The Factors Affecting on the Auditor's Opinion than Going Concern

Subject Areas :

Mojtaba Safi Pour Afshar ¹ , Ahmad Sadegh Soltani Nejad ² , Ebrahim Soltani Nejad ³

1 - Assistant Professor, Department of Accounting, Faculty of Management and Economics, Shahid Bahonar University, Kerman, Iran
2 - - M.Sc., Accounting, Faculty of Management and Economics, Bahonar University, Kerman, Iran
3 - M.Sc., Accounting, Islamic Azad University, Kerman Branch, Kerman, Iran

Received: 2022-10-09 Accepted : 2022-12-09 Published : 2022-12-22

Keywords: leverage ratio, audit tenure, audit lag, auditor opinion shopping, Keywords: Going Concern Audit Opinion,

Abstract :

Abstract Investors and stock holders decide about their long-term investments based on confidence in financial statements and audit report. Auditing has been a mechanism for controlling agency problem and conflict of interests for a long time. Auditors should inlist in her report evidence of customer’s inability to continue its operations. This research aims to investigate the factors affecting going concern audit opinion, such as: audit tenure, audit lag, auditor opinion shopping, liquidity ratio and leverage ratio.This a applied research and its type is a correlation investigation, multi variate and logistic regression have been used for hypothesis testing. Research sample consists of 160 firms listed on Tehran Stock Exchange (TSE).Findings from testing the hypotheses showed that the ratio of financial leverage increases the level of skepticism about the continuity of activity. Also, opinion shopping is a factor that has a negative relationship with going concern opinion.

References:

 

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