PENGARUH PILIHAN AUDITOR EKSTERNAL TERHADAP  KUALITAS LAPORAN KEUANGAN PADA PERUSAHAAN PERBANKAN  YANG TERDAFTAR DI BURSA EFEK INDONESIA

Ovi Prina Gastriani; Mar'atus Sholihah; Amanda Rosalina; Nur Fajar Aprilia Sari; Ria Rismawati; Ridhani Anita Fajardini

doi:10.53363/yud.v4i3.119

Authors

Ovi Prina Gastriani Politeknik Perkapalan Negeri Surabaya
Mar'atus Sholihah Politeknik Perkapalan Negeri Surabaya
Amanda Rosalina Politeknik Perkapalan Negeri Surabaya
Nur Fajar Aprilia Sari Politeknik Perkapalan Negeri Surabaya
Ria Rismawati Politeknik Perkapalan Negeri Surabaya
Ridhani Anita Fajardini Politeknik Perkapalan Negeri Surabaya

DOI:

https://doi.org/10.53363/yud.v4i3.119

Keywords:

discretionary accruals, external audit, auditor choice, financial reporting quality, akrual abnormal, audit eksternal, pilihan auditor, kualitas laporan keuangan

Abstract

This study aims to determine the effect of auditor choice, in this case Big-4 and Non-Big-4 Affiliated Auditors, on the Financial Reporting Quality in Banking Companies listed on the Indonesia Stock Exchange. The dependent variable in this study is Financial Reporting Quality with the proxy of Discretionary Accruals which are estimated using the Cross-Sectional Modified Jones Model. Meanwhile, the Independent Variable uses Big-4 or Non-Big-4 Auditor Choices. Hypothesis testing was carried out using Multiple Linear Regression analysis in 43 banking companies for 6 (six) years, namely 2016 – 2021. The test results show that the auditor choice has a negative effect on discretionary accruals. Thus, the auditor choice has an influence on the quality of financial statements.

Downloads

Download data is not yet available.

References

Alzeban, A. (2020). The impact of audit committee, CEO, and external auditor quality on the quality of financial reporting. Corporate Governance: The International Journal of Business in Society, 20(2), 263-279. doi: 10.1108/CG-07-2019-0204

Dahl, J., Giudici, V., Sengupta, J., Kim, S., & Ng, E. (2019). Bracing for consolidation in Asia–Pacific banking: The quest for scale. Asia-Pacific Banking Review.

Hadad, M. D., Hall, M. J. B., Santoso, W., & Simper, R. (2013). Economies of scale and a process for identifying hypothetical merger potential in Indonesian commercial banks. Journal of Asian Economics, 26, 42-51. doi: https://doi.org/10.1016/j.asieco.2013.04.006

Hwang, S., Sarath, B., & Han, S.-y. (2022). Auditor independence: The effect of auditors’ quality control efforts and corporate governance. Journal of International Accounting, Auditing and Taxation, 47, 100470. doi: https://doi.org/10.1016/j.intaccaudtax.2022.100470

Khalil, U. F. (2022). Auditor choice and its impact on financial reporting quality: A case of banking industry of Pakistan. Asia Pacific Management Review, 27(4), 292-302. doi: https://doi.org/10.1016/j.apmrv.2021.12.001

Millar, M. (2020). External audit professional. Career focus. 2022, from https://jobs.accaglobal.com/article/career-focus-external-audit-professional/

Rizvi, S. A. R., Narayan, P. K., Sakti, A., & Syarifuddin, F. (2020). Role of Islamic banks in Indonesian banking industry: an empirical exploration. Pacific-Basin Finance Journal, 62, 101117. doi: https://doi.org/10.1016/j.pacfin.2019.02.002

Sáez-Fernández, F. J., Picazo-Tadeo, A. J., & Jiménez-Hernández, I. (2021). Performance and risk in the Brazilian banking industry. Heliyon, 7(3), e06524. doi: https://doi.org/10.1016/j.heliyon.2021.e06524