The contextual nature of the association between managerial ability and audit fees
The contextual nature of the association between managerial ability and audit fees
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管理能力与审计费用之间关联的背景性质
DOI：
10.1108/raf-01-2016-0012
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发表时间：
2017
期刊：
影响因子：
--
通讯作者：
Yan Luo
中科院分区：
文献类型：
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作者：
Yutao Li;Yan Luo
本研究考察审计师对管理能力的定价决策是否受到审计师诉讼风险（财务困境或财务危机）、审计师对其客户的熟悉程度或2002年萨班斯-奥克斯利法案（SOX）时代后监管变化的影响。，本文在现有审计收费文献的基础上，构建了一个审计收费决定因素模型，考察了环境对审计师管理能力定价的影响。当审计师面临较低的诉讼风险或更熟悉客户时，审计师会向更有能力的客户管理团队提供更大的费用折扣。此外，在后SOX时代，当管理人员被授权在财务报告中发挥更积极的作用（即SOX 302要求的财务报表认证）时，管理能力对审计费用的影响更为显著。基于审计风险模型（Simunic，1980），Krishnan和Wang（2015）表明，审计客户的管理能力对审计师的定价决策是相关和重要的。本研究表明，管理能力表现出非线性关系，审计费用和背景因素，如诉讼风险，审计师与管理人员的熟悉程度可以改变审计费用和管理能力之间的负相关。本研究扩展了Krishnan和Wang的研究，为审计师使用管理能力等软信息提供了更多的见解。此外，研究结果增加了关于SOX对审计费用影响的文献，表明SOX不仅增加了整体审计费用（Ghosh和Pawlewicz，2009年; Huang等人，2009），它也增加了审计师对软信息（如管理能力）的价格敏感性。本研究为有兴趣了解审计费用定价决策的审计公司和客户公司提供了见解。研究结果还表明，审计师在做出定价决策时需要对各种背景因素保持敏感和敏感。以往的研究没有涉及到审计收费和管理能力软信息之间的非线性关系。
This study examines whether auditors’ pricing decisions on managerial ability are affected by auditor litigation risk (financial distress or financial crisis), auditor’s familiarity with their client or regulatory changes in the post-Sarbanes–Oxley Act of 2002 (SOX) era.,Building on the extant audit fee literature, this study constructs an audit fee determinants model to examine how context affects auditors’ pricing of managerial ability.,Auditors offer a larger fee discount to more able client management teams when auditors face lower litigation risks or are more familiar with the client. Furthermore, managerial ability has a more pronounced effect on audit fees in the post-SOX era when managers are mandated to play more active roles in financial reporting (i.e. certification of financial statements required by SOX 302).,Based on the audit risk model (Simunic, 1980), Krishnan and Wang (2015) show that the managerial ability of an audit client is relevant and important to auditors’ pricing decisions. This study demonstrates that managerial ability exhibits a non-linear relationship with audit fees and contextual factors, such as litigation risk, and that auditors’ familiarity with managers can alter the negative association between audit fees and managerial ability. This study extends Krishnan and Wang’s study by offering additional insights into auditors’ use of soft information such as managerial ability. Furthermore, the findings add to the literature on the impact of SOX on audit fees by suggesting that SOX has not only increased overall audit fees (Ghosh and Pawlewicz, 2009; Huang et al., 2009), it has also increased auditors’ price sensitivity to soft information (e.g. managerial ability).,This study provides insights for audit firms and client companies who are interested in understanding audit fee-pricing decisions. The findings also suggest that auditors need to be sensitive and responsive to various contextual factors when making pricing decisions.,Previous studies have not addressed the non-linear relationship between audit fees and soft information about managerial ability.