Maylia Pramono Sari, Nur Saidah, Nanik Sri Utaminingsih, Surya Raharja
This research aims to empirically examine the determinants that affect audit quality. This study also examines the role of audit fees in moderating the effect of audit tenure, audit firm size, audit report lag, and auditor specialization on audit quality. The population in this research is State-Owned Enterprises (SOE) listed on the Indonesia Stock Exchange (IDX) in the period 2017 to 2020. The sample was taken using a non-probability technique with a pur-posive sampling method and obtained from as many as 20 companies with a total of 80 units of analysis. This research applies panel data regression analysis and Moderated Regression Analysis (MRA). The data is processed using Eviews software. The best model in this research is the Common Effect Model (CEM). The results of the research found to indicate that audit tenure has a significant negative effect on audit quality. Audit firm size and auditor specialization have a significant positive effect on audit quality. Meanwhile, audit report lag has no significant effect on audit quality. In addition, audit fees can be moderated by strengthening the effect of audit report lag and weakening the effect of audit tenure and auditor specialization on audit qual-ity. However, the audit fee is not able to moderate the effect of audit firm size on audit quality. This research presents the moderating variable of audit fees to be a solution to overcome the inconsistency of the influence of the inde-pendent variables on audit quality. © 2023, Economic Laboratory for Transition Research. All rights reserved.
Majoring in Accounting, Faculty of Economics, Semarang State University, Semarang, Indonesia; Majoring in Accounting, Faculty of Economics and Business, Diponegoro University, Semarang, Indonesia
