Network governance and audit pricing : evidence in Malaysia

The aim of this study was to examine the relationship between network governance represented by senior government officers of the audit committee (SGOAC) and audit fee. Knowledge distribution, economic returns, effective enforcement and compliance with environmental regulations can be acquired based...

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Main Author:	Arina Rus Zahira, Rusli
Format:	Thesis
Language:	eng eng
Published:	2017
Subjects:	HF5601-5689 Accounting
Online Access:	https://etd.uum.edu.my/6605/1/s820211_01.pdf https://etd.uum.edu.my/6605/2/s820211_02.pdf
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id	my-uum-etd.6605
record_format	uketd_dc
institution	Universiti Utara Malaysia
collection	UUM ETD
language	eng eng
advisor	Shafie, Rohami
topic	HF5601-5689 Accounting HF5601-5689 Accounting
spellingShingle	HF5601-5689 Accounting HF5601-5689 Accounting Arina Rus Zahira, Rusli Network governance and audit pricing : evidence in Malaysia
description	The aim of this study was to examine the relationship between network governance represented by senior government officers of the audit committee (SGOAC) and audit fee. Knowledge distribution, economic returns, effective enforcement and compliance with environmental regulations can be acquired based on the social network theory. Hence, lower audit fees may be charged by the auditors to the company with the presence of a higher SGOAC as the information and knowledge gathered are based on their good network government connection. Analyses were conducted using data from 690 listed companies in the Bursa Malaysia in 2014. The Ordinary Least Square (OLS) regression method was applied to estimate the relationships between SGOAC and audit fee. The result shows that SGOAC has significant negative relationships with audit fee. Further analyses of the Big 4 auditor also show that lower audit fee charged in the number of SGOAC. It shows that it is not because of lower audit quality that resulted in the negative relationship between the SGOAC and audit fee. The evidence suggests that lower audit fees were charged by the auditor due to network governance, thus, network governance has a good impact on the company. Hence, the results provide initial evidence on the relationship between SGOAC and audit fees in business prospects in Malaysia.
format	Thesis
qualification_name	other
qualification_level	Master's degree
author	Arina Rus Zahira, Rusli
author_facet	Arina Rus Zahira, Rusli
author_sort	Arina Rus Zahira, Rusli
title	Network governance and audit pricing : evidence in Malaysia
title_short	Network governance and audit pricing : evidence in Malaysia
title_full	Network governance and audit pricing : evidence in Malaysia
title_fullStr	Network governance and audit pricing : evidence in Malaysia
title_full_unstemmed	Network governance and audit pricing : evidence in Malaysia
title_sort	network governance and audit pricing : evidence in malaysia
granting_institution	Universiti Utara Malaysia
granting_department	Othman Yeop Abdullah Graduate School of Business
publishDate	2017
url	https://etd.uum.edu.my/6605/1/s820211_01.pdf https://etd.uum.edu.my/6605/2/s820211_02.pdf
_version_	1747828102797459456
spelling	my-uum-etd.66052021-05-02T02:05:04Z Network governance and audit pricing : evidence in Malaysia 2017 Arina Rus Zahira, Rusli Shafie, Rohami Othman Yeop Abdullah Graduate School of Business Othman Yeop Abdullah Graduate School of Business HF5601-5689 Accounting HF5667 Professional Ethics. Auditors. The aim of this study was to examine the relationship between network governance represented by senior government officers of the audit committee (SGOAC) and audit fee. Knowledge distribution, economic returns, effective enforcement and compliance with environmental regulations can be acquired based on the social network theory. Hence, lower audit fees may be charged by the auditors to the company with the presence of a higher SGOAC as the information and knowledge gathered are based on their good network government connection. Analyses were conducted using data from 690 listed companies in the Bursa Malaysia in 2014. The Ordinary Least Square (OLS) regression method was applied to estimate the relationships between SGOAC and audit fee. The result shows that SGOAC has significant negative relationships with audit fee. Further analyses of the Big 4 auditor also show that lower audit fee charged in the number of SGOAC. It shows that it is not because of lower audit quality that resulted in the negative relationship between the SGOAC and audit fee. The evidence suggests that lower audit fees were charged by the auditor due to network governance, thus, network governance has a good impact on the company. Hence, the results provide initial evidence on the relationship between SGOAC and audit fees in business prospects in Malaysia. 2017 Thesis https://etd.uum.edu.my/6605/ https://etd.uum.edu.my/6605/1/s820211_01.pdf text eng public https://etd.uum.edu.my/6605/2/s820211_02.pdf text eng public other masters Universiti Utara Malaysia Abdul-Wahab, E. A., Mat Zain, M., James, K., & Haron, H. (2009). 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Network governance and audit pricing : evidence in Malaysia

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