Aug 2026· Jurnal Riset Akuntansi Soedirman· pp. 126· 0 citations
Abstract
Governance gaps in high-value startups often stem from an imbalance between business growth ambitions and the integrity of internal oversight. This study analyzes the impact of governance gaps on fraud risk through the mediating role of audit quality, using a case study of alleged financial statement manipulation at eFishery during the 2024–2025 period. Using a quantitative PLS-SEM approach based on SmartPLS on data from 114 auditor respondents in Indonesia, the results show that governance gaps do not have a significant direct effect on fraud risk, but do have a significant positive effect on audit quality. Audit quality fully mediates this relationship. These findings underscore the critical role of auditor independence and skepticism as the last line of defense. Implications: Regulators and management need to strengthen audit quality alongside governance reforms to ensure ethical business sustainability.
Audit quality has traditionally been examined through quantitative indicators such as earnings management, financial reporting quality, and firm value. However, limited research has explored how key governance actors interpret audit quality and how it contributes to company value during periods of profitability volatility. This study investigates how audit quality is perceived and operationalized by auditors, financial experts, and corporate executives, drawing on Social Capital Theory and Habermas’ theory of communicative action. An interpretive qualitative design was adopted. Semi-structured interviews were conducted with six purposively selected participants comprising external auditors, senior financial experts, and chief financial officers from publicly listed companies in Indonesia. Interview data were analyzed using reflexive thematic analysis supported by NVivo 14, generating 47 initial codes, 12 analytical categories, and three overarching themes. The findings demonstrate that audit quality extends beyond technical assurance and functions as a multidimensional governance capability. First, audit quality operates as a protective governance mechanism by improving financial reporting reliability, facilitating early risk identification, and supporting evidence-based managerial decision-making. Second, it serves as symbolic and relational capital, strengthening stakeholder trust, governance legitimacy, and company value through greater transparency and credibility. Third, participants emphasized the need for adaptive and communicative audit practices, highlighting continuous auditor management communication, strategic advisory roles, and technology-enabled auditing as essential for maintaining organizational resilience during profitability volatility. This study contributes to the audit quality literature by providing qualitative evidence that complements predominantly quantitative research. The findings extend existing theory by integrating Social Capital Theory and Communicative Action Theory, demonstrating that audit quality creates organizational value not only through technical compliance but also through trust, legitimacy, and transparent communication. Practically, the study suggests that organizations should strengthen adaptive auditing, collaborative governance, and technology-supported assurance to enhance stakeholder confidence and sustain company value during financial uncertainty.
Leonard Pangaribuan, Tubagus Ismail, Muhamad Taqi et al.· F1000Research· 0 citations
This study investigates the impact of creative accounting practices on the quality of internal auditing in Jordanian public shareholding companies. Creative accounting, defined as managerial manipulation of financial statements to achieve desired outcomes without reflecting the true financial position, undermines transparency and misleads stakeholders. Internal audit quality plays a vital role in ensuring accountability and reliable financial reporting. A descriptive-analytical approach was employed, targeting internal auditors, financial managers, and audit committee members of all companies (161) listed on the Amman Stock Exchange (ASE). Data were collected using structured questionnaires and analyzed statistically. The results of the study indicate that creative accounting negatively affects all dimensions of internal audit quality, with the strongest impact on professional competence and performance quality. The study emphasizes the importance of competent and independent auditors in mitigating these effects and provides practical recommendations to enhance transparency, strengthen governance, and maintain stakeholder trust in Jordanian public shareholding companies.
Maha Kareem Atyieh Abuyabes, Alia Majed Ahmad Khalaf, Ahmad Yahia Mustafa Al Astal et al.· Corporate Law & Governan...· 0 citations
This study investigates the effects of governance quality and regulatory quality on sustainable business performance among publicly listed firms in Nigeria. Grounded in Institutional Theory, Stakeholder Theory, and the Triple Bottom Line (TBL) framework , the study examines how institutional quality influences firms' economic, environmental, and social sustainability performance. A quantitative longitudinal panel design was employed using a balanced panel of 50 Nigerian listed firms observed annually from 2015 to 2025, yielding 550 firm-year observations. Governance quality and regulatory quality were measured using data from the World Bank's Worldwide Governance Indicators (WGI ), while sustainable business performance was measured through a manually constructed Triple Bottom Line disclosure index derived from audited annual, integrated, and sustainability reports. The data were analysed using descriptive statistics, Pearson correlation analysis, multicollinearity diagnostics, and Random Effects panel regression with heteroskedasticity -robust standard error s. The findings reveal that both governance quality and regulatory quality exert positive and statistically significant effects on sustainable business performance, with governance quality emerging as the stronger predictor. These results suggest that impro vements in institutional effectiveness, regulatory consistency, and public governance create an enabling environment that encourages firms to adopt sustainable business practices and achieve superior long-term performance. The study contributes to the grow ing literature on institutional quality and corporate sustainability in emerging economies by providing firm -level empirical evidence from Nigeria and demonstrating the complementary roles of governance quality and regulatory quality in promoting sustainab le business performance. The findings have important implications for policymakers, regulators, and corporate managers seeking to strengthen institutional effectiveness and advance sustainable enterprise development. Although the study relies on secondary panel data and therefore establishes associations rather than definitive causal relationships, it provides a robust foundation for future research employing dynamic panel methods, quasi-experimental designs, or mixed method approaches to further examine the institutional drivers of corporate sustainability.
U. Abbo· Australian Journal of Busine...· 0 citations
— This study investigates the impact of enterprise supply chain stability on audit fees in the context of China ’ s capital market. Drawing on audit risk theory and resource dependence perspectives, the analysis argues that stable supply chain relationships reduce operational uncertainty and improve the credibility of financial reporting, thereby lowering auditors ’ assessment of engagement risk. Using data from Chinese listed firms between 2010 and 2024, the empirical results demonstrate that firms with more stable supply chains are associated with lower audit fees. The findings further reveal that analyst attention strengthens this negative relationship by enhancing information transparency and validating the credibility of operational signals in the capital market. These results enrich the literature on audit pricing by incorporating non-financial operational factors and external monitoring into the understanding of audit fee determinants. They also provide practical implications for auditors and regulators seeking to better evaluate how supply chain structures and market oversight shape audit outcomes.
Han Han, Li Luo· International Journal of Tra...· 0 citations
Audit quality has become a critical issue in ensuring the credibility of financial statements,
particularly amid increasing business complexity and inconsistent empirical findings regarding
its determinants. This study aims to examine the effect of audit tenure, audit delay, PAF size,
audit fee, and firm size on audit quality in consumer goods companies listed on the Indonesia
Stock Exchange during the 2020–2024 period. The research employs a quantitative approach
using secondary data and applies purposive sampling, resulting in 49 companies with 186
observations. Logistic regression analysis is used because audit quality is proxied by audit
opinions (unqualified and non-unqualified opinions). The findings indicate that audit delay has a
significant negative effect on audit quality, while audit fee has a significant positive effect. In
contrast, audit tenure, PAF size, and firm size do not show significant effects.
S. Handoyo, Yulianisa Dwi Maharani· International journal of eco...· 0 citations
The study examined the effect of internal audit committee diversity on the financial reporting
quality of listed industrial goods companies in Nigeria. An ex post facto research design was
adopted, and data were collected from nine purposively selected firms listed on the Nigerian
Exchange Group (NGX) over the period 2019 to 2023. Audit committee diversity was measured
using gender diversity, while financial reporting quality was proxied by discretionary accruals.
Secondary data were extracted from the audited annual reports of the selected firms. Panel least
squares regression was used to analyze the data, supported by diagnostic tests such as the
histogram normality test and residual analysis to ensure the validity of the model assumptions.
The regression results revealed a statistically significant relationship between audit committee
diversity and financial reporting quality. Specifically, audit committee diversity had a positive
coefficient of 15,212,594 with a p-value of 0.0031, indicating a significant effect at the 1% level.
Based on these findings, the study concluded that audit committee diversity significantly influenced
the quality of financial reporting among industrial goods firms in Nigeria. It was recommended
that companies and regulators enhance the structure and effectiveness of audit committees by
promoting balanced diversity, ongoing training, and performance monitoring to improve financial
oversight and reporting integrity.
Ogiriki Tonye· Journal of Accounting and Fi...· 0 citations