Auditor experiences and industry specialization on restatement of financial statement

• Main Authors: Fong Bing Yao, 馮炳耀
• Other Authors: Shie Wan Ting
• Format: Others
• Language: zh-TW
• Published: 2013
• Online Access: http://ndltd.ncl.edu.tw/handle/86761582707125130014

碩士 === 國立高雄應用科技大學 === 會計系 === 101 === Based on the Prior studies have found that Auditors have more Industry knowledge can promote the ability of detecting fraud .The ways of existing auditing are being increasingly stressed by the search of understanding the industrial and business clients about the essence of the environment. The industry specialization of audit firms provides clients with high quality audit of one of the ways. Many Anglo-American studies on audit industry specialization and tenure had mainly been implemented at the firm-level. In Taiwan ,the financial reporting of listed companies should be audited by two partners ,and they must sign their names on the audit report, which be held equal legal responsibility .Thus, this research examines the influence of Auditor’s industry Expert and experience on restatement of financial statement under the dual attestation mechanism in Taiwan.We adopts the times of restatement of financial statement to measure .Moreover ,the ways of measuring auditor’s work experience and auditors’industry Expert are based on auditor’s work experience. The empirical results show that firm-level or first partner who is a specialist or audit experience rich not only can enhance earnings quality effectively but descend the possibility of financial statement’s restatement . Testing the joint effect of both partners, we find a positive association between auditor industry specialization and financial statement’s restatement.