The relationship between, expectation gap, audit characteristics and quality audit report of hotels in Southern Thailand

• Main Author: Mookda, Rarina
• Format: Thesis
• Language: English; English; English
• Published: 2020
• Subjects: HF5667 Professional Ethics. Auditors.
• Online Access: https://etd.uum.edu.my/9129/1/depositpermission-s95062.pdf; https://etd.uum.edu.my/9129/2/s95062_01.pdf; https://etd.uum.edu.my/9129/3/s95062_references.docx; https://etd.uum.edu.my/9129/
• Institution: Universiti Utara Malaysia

Audit report quality is important to raise the standard of audit report and address the root causes of recurring inspection findings. Quality of the audit report is also important to regain investors' confidence in the capital market. However, the hotel industry in Southern Thailand fails to disseminate a good information in their financial statements which leads to poor audit report quality. This study was carried out to examine the factors affecting the audit report quality of hotel industry in Southern Thailand. The predictors studied are audit expectation gap and audit characteristics. Audit expectation gap is measured by audit professionalism and audit responsibility; while audit characteristics are measured by audit independence, audit tenure and audit fees. This quantitative study uses structured questionnaire as a source of data. Sample from 654 hotels in this region are selected as the respondents and 396 sets of returned questionnaires are used for the analysis. Data collected is managed and analyzed using computerized statistical package, SPSS. Descriptive and inference analyses such as Pearson correlation and multiple regression are selected for the data analysis. Prior to the analysis, the data is checked and cleaned. Assumptions of multivariate analysis are also met. Results from this study indicate the significant effect of audit expectation gap and audit characteristics on audit report quality. Detail analysis also shows that audit report quality is also influenced by audit professionalism, audit responsibilities, audit independence and audit fees. However, audit tenure failed to influence on audit report quality. Findings of this study provide significant implications to the existing literatures, unemployment reduction and improving Thailand's status quo tourism ranking. This study also contributes to the regulators and policy makers in Thailand.