the Impact of Monopoly or Industry Competition on Pricing of External Audit Services
Existing theories predict two contradict relation between industry competition and audit fees. Industry competition reduces the agency problem between manager and stockholder of firms and also increases the accuracy of financial statement. It therefore decreases the assessment of risk by auditors an...
| Main Authors: | , , |
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| Format: | Article |
| Language: | fas |
| Published: |
Allameh Tabataba'i University Press
2016-12-01
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| Series: | مطالعات تجربی حسابداری مالی |
| Subjects: | |
| Online Access: | https://qjma.atu.ac.ir/article_7740_f92ce3f81a6605938c019520fe0b324a.pdf |
| _version_ | 1797378348834357248 |
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| author | Ali Ebrahimi Kordlar Musa Javani Ghalandari Kianoosh Ganji |
| author_facet | Ali Ebrahimi Kordlar Musa Javani Ghalandari Kianoosh Ganji |
| author_sort | Ali Ebrahimi Kordlar |
| collection | DOAJ |
| description | Existing theories predict two contradict relation between industry competition and audit fees. Industry competition reduces the agency problem between manager and stockholder of firms and also increases the accuracy of financial statement. It therefore decreases the assessment of risk by auditors and they are inclined to charge low audit fee for companies operating in competitive industry. On the other hand industry competition can increase the assessment of business risk by auditor, so it would be expected as the competition in industry rises the audit fee, the current study examine empirically "The impact of monopoly or industry competition on pricing of external audit services "with the information of 96 publicly-held companies listed in Tehran Stock Exchange (TSE) Between 2009-2016. The result of study shows the significant and negative relation between audit fee and industry competition. In other words, auditor charge low audit fee for client which operate in high competitive industry. |
| first_indexed | 2024-03-08T20:05:30Z |
| format | Article |
| id | doaj.art-e6c29ab6eaaa4ad49e071959af5a766a |
| institution | Directory Open Access Journal |
| issn | 2821-0166 2538-2519 |
| language | fas |
| last_indexed | 2024-03-08T20:05:30Z |
| publishDate | 2016-12-01 |
| publisher | Allameh Tabataba'i University Press |
| record_format | Article |
| series | مطالعات تجربی حسابداری مالی |
| spelling | doaj.art-e6c29ab6eaaa4ad49e071959af5a766a2023-12-23T10:36:34ZfasAllameh Tabataba'i University Pressمطالعات تجربی حسابداری مالی2821-01662538-25192016-12-01135214917810.22054/qjma.2017.77407740the Impact of Monopoly or Industry Competition on Pricing of External Audit ServicesAli Ebrahimi Kordlar0Musa Javani Ghalandari1Kianoosh Ganji2Assistant Professor, University of Tehran, Tehran, IranPh.D. Student in Accounting, Allameh Tabataba’i University, Tehran, IranPh.D. Student in Accounting, Shahid Beheshti University,Tehran, IranExisting theories predict two contradict relation between industry competition and audit fees. Industry competition reduces the agency problem between manager and stockholder of firms and also increases the accuracy of financial statement. It therefore decreases the assessment of risk by auditors and they are inclined to charge low audit fee for companies operating in competitive industry. On the other hand industry competition can increase the assessment of business risk by auditor, so it would be expected as the competition in industry rises the audit fee, the current study examine empirically "The impact of monopoly or industry competition on pricing of external audit services "with the information of 96 publicly-held companies listed in Tehran Stock Exchange (TSE) Between 2009-2016. The result of study shows the significant and negative relation between audit fee and industry competition. In other words, auditor charge low audit fee for client which operate in high competitive industry.https://qjma.atu.ac.ir/article_7740_f92ce3f81a6605938c019520fe0b324a.pdfaudit feesindustry competitivenessaudit riskbusiness risk ∗ |
| spellingShingle | Ali Ebrahimi Kordlar Musa Javani Ghalandari Kianoosh Ganji the Impact of Monopoly or Industry Competition on Pricing of External Audit Services مطالعات تجربی حسابداری مالی audit fees industry competitiveness audit risk business risk ∗ |
| title | the Impact of Monopoly or Industry Competition on Pricing of External Audit Services |
| title_full | the Impact of Monopoly or Industry Competition on Pricing of External Audit Services |
| title_fullStr | the Impact of Monopoly or Industry Competition on Pricing of External Audit Services |
| title_full_unstemmed | the Impact of Monopoly or Industry Competition on Pricing of External Audit Services |
| title_short | the Impact of Monopoly or Industry Competition on Pricing of External Audit Services |
| title_sort | impact of monopoly or industry competition on pricing of external audit services |
| topic | audit fees industry competitiveness audit risk business risk ∗ |
| url | https://qjma.atu.ac.ir/article_7740_f92ce3f81a6605938c019520fe0b324a.pdf |
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