Auditor switching for opinion shopping, and subsequnt audit quality and audit fee: Evidence from post-SOX period

• Main Authors: CHOI, Jong-Hag, CHUNG, Heesun, SONU, Catherine Heyjung, ZANG, Yoonseok
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2014
• Subjects: opinion shopping; audit fees; audit quality; Accounting; Corporate Finance
• Online Access: https://ink.library.smu.edu.sg/soa_research/1303; https://ink.library.smu.edu.sg/context/soa_research/article/2302/viewcontent/Auditor_switching_opinion_shopping_2014_wp.pdf
• Institution: Singapore Management University

Theory suggests that firms engage in opinion shopping to obtain better audit opinions. However, there is scarce evidence on the economic consequences of the opinion shopping behaviors. In this paper, we examine the effect of auditor switches for opinion shopping on audit quality and audit fees. Usin...