Factors Affecting the Delay in the Audit Report (Specifications and Characteristics of the Company and the Auditor)

The purpose of this article is to investigate and analyze the factors that affect the efficiency of an auditor in completing the audit process and the delay in submitting the audit report. The factors used in this study were selected by examining the characteristics of the company and the characteristics of an auditor.Design/Methodology/Approach- The characteristics of the company have been examined with the effectiveness of the audit committee, financial conditions, complexity and profitability of accounting; While the characteristics of the auditor are measured by the auditor's credibility, audit history and the expertise of the auditors' industry. The statistical population of this study was all manufacturing companies listed on the Indonesian Stock Exchange in ۲۰۱۴-۲۰۱۶. Based on the purposeful sampling method, the number of samples obtained from ۲۳۱ companies was ۷۷ people. Multiple linear regression method was used to analyze this study. The hypothesis test was performed using the t (partial) statistical test.Findings- The results showed that the partial variables, the effectiveness and profitability of the audit committee have a significant negative effect on the delay of the audit report, while the financial status variable has a significant positive effect on the delay of the audit report. At the same time, the variables of accounting complexity, auditor's credibility, audit history and auditors' industry expertise did not show a significant effect on audit report delay .Originality/Value- This study examines the impact of firm characteristics as well as auditor characteristics on audit reporting delays; which, to the best of the authors' knowledge, have never been examined simultaneously.

Keywords:

Audit committee effectiveness , Accounting complexity , Auditors characteristics , Financial status , Company characteristics