Effect of Profitability, Leverage, Audit Opinion and Firm Reputation toward Audit Report Lag
Bambang Leo Handoko1, Kevin Deniswara2, Christy Nathania3
1Bambang Leo Handoko*, Accounting Department, Faculty of Economics and Communication, Bina Nusantara University, Jakarta, Indonesia.
2Kevin Deniswara, Accounting Department, Faculty of Economics and Communication, Bina Nusantara University, Jakarta, Indonesia.
3Christy Nathania, Accounting Department, Faculty of Economics and Communication, Bina Nusantara University, Jakarta, Indonesia.
Manuscript received on October 19, 2019. | Revised Manuscript received on 26 October, 2019. | Manuscript published on November 10, 2019. | PP: 2219-2224 | Volume-9 Issue-1, November 2019. | Retrieval Number: A4787119119/2019©BEIESP | DOI: 10.35940/ijitee.A4787.119119
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© The Authors. Blue Eyes Intelligence Engineering and Sciences Publication (BEIESP). This is an open access article under the CC-BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/)
Abstract: Audit report lag has become a phenomenon that cannot be denied is one of the problems that is quite disturbing. Audit report lag is detrimental to users of financial statements. Users of financial statements take longer to receive financial statements, even though they want to use the financial statements as a decision-making tool. This study aims to provide empirical evidence of the influence of profitability, leverage, audit opinion, and reputation of public accounting firms on audit delay in listed manufacturing companies in the Indonesia Stock Exchange. This research is quantitative, using secondary data. The population of this study is the food and beverage sub-sector manufacturing companies listed on the Indonesia Stock Exchange in 2014-2017. The testing of the hypothesis used in this study is multiple linear regression analysis. After passing the data processing process that is processed in SPSS, the results of the study show that leverage affects audit delay, while profitability, audit opinion, and the reputation of public accounting firms do not significantly influence audit delay. In this study, the authors did not test together the effect of all variables on audit delay.
Keywords: Audit Delay, Profitability, Leverage, Audit Opinion, Reputation of Firm
Scope of the Article: e-Commerce