åt ifall man arbetar på “Big Four” eller inte?Teori: Studien bygger på den teoretiska studien gjord av Albitar, Gerged, Kikhia och Hussainey (2020), för att nå ytterligare bredd har även annan forskning bidragit till den teoretiska referensramen. Detta för att undersöka Coronapandemins påverkan på de fem ovan nämnda nyckelaspekter i ett senare stadie av Coronapandemin än den tidigare forskningen av Albitar med flera (2020).Metod: Studien antar ett deduktivt synsätt med inslag av induktion för att få en djupare förståelse kring ämnet. Genomförandet är av kvantitativ karaktär och genomförs genom enkäter med respondenter från revisionsbyråer Sverige över.Slutsats: Studiens resultat påvisar en viss påverkan på branschen till följd av Coronapandemin. Bland annat så har bedömningen om fortlevnad försvåras då framtiden är oviss för många av klienterna. Denna studie påvisar även att revisorsarvoden inte har sänkts till följd av Coronapandemin, inte heller revisorers löneutveckling. Vidare har de krav på digitalisering effektiviserat revisorers arbete som fått

In this paper we studied the effect of International Financial Reporting Standards (IFRS) on audit fees in Sweden. Using a classic audit fee model, with data between 2001-2019 for 100 publicly traded Swedish firms we studied the effects of IFRS on audit fees during the implementation period as well as the long-term effects of IFRS adoption. In addition to this we investigated if the adoption of IFRS affected large and small firms differently. In contrast to most previous literature, we found that the implementation of IFRS has not had any short- or long-term effects on audit fees in Sweden. However, we found small indications that changes in audit fees are lower for large firms after the implementation of IFRS but the model’s explanatory factor was low and the effect small so no definitive conclusions could be made. The results remain the same after performing several robustness tests.

Ever since Simunic (1980), a great deal of research has examined the pricing of auditing services. The absence of proprietary audit cost data forces most researchers to use audit fee models linking theoretical concepts to observable data. In order to make audit pricing more transparent, there is a need to examine the determinants of audit fees with regard to, for example, different organizational forms, institutional settings, and governance mechanisms. Regarding corporate disclosures, most prior research has investigated various determinants, although little field-based research has focused on the actual disclosure process. By focusing on disclosure practices, it is possible to explore the role of essential actors involved in the preparation of annual reports. The overall aim of this thesis is twofold: first, to explore theoretically salient influences on audit fees by analyzing the effects of client business risk, municipal ownership, and the content of internal audit disclosures, and second, to improve our understanding of how companies manage their corporate disclosures. This thesis consists of a compilation of four papers and a comprehensive summary. The specific aim of each paper and current knowledge of the phenomenon under study have formed the basis for the methodological choices (interviews, content analysis, and regression analysis). The empirical material consists mainly of publicly available data from annual reports and of interviews with managers of listed companies, audit firms, and communication agencies. Given the twofolded aim of this thesis, evidence is provided that: (i) the determinants of audit fee cutting and relative audit fee pressure are considerably different, especially with regard to different client business risk factors; (ii) municipal companies are paying significantly lower audit fees than equivalent private companies; (iii) there is a considerable heterogeneity in internal auditing disclosures, and companies with more transparent fi, Ända sedan Simunic (1980) har ett stort antal studier undersökt prissättningen av revisionstjänster. Avsaknaden av företagsintern data över de faktiska revisionskostnaderna har tvingat majoriteten av alla forskare att använda revisionskostnadsmodeller, vilka länkar teoretiska koncept med observerbar data. För att göra prissättningen av revision mer transparant finns det ett behov av att ytterligare undersöka revisionskostnadernas bakomliggande faktorer med hänsyn till exempelvis olika organisationsformer, institutionella miljöer och styrningsmekanismer. Gällande informationsgivning från företag, har en stor andel av tidigare forskning undersökt olika bakomliggande faktorer, dock existerar det fåtalet fältstudier med fokus på den faktiska processen som ligger till grund för offentliggörande av information. Genom att fokusera på informationsgivning i praktiken är det möjligt att utforska rollen av väsentliga aktörer som är inblandade i framtagandet av årsredovisningar. Det övergripande syftet med denna avhandling är tudelat, först att utforska teoretiskt betydande influenser på bolags revisionskostnader genom att analysera effekterna av klienters affärsrisk, kommunalt ägande och innehållet i upplysningar kring internrevision, och för det andra, att förbättra vår förståelse för hur företag hanterar sitt informationsgivande. Den här avhandlingen består av fyra artiklar och en sammanfattande kappa. Varje enskilt syfte i respektive artikel och det nuvarande evidensläget gällande studiefenomenet har legat till grund för de metodologiska övervägandena (intervjuer, innehållsanalys, och regressionsanalys). Det empiriska materialet består i huvudsak av publikt tillgänglig data från årsredovisningar och intervjuer med anställda på noterade bolag, revisionsbyråer, och kommunikationsbyråer. Med hänsyn till studiens tudelade syfte, påvisas följande resultat: (i) de bakomliggande faktorerna som förklarar en sänkning av revisionskostnaderna och en relativ press av revisionskostnader

The research objective is to analyse different factors potentially involved in influencing the size of audit fees. The association between the Board of Directors and the shareholders of listed companies should be effectively developed and there should be a higher spirit of compliance with the governance code. The empirical model is constructed to assess the theoretical and statistical relationship between audit fees and corporate governance characteristics over a period of four years (for FTSE 350 companies excluding financial institutions between 2012 and 2015). Different testing techniques are used for robustness reasons. We found that Board of Directors' characteristics are significant in relation to audit fees. Some of the Audit Committee characteristics are affected by the collegiality principle in relation to the Board of Directors' characteristics. The consultative role of audit committee directors is dominated by the role of the Board of Directors. Mandatory audit fees, and not total auditors' remuneration is included in this study. While other studies assess mainly one corporate governance mechanism in relation to audit fees, we include the corporate governance mechanisms that are directly related to auditors' scope. This paper can be used as a tool for audit practitioners and corporate executives to seek a better auditor-client relationship.

This paper investigates how the features of CEO equity-based compensation are associated with the agency costs of monitoring (measured by external audit fees) in an Australia setting. We find that audit fees significantly increase when firms award large equity grants to CEOs, which is consistent with the notion that auditors perceive higher risk associated with large equity incentives. However, by empirically testing auditors’ responses to the adoption of performance-vesting provisions, we document evidence that it is the use of accounting-based hurdles that potentially encourages unethical reporting issues. We report that audit fees are negatively associated with the use of market-based hurdles, while accounting-based hurdles lead to significantly higher audit fees but combination hurdles lower audit fees. To reduce the possible undesirable properties of accounting-based hurdles, firms adopt longer vesting periods to provide more balanced future-oriented incentives. Practical implications include the remuneration committee being aware of the hidden costs of poorly-designed CEO compensation packages and avoiding undesirable ethical implications, particularly, where the CEO has significant power over the corporation.

The international financial crisis plunged the Spanish economy in a downturn spiral from 2008 to 2010, with seven consecutives recession periods. During this period, Spanish companies faced growth and liquidity problems and credit constrains, which increased their business risk. The international literature emphasizes that there is a relationship between business risk and audit fees. This study considers if there is a relationship between time (the three years period when Spanish recession was higher and the following three-year period) and audit fees. We analyzed the financial statements and annual audit fees, obtained from SABI-Bureau Van Dijk database, from 2008 to 2013, charged by auditors to 119 manufacturing companies. The results obtained, despite positive and negative correlations between audit fees and other variables of our model, are not totally conclusive neither consistent. They point out to a tenuous relationship between time and audit fees, partially corroborating the American reality, but not the studies made in Australia, China, Sweden and South Korea, La crisis financiera internacional sumió a la economía española en una espiral descendente de 2008 a 2010, con siete períodos de recesión consecutivos. Durante este período, las empresas españolas enfrentaron problemas de crecimiento y liquidez y restricciones crediticias, lo que aumentó su riesgo comercial. La literatura internacional enfatiza que existe una relación entre el riesgo comercial y los honorarios de auditoría. Este estudio considera si existe una relación entre el tiempo (el período de tres años en que la recesión española fue mayor y el siguiente período de tres años) y los honorarios de auditoría. Analizamos los estados financieros y los honorarios anuales de auditoría, obtenidos de la base de datos SABI-Bureau Van Dijk, de 2008 a 2013, cobrados por auditores a 119 empresas manufactureras. Los resultados obtenidos, a pesar de las correlaciones positivas y negativas entre los honorarios de auditoría y otras variables de nuestro modelo, no son totalmente concluyentes ni consistentes. Señalan una relación tenue entre el tiempo y los honorarios de auditoría, corroborando parcialmente la realidad estadounidense, pero no los estudios realizados en Australia, China, Suecia y Corea del Sur.

The objective of the study is to examine the effect of firm characteristics on audit fee of listed Deposit Money Banks (DMBs) in Nigeria. Correlational research design was used for this study with an extensive reliance on secondary data. The population of the study consists of all DMBs listed on the Nigerian Stock Exchange. However, the study utilizes a sample of 10 DMBs in Nigeria selected using certain criteria. Multiple Regression Analysis using the Ordinary Least Square (OLS) technique was employed as the method of data analysis. Diagnostic analysis indicated that the regression assumptions tests such as heteroskedasticity, hausman and the Lagrangian Multiplier (LM) test for the higher order autocorrelation and the study showed that the model satisfied the OLS criterion. The findings indicated that; firstly, there is positive and significant relationship between profitability and audit fees. Secondly, there is no significant relationship between complexity and audit fees. Thirdly, study reveals that there is positive and significant relationship between audit size and audit fees. Fourthly, the study also shows that there no significant relationship between audit risk and audit fees. This shows that bank with higher performance is expected to pay higher audit remuneration. Also, bank with higher capital base is expected to pay less audit fee. The study recommends that there is need for the government to regulate audit fees within DMBs in Nigeria

The international financial crisis plunged the Spanish economy in a downturn spiral from 2008 to 2010, with seven consecutives recession periods. During this period, Spanish companies faced growth and liquidity problems and credit constrains, which increased their business risk. The international literature emphasizes that there is a relationship between business risk and audit fees. This study considers if there is a relationship between time (the three years period when Spanish recession was higher and the following three-year period) and audit fees. We analyzed the financial statements and annual audit fees, obtained from SABI-Bureau Van Dijk database, from 2008 to 2013, charged by auditors to 119 manufacturing companies. The results obtained, despite positive and negative correlations between audit fees and other variables of our model, are not totally conclusive neither consistent. They point out to a tenuous relationship between time and audit fees, partially corroborating the American reality, but not the studies made in Australia, China, Sweden and South Korea, La crisis financiera internacional sumió a la economía española en una espiral descendente de 2008 a 2010, con siete períodos de recesión consecutivos. Durante este período, las empresas españolas enfrentaron problemas de crecimiento y liquidez y restricciones crediticias, lo que aumentó su riesgo comercial. La literatura internacional enfatiza que existe una relación entre el riesgo comercial y los honorarios de auditoría. Este estudio considera si existe una relación entre el tiempo (el período de tres años en que la recesión española fue mayor y el siguiente período de tres años) y los honorarios de auditoría. Analizamos los estados financieros y los honorarios anuales de auditoría, obtenidos de la base de datos SABI-Bureau Van Dijk, de 2008 a 2013, cobrados por auditores a 119 empresas manufactureras. Los resultados obtenidos, a pesar de las correlaciones positivas y negativas entre los honorarios de auditoría y otras variables de nuestro modelo, no son totalmente concluyentes ni consistentes. Señalan una relación tenue entre el tiempo y los honorarios de auditoría, corroborando parcialmente la realidad estadounidense, pero no los estudios realizados en Australia, China, Suecia y Corea del Sur.

Ever since Simunic (1980), a great deal of research has examined the pricing of auditing services. The absence of proprietary audit cost data forces most researchers to use audit fee models linking theoretical concepts to observable data. In order to make audit pricing more transparent, there is a need to examine the determinants of audit fees with regard to, for example, different organizational forms, institutional settings, and governance mechanisms. Regarding corporate disclosures, most prior research has investigated various determinants, although little field-based research has focused on the actual disclosure process. By focusing on disclosure practices, it is possible to explore the role of essential actors involved in the preparation of annual reports. The overall aim of this thesis is twofold: first, to explore theoretically salient influences on audit fees by analyzing the effects of client business risk, municipal ownership, and the content of internal audit disclosures, and second, to improve our understanding of how companies manage their corporate disclosures. This thesis consists of a compilation of four papers and a comprehensive summary. The specific aim of each paper and current knowledge of the phenomenon under study have formed the basis for the methodological choices (interviews, content analysis, and regression analysis). The empirical material consists mainly of publicly available data from annual reports and of interviews with managers of listed companies, audit firms, and communication agencies. Given the twofolded aim of this thesis, evidence is provided that: (i) the determinants of audit fee cutting and relative audit fee pressure are considerably different, especially with regard to different client business risk factors; (ii) municipal companies are paying significantly lower audit fees than equivalent private companies; (iii) there is a considerable heterogeneity in internal auditing disclosures, and companies with more transparent fi, Ända sedan Simunic (1980) har ett stort antal studier undersökt prissättningen av revisionstjänster. Avsaknaden av företagsintern data över de faktiska revisionskostnaderna har tvingat majoriteten av alla forskare att använda revisionskostnadsmodeller, vilka länkar teoretiska koncept med observerbar data. För att göra prissättningen av revision mer transparant finns det ett behov av att ytterligare undersöka revisionskostnadernas bakomliggande faktorer med hänsyn till exempelvis olika organisationsformer, institutionella miljöer och styrningsmekanismer. Gällande informationsgivning från företag, har en stor andel av tidigare forskning undersökt olika bakomliggande faktorer, dock existerar det fåtalet fältstudier med fokus på den faktiska processen som ligger till grund för offentliggörande av information. Genom att fokusera på informationsgivning i praktiken är det möjligt att utforska rollen av väsentliga aktörer som är inblandade i framtagandet av årsredovisningar. Det övergripande syftet med denna avhandling är tudelat, först att utforska teoretiskt betydande influenser på bolags revisionskostnader genom att analysera effekterna av klienters affärsrisk, kommunalt ägande och innehållet i upplysningar kring internrevision, och för det andra, att förbättra vår förståelse för hur företag hanterar sitt informationsgivande. Den här avhandlingen består av fyra artiklar och en sammanfattande kappa. Varje enskilt syfte i respektive artikel och det nuvarande evidensläget gällande studiefenomenet har legat till grund för de metodologiska övervägandena (intervjuer, innehållsanalys, och regressionsanalys). Det empiriska materialet består i huvudsak av publikt tillgänglig data från årsredovisningar och intervjuer med anställda på noterade bolag, revisionsbyråer, och kommunikationsbyråer. Med hänsyn till studiens tudelade syfte, påvisas följande resultat: (i) de bakomliggande faktorerna som förklarar en sänkning av revisionskostnaderna och en relativ press av revisionskostnader

Ever since Simunic (1980), a great deal of research has examined the pricing of auditing services. The absence of proprietary audit cost data forces most researchers to use audit fee models linking theoretical concepts to observable data. In order to make audit pricing more transparent, there is a need to examine the determinants of audit fees with regard to, for example, different organizational forms, institutional settings, and governance mechanisms. Regarding corporate disclosures, most prior research has investigated various determinants, although little field-based research has focused on the actual disclosure process. By focusing on disclosure practices, it is possible to explore the role of essential actors involved in the preparation of annual reports. The overall aim of this thesis is twofold: first, to explore theoretically salient influences on audit fees by analyzing the effects of client business risk, municipal ownership, and the content of internal audit disclosures, and second, to improve our understanding of how companies manage their corporate disclosures. This thesis consists of a compilation of four papers and a comprehensive summary. The specific aim of each paper and current knowledge of the phenomenon under study have formed the basis for the methodological choices (interviews, content analysis, and regression analysis). The empirical material consists mainly of publicly available data from annual reports and of interviews with managers of listed companies, audit firms, and communication agencies. Given the twofolded aim of this thesis, evidence is provided that: (i) the determinants of audit fee cutting and relative audit fee pressure are considerably different, especially with regard to different client business risk factors; (ii) municipal companies are paying significantly lower audit fees than equivalent private companies; (iii) there is a considerable heterogeneity in internal auditing disclosures, and companies with more transparent fi, Ända sedan Simunic (1980) har ett stort antal studier undersökt prissättningen av revisionstjänster. Avsaknaden av företagsintern data över de faktiska revisionskostnaderna har tvingat majoriteten av alla forskare att använda revisionskostnadsmodeller, vilka länkar teoretiska koncept med observerbar data. För att göra prissättningen av revision mer transparant finns det ett behov av att ytterligare undersöka revisionskostnadernas bakomliggande faktorer med hänsyn till exempelvis olika organisationsformer, institutionella miljöer och styrningsmekanismer. Gällande informationsgivning från företag, har en stor andel av tidigare forskning undersökt olika bakomliggande faktorer, dock existerar det fåtalet fältstudier med fokus på den faktiska processen som ligger till grund för offentliggörande av information. Genom att fokusera på informationsgivning i praktiken är det möjligt att utforska rollen av väsentliga aktörer som är inblandade i framtagandet av årsredovisningar. Det övergripande syftet med denna avhandling är tudelat, först att utforska teoretiskt betydande influenser på bolags revisionskostnader genom att analysera effekterna av klienters affärsrisk, kommunalt ägande och innehållet i upplysningar kring internrevision, och för det andra, att förbättra vår förståelse för hur företag hanterar sitt informationsgivande. Den här avhandlingen består av fyra artiklar och en sammanfattande kappa. Varje enskilt syfte i respektive artikel och det nuvarande evidensläget gällande studiefenomenet har legat till grund för de metodologiska övervägandena (intervjuer, innehållsanalys, och regressionsanalys). Det empiriska materialet består i huvudsak av publikt tillgänglig data från årsredovisningar och intervjuer med anställda på noterade bolag, revisionsbyråer, och kommunikationsbyråer. Med hänsyn till studiens tudelade syfte, påvisas följande resultat: (i) de bakomliggande faktorerna som förklarar en sänkning av revisionskostnaderna och en relativ press av revisionskostnader

Purpose – This paper aims to study how audit committee member expertise is related to certain features of the committee and to the audit process. Design/methodology/approach – Based on information from 2,477 directors from 296 firms in eight European countries between 2005 and 2014, this study measures average audit committee expertise using a continuous variable, which combines education-based and experience-based expertise. Different measures of the audit process are then regressed against this and other control variables. Findings – Average committee expertise has increased in recent years. Education-based and experiencebased expertise seem to be complementary. Results also show that committees with greater expertise meet more frequently, have fewer directors with full-time dedication and pay lower audit fees. There is no link to changes in the external firm audit, which may be due to mandatory auditor rotation. Originality/value – The paper provides a comprehensive metric of audit committee expertise that includes directors’ academic background, professional experience and qualifications. In addition, this study expands current knowledge concerning whether and how committee expertise affects the audit process

This study investigates whether some audit quality attributes are capable to restrict earnings managementin a developing country, Jordan, whose cultural, economic and institutional context is very different frommost previously analyzed countries context. Generalized least square regression (GLS) was used to studythe association between two audit quality attributes (auditor size and audit fees) and discretionary accruals,as a proxy of earnings management, for a sample of industrial firms listed on the Amman Stock Exchangeduring the period 2012 2016. The findings are consistent with the expectation that in emerging countriesexternal audit can function differently from that in Anglo-Saxon and West-European countries with regardto its role in restricting earnings management and indicate that, given the institutional environment inJordan, auditor size and audit fees have no significant effect on earnings management. This study providesreaders with information about if and how the institutional setting influences the relationship between auditquality and earnings management. Furthermore, it presents new evidence regarding the moderating effectof the level of audit fees on their relation with earnings management. This studys findings could providevaluable information to regulators and standards setters, both in Jordan and other countries with a similareconomic and institutional environment, which can help in preventing earnings management practices, Este estudio investiga si algunos atributos de la calidad de auditoría son capaces de restringir la manipulación de resultados en un país en desarrollo, Jordania, cuyo contexto cultural, económico e institucionales muy diferente del contexto de los países analizados anteriormente. Se usó la regresión de mínimos cuadrados generalizada (GLS) para estudiar la asociación entre dos atributos de la calidad de auditoría (tamaño del auditor y honorarios de auditoría) y los ajustes por devengos discrecionales, como proxy dela manipulación de resultados, para una muestra de empresas industriales que cotizan en la Bolsa de valores de Amman durante el período 2012 - 2016. Los resultados son consistentes con la expectativa de que en los países emergentes la auditoría externa puede funcionar de manera diferente a la de los países anglosajones y de Europa occidental con respecto a su papel en la restricción de la manipulación de resultados e indican que, dado el entorno institucional en Jordania, el tamaño del auditor y los honorarios de auditoría no tienen un efecto significativo en la manipulación de resultados. Este estudio proporciona a los lectores información sobre si y cómo el entorno institucional influye en la relación entre la calidad de la auditoría y la manipulación de resultados. Además, presenta nueva evidencia sobre el efecto moderador del nivel de los honorarios de auditoría en su relación con la manipulación de resultados. Los resultados de este estudio podrían proporcionar información valiosa a los reguladores, tanto en Jordania como en otros países con un entorno económico e institucional similar, para prevenir las prácticas de manipulación de resultados

The objective of the study is to examine the effect of firm characteristics on audit fee of listed Deposit Money Banks (DMBs) in Nigeria. Correlational research design was used for this study with an extensive reliance on secondary data. The population of the study consists of all DMBs listed on the Nigerian Stock Exchange. However, the study utilizes a sample of 10 DMBs in Nigeria selected using certain criteria. Multiple Regression Analysis using the Ordinary Least Square (OLS) technique was employed as the method of data analysis. Diagnostic analysis indicated that the regression assumptions tests such as heteroskedasticity, hausman and the Lagrangian Multiplier (LM) test for the higher order autocorrelation and the study showed that the model satisfied the OLS criterion. The findings indicated that; firstly, there is positive and significant relationship between profitability and audit fees. Secondly, there is no significant relationship between complexity and audit fees. Thirdly, study reveals that there is positive and significant relationship between audit size and audit fees. Fourthly, the study also shows that there no significant relationship between audit risk and audit fees. This shows that bank with higher performance is expected to pay higher audit remuneration. Also, bank with higher capital base is expected to pay less audit fee. The study recommends that there is need for the government to regulate audit fees within DMBs in Nigeria

The research objective is to analyse different factors potentially involved in influencing the size of audit fees. The association between the Board of Directors and the shareholders of listed companies should be effectively developed and there should be a higher spirit of compliance with the governance code. The empirical model is constructed to assess the theoretical and statistical relationship between audit fees and corporate governance characteristics over a period of four years (for FTSE 350 companies excluding financial institutions between 2012 and 2015). Different testing techniques are used for robustness reasons. We found that Board of Directors' characteristics are significant in relation to audit fees. Some of the Audit Committee characteristics are affected by the collegiality principle in relation to the Board of Directors' characteristics. The consultative role of audit committee directors is dominated by the role of the Board of Directors. Mandatory audit fees, and not total auditors' remuneration is included in this study. While other studies assess mainly one corporate governance mechanism in relation to audit fees, we include the corporate governance mechanisms that are directly related to auditors' scope. This paper can be used as a tool for audit practitioners and corporate executives to seek a better auditor-client relationship.

Ever since Simunic (1980), a great deal of research has examined the pricing of auditing services. The absence of proprietary audit cost data forces most researchers to use audit fee models linking theoretical concepts to observable data. In order to make audit pricing more transparent, there is a need to examine the determinants of audit fees with regard to, for example, different organizational forms, institutional settings, and governance mechanisms. Regarding corporate disclosures, most prior research has investigated various determinants, although little field-based research has focused on the actual disclosure process. By focusing on disclosure practices, it is possible to explore the role of essential actors involved in the preparation of annual reports. The overall aim of this thesis is twofold: first, to explore theoretically salient influences on audit fees by analyzing the effects of client business risk, municipal ownership, and the content of internal audit disclosures, and second, to improve our understanding of how companies manage their corporate disclosures. This thesis consists of a compilation of four papers and a comprehensive summary. The specific aim of each paper and current knowledge of the phenomenon under study have formed the basis for the methodological choices (interviews, content analysis, and regression analysis). The empirical material consists mainly of publicly available data from annual reports and of interviews with managers of listed companies, audit firms, and communication agencies. Given the twofolded aim of this thesis, evidence is provided that: (i) the determinants of audit fee cutting and relative audit fee pressure are considerably different, especially with regard to different client business risk factors; (ii) municipal companies are paying significantly lower audit fees than equivalent private companies; (iii) there is a considerable heterogeneity in internal auditing disclosures, and companies with more transparent fi, Ända sedan Simunic (1980) har ett stort antal studier undersökt prissättningen av revisionstjänster. Avsaknaden av företagsintern data över de faktiska revisionskostnaderna har tvingat majoriteten av alla forskare att använda revisionskostnadsmodeller, vilka länkar teoretiska koncept med observerbar data. För att göra prissättningen av revision mer transparant finns det ett behov av att ytterligare undersöka revisionskostnadernas bakomliggande faktorer med hänsyn till exempelvis olika organisationsformer, institutionella miljöer och styrningsmekanismer. Gällande informationsgivning från företag, har en stor andel av tidigare forskning undersökt olika bakomliggande faktorer, dock existerar det fåtalet fältstudier med fokus på den faktiska processen som ligger till grund för offentliggörande av information. Genom att fokusera på informationsgivning i praktiken är det möjligt att utforska rollen av väsentliga aktörer som är inblandade i framtagandet av årsredovisningar. Det övergripande syftet med denna avhandling är tudelat, först att utforska teoretiskt betydande influenser på bolags revisionskostnader genom att analysera effekterna av klienters affärsrisk, kommunalt ägande och innehållet i upplysningar kring internrevision, och för det andra, att förbättra vår förståelse för hur företag hanterar sitt informationsgivande. Den här avhandlingen består av fyra artiklar och en sammanfattande kappa. Varje enskilt syfte i respektive artikel och det nuvarande evidensläget gällande studiefenomenet har legat till grund för de metodologiska övervägandena (intervjuer, innehållsanalys, och regressionsanalys). Det empiriska materialet består i huvudsak av publikt tillgänglig data från årsredovisningar och intervjuer med anställda på noterade bolag, revisionsbyråer, och kommunikationsbyråer. Med hänsyn till studiens tudelade syfte, påvisas följande resultat: (i) de bakomliggande faktorerna som förklarar en sänkning av revisionskostnaderna och en relativ press av revisionskostnader

Ever since Simunic (1980), a great deal of research has examined the pricing of auditing services. The absence of proprietary audit cost data forces most researchers to use audit fee models linking theoretical concepts to observable data. In order to make audit pricing more transparent, there is a need to examine the determinants of audit fees with regard to, for example, different organizational forms, institutional settings, and governance mechanisms. Regarding corporate disclosures, most prior research has investigated various determinants, although little field-based research has focused on the actual disclosure process. By focusing on disclosure practices, it is possible to explore the role of essential actors involved in the preparation of annual reports. The overall aim of this thesis is twofold: first, to explore theoretically salient influences on audit fees by analyzing the effects of client business risk, municipal ownership, and the content of internal audit disclosures, and second, to improve our understanding of how companies manage their corporate disclosures. This thesis consists of a compilation of four papers and a comprehensive summary. The specific aim of each paper and current knowledge of the phenomenon under study have formed the basis for the methodological choices (interviews, content analysis, and regression analysis). The empirical material consists mainly of publicly available data from annual reports and of interviews with managers of listed companies, audit firms, and communication agencies. Given the twofolded aim of this thesis, evidence is provided that: (i) the determinants of audit fee cutting and relative audit fee pressure are considerably different, especially with regard to different client business risk factors; (ii) municipal companies are paying significantly lower audit fees than equivalent private companies; (iii) there is a considerable heterogeneity in internal auditing disclosures, and companies with more transparent fi, Ända sedan Simunic (1980) har ett stort antal studier undersökt prissättningen av revisionstjänster. Avsaknaden av företagsintern data över de faktiska revisionskostnaderna har tvingat majoriteten av alla forskare att använda revisionskostnadsmodeller, vilka länkar teoretiska koncept med observerbar data. För att göra prissättningen av revision mer transparant finns det ett behov av att ytterligare undersöka revisionskostnadernas bakomliggande faktorer med hänsyn till exempelvis olika organisationsformer, institutionella miljöer och styrningsmekanismer. Gällande informationsgivning från företag, har en stor andel av tidigare forskning undersökt olika bakomliggande faktorer, dock existerar det fåtalet fältstudier med fokus på den faktiska processen som ligger till grund för offentliggörande av information. Genom att fokusera på informationsgivning i praktiken är det möjligt att utforska rollen av väsentliga aktörer som är inblandade i framtagandet av årsredovisningar. Det övergripande syftet med denna avhandling är tudelat, först att utforska teoretiskt betydande influenser på bolags revisionskostnader genom att analysera effekterna av klienters affärsrisk, kommunalt ägande och innehållet i upplysningar kring internrevision, och för det andra, att förbättra vår förståelse för hur företag hanterar sitt informationsgivande. Den här avhandlingen består av fyra artiklar och en sammanfattande kappa. Varje enskilt syfte i respektive artikel och det nuvarande evidensläget gällande studiefenomenet har legat till grund för de metodologiska övervägandena (intervjuer, innehållsanalys, och regressionsanalys). Det empiriska materialet består i huvudsak av publikt tillgänglig data från årsredovisningar och intervjuer med anställda på noterade bolag, revisionsbyråer, och kommunikationsbyråer. Med hänsyn till studiens tudelade syfte, påvisas följande resultat: (i) de bakomliggande faktorerna som förklarar en sänkning av revisionskostnaderna och en relativ press av revisionskostnader

The research objective is to analyse different factors potentially involved in influencing the size of audit fees. The association between the Board of Directors and the shareholders of listed companies should be effectively developed and there should be a higher spirit of compliance with the governance code. The empirical model is constructed to assess the theoretical and statistical relationship between audit fees and corporate governance characteristics over a period of four years (for FTSE 350 companies excluding financial institutions between 2012 and 2015). Different testing techniques are used for robustness reasons. We found that Board of Directors' characteristics are significant in relation to audit fees. Some of the Audit Committee characteristics are affected by the collegiality principle in relation to the Board of Directors' characteristics. The consultative role of audit committee directors is dominated by the role of the Board of Directors. Mandatory audit fees, and not total auditors' remuneration is included in this study. While other studies assess mainly one corporate governance mechanism in relation to audit fees, we include the corporate governance mechanisms that are directly related to auditors' scope. This paper can be used as a tool for audit practitioners and corporate executives to seek a better auditor-client relationship.

We examine the relationship between audit pricing and managerial tone as a proxy of source credibility. Prior research shows that source credibility influences auditors’ perceptions of client risk. Textually analyzing annual letters to shareholders of large U.S. firms, we find that characteristics of managerial tone that reflect impaired source credibility are associated with higher audit fees. Additional tests, including a change analysis and control variables for other managerial characteristics, future client performance, and aggressive accounting choices, corroborate and build on our inferences that managerial tone is a proxy for source credibility incremental to client firms’ financial condition. Our study extends the literature that uses corporate disclosures to measure managerial characteristics by showing that auditors price source credibility reflected in managerial tone. These findings are important because they empirically confirm that source credibility affects auditors’ assessments of engagement risk and that analysis of tone can inform researchers, auditors, and investors who seek to enhance effectiveness and objectivity in assessing source credibility based on managerial tone

This study examines whether partner special competencies, such as industry expertise, public company expertise and client-specific expertise, are associated with a fee premium. It further investigates whether the association between partner competencies and audit fees is dependent on gender. Using a sample of 225 public Swedish companies audited from 2006-2015 (1461 firm-years) by 182 (33 females and 149 males) partners affiliated to Big 4 audit firms, partner industry expertise and client-specific expertise are found to be associated with higher audit fees. A further finding is that partners with special competencies are predominantly men. However, male public company specialists receive significantly lower audit fees than their female counterparts. Taken together, the results indicate that partner special competence is valued by clients.

This study analyses whether municipal ownership affects and determines audit fees. Our model of the determinants of audit fees was tested on data from 249 Swedishmunicipal and 240 private corporations within the real estate industry, thus extendingthe study of audit fees to hybrid organizations. The statistical analysis was followedup with interviews of five partners from five different audit firms. The resultof the study shows that municipal corporations are paying significantly lower auditfees than equivalent private corporations. This finding is primarily explained bylower perceived business risk and by the fact that municipalities are able to pushprices by coordinating procurements of audit services.

This study analyses whether municipal ownership affects and determines audit fees. Our model of the determinants of audit fees was tested on data from 249 Swedishmunicipal and 240 private corporations within the real estate industry, thus extendingthe study of audit fees to hybrid organizations. The statistical analysis was followedup with interviews of five partners from five different audit firms. The resultof the study shows that municipal corporations are paying significantly lower auditfees than equivalent private corporations. This finding is primarily explained bylower perceived business risk and by the fact that municipalities are able to pushprices by coordinating procurements of audit services.

What are the implications of major customer dependency, i.e., the degree of a supplier firm’s dependency on its major customers, for external auditors? While the conventional view emphasizes the negatives of major customer dependency for client business risk, we find that suppliers with more concentrated customer bases spend less on audit fees. The evidence is consistent with reduced audit effort due to efficiency gains in the audit process, especially when suppliers with more concentrated customer bases share the same auditors with their long-standing major customers. The audit fee discount we identify does not imply that audit quality declines with customer-base concentration. In fact, we find that suppliers with more concentrated customer bases are less likely to experience material restatements of previously audited financial statements. Taking the external auditors’ perspective, our study provides new managerial insights on the costs and benefits of major customer relationships for supplier firms.

Full Text, Thesis (PhD Doctorate), Doctor of Philosophy (PhD), Dept Account,Finance & Econ, Griffith Business School, An auditor report is prepared by an independent external auditor in a bid to provide reasonable assurance on a client company’s financial statements. Frequently in the past and following the global financial crisis, users of auditor’s report including investors are apprehensive in their appreciation of auditor’s report. They argue that auditors have failed to report the crisis. The ongoing contention of investors is that auditors use a standardized language that provides a uniform description of the audit process weaning away some key matters that could be of greater importance, hence leaving an information gap. In response to this serious ongoing criticism, standard setters made significant changes in auditor’s reporting model by issuing a new auditing standard. For example, the U.K., Financial Reporting Council (FRC) in 2013 issued International Standard on Auditing (UK and Ireland) 700, the Independent Auditor’s Report on Financial Statements. Aiming to narrow down information gap between auditors and investors as well as to enhance transparency in the auditor’s report, this new auditing standard requires the auditor to communicate with investors via his/his report about (1) the risks of material misstatement (RMM) with the greatest impact on engagement team effort, (2) the application of materiality in the audit, and (3) the scoping decisions made in the execution of the audit (FRC, 2013a). Similar auditing standard has been also adopted in other countries including the U.S. However, the U.K. is one of the earliest adopters of this new auditing standard. Consistent with the aim of this new auditing standard and motivated by the lack of research in this area, this thesis has three objectives. First, it empirically investigates the determinants of auditor’s disclosures in relation to the risks of material misstatement with the greatest impact on engagement team effort and the application of materiality in the audit. Second, it explores the consequences of this new

Title: Do women's risk aversion have any effect on earnings quality and audit fees? Level: Student thesis, final assignment for Bachelor Degree in Business Administration Author: Josephine Jonsson and Josefin Lund Supervisor: Jan Svanberg Date: 2019 – june Aim: Due to the positive qualities women are considered to add to the boardroom and the countries' quota requirements for the proportion of women on boards, it is of great importance to examine the possible effect of an increased number of women on boards. The purpose of this study is to investigate whether there is a connection between external audit fees and the proportion of women on the board. A second purpose is to investigate whether a higher/lower audit fees associated with women on the board is related to higher earnings quality. Method: The study adopts a hypothetical-deductive approach with a positivistic perspective. Quantitative secondary data has been obtained from the Thomson Reuters Eikon. A longitudinal study has been designed and the selection has finally been analyzed in multiple regression analysis using the statistics program IBM SPSS. Result & Conclusions: The study's literature review gave reason to expect a connection between the proportion of women on the board and the companies' earnings management and audit fees explained by women's risk aversion. The study measures the companies' earnings quality with earnings management in order to seek answers to whether the audit fee can be explained by the earnings quality. The result shows no correlation and the study can thus not explain the companies' audit fees with women's tendency to act risk averse. Contribution of the thesis: From a theoretical perspective, the study contributes to business research through an increased understanding of the view of the female leader, as this study seeks out explanations other than risk aversion to the connection between audit fees and the female leader. The study's practical contribution is about, SAMMANFATTNING Titel: Har kvinnors riskaversion någon effekt på redovisningskvalitet och revisionsarvode? Nivå: Examensarbete på Grundnivå (kandidatexamen) i ämnet företagsekonomi Författare: Josephine Jonsson och Josefin Lund Handledare: Jan Svanberg Datum: 2019 – juni Syfte: Med anledning av de positiva egenskaper kvinnor anses tillföra i styrelserummen samt ländernas kvoteringskrav på andel kvinnor i styrelser är det av stor vikt att undersöka den eventuella effekt som kommer av ett ökat antal kvinnor i styrelser. Syftet med denna studie är att undersöka om det finns ett samband mellan externt revisionsarvode och andel kvinnor i styrelsen. Ett andra syfte är att undersöka om ett eventuellt högre/lägre revisionsarvode associerat till kvinnor i styrelsen är relaterat till högre redovisningskvalitet. Metod: Studien antar en hypotetisk-deduktiv ansats och ett positivistiskt perspektiv. Kvantitativ sekundärdata har inhämtats från databasen Thomson Reuters Eikon. En longitudinell studie har designats och urvalet har slutligen genomgått analys i multipla regressionsanalyser med hjälp av statistikprogrammet IBM SPSS. Resultat och slutsats: Studiens litteraturundersökning gav anledning att förvänta sig ett samband mellan andel kvinnor i styrelsen och företagens resultatmanipulation och revisionsarvode förklarat med kvinnors riskaversion. Studien mäter företagens redovisningskvalitet med resultatmanipulation för att söka svar på om revisionsarvodet kan förklaras med företagens redovisningskvalitet. Resultatet visar inget samband och studien kan således inte förklara företagens revisionsarvoden med kvinnors tendens att agera riskavert. Examensarbetets bidrag: Ur ett teoretiskt perspektiv bidrar studien till den företagsekonomiska forskningen genom en ökad förståelse på synen på den kvinnliga ledaren, eftersom denna studie söker andra förklaringar än riskaversion till sambandet mellan revisionsarvodet och den kvinnliga ledaren. Studiens praktiska bidrag handlar om att tydlig

This study analyses whether municipal ownership affects and determines audit fees. Our model of the determinants of audit fees was tested on data from 249 Swedishmunicipal and 240 private corporations within the real estate industry, thus extendingthe study of audit fees to hybrid organizations. The statistical analysis was followedup with interviews of five partners from five different audit firms. The resultof the study shows that municipal corporations are paying significantly lower auditfees than equivalent private corporations. This finding is primarily explained bylower perceived business risk and by the fact that municipalities are able to pushprices by coordinating procurements of audit services.

The objective of this article was to investigate the influence of corporate governance and ownership structure on independent audit fees in companies listed in B3. The data collection comprised the period from 2012 to 2014, and 214 firms. The results allow to infer that there is a relationship between corporate governance factors and property structure with independent audit fees. We conclude that corporate governance and ownership structure influence the fees of independent auditors, where companies that have better governance practices generate more controls to be audited, increasing costs with independent auditing. On the other hand, companies with a high degree of concentration of ownership, characterized by greater ease of agency conflicts, tend to have fewer controls, consequently with less data to be audited, and it is easier for the majority shareholder to prevail its own Thereby reducing costs with independent auditing., O objetivo deste artigo foi investigar a influência da governança corporativa e estrutura de propriedade sobre os honorários da auditoria independente em empresas listadas na B3. A coleta de dados compreendeu o período de 2012 a 2014, e 214 firmas. Os resultados permitem inferir que existe relação entre fatores de governança corporativa e estrutura de propriedades com os honorários da auditoria independente. Conclui-se que governança corporativa e estrutura de propriedade influenciam os honorários da auditoria independente, onde empresas que possuem melhores práticas de governança geram mais controles para serem auditados, aumentando os custos com auditoria independente. Em contrapartida, empresas com um elevado grau de concentração de propriedade, caracterizadas por terem maior facilidade de existência de conflitos de agência, tendem a possuir menos controles, consequentemente com menos dados a serem auditados, sendo mais fácil para o acionista majoritário fazer prevalecer seu próprio interesse, diminuindo assim os custos com auditoria independente., El objetivo de este artículo fue investigar la influencia de la gobernanza corporativa y la estructura de propiedad sobre los honorarios de la auditoría independiente en las empresas enumeradas en la B3. La recolección de datos comprendió el período de 2012 a 2014, y 214 firmas. Los resultados permiten inferir que existe relación entre factores de gobierno corporativo y estructura de propiedades con los honorarios de la auditoría independiente. Se concluye que el gobierno corporativo y la estructura de propiedad influyen en los honorarios de la auditoría independiente, donde las empresas que poseen mejores prácticas de gobernanza generan más controles para ser auditados, aumentando los costos con auditoría independiente. En cambio, las empresas con un alto grado de concentración de propiedad, caracterizadas por tener mayor facilidad de existencia de conflictos de agencia, tienden a tener menos controles, consecuentemente con menos datos a ser auditados, siendo más fácil para el accionista mayoritario hacer prevalecer su propio Interés, disminuyendo así los costes de auditoría independiente.

This study analyses whether municipal ownership affects and determines audit fees. Our model of the determinants of audit fees was tested on data from 249 Swedishmunicipal and 240 private corporations within the real estate industry, thus extendingthe study of audit fees to hybrid organizations. The statistical analysis was followedup with interviews of five partners from five different audit firms. The resultof the study shows that municipal corporations are paying significantly lower auditfees than equivalent private corporations. This finding is primarily explained bylower perceived business risk and by the fact that municipalities are able to pushprices by coordinating procurements of audit services.