We provide evidence on the long standing concern on auditor conflicts of interest from providing non-audit services (NAS) to audit clients by using rarely explored NAS fee data from 1978-80 Using this earlier setting, we find cross-sectional evidence of improved earnings quality when auditors...

This study tests the hypothesis that the companies which have lower credit ratings are charged higher audit fees or the companies which have higher credit ratings pay lower audit fees. The hypothesis is based on the assumption that these price differentials should be observed given Credit...

This study examines the decisions of firms to voluntarily disclose tax fees paid to their external auditors. Although the Securities and Exchange Commission (SEC) began requiring public companies to disclose fees paid to auditors in 2000, separate disclosure of tax service fees as a component of...

The objective of this paper is to examine the risk-related premiums of disclosed audit fees in the Austrian and German markets for audit services. The idea of the paper is to determine a risk-free, entity-specific audit fee. By comparing this fee with the disclosed audit fee, we determine...

This paper examines the accumulated weight of evidence in audit fee research. Research on factors related to audit fees has become more widespread in recent years, and there was a considerable upsurge in audit fee papers published subsequent to the data used in a recent meta-analysis. In this...

This study investigates the association of audit fee pressure with an inverse measure of audit quality, misstatements in audited data, during the recent recession. Fee pressure in a year is measured as the difference between benchmark “normal” audit fees and actual audit fees. We find fee...

Audit fee negotiations conclude with the signing of an engagement letter, typically the first quarter of the year under audit. Yet investors do not learn the audit fee paid until disclosed in the following year's definitive proxy statement. We conjecture that negotiated audit fees impound...

The complexity of computerized information systems increases the complexity of the external auditor's assessment of the reliability of a client's internal control systems. The purpose of this study is to investigate the impact of weaknesses in IT related internal controls on the cost of a SOX...

We document a fee premium for audit partners who have gained expertise in digitalization by specializing in highly or similarly digitalized clients. Overall, our evidence is consistent with the view that the digitalization of a client's business and information systems provides audit partners an...

This research investigates the effect on audit quality of concentrated public company financial statement filing deadlines in audit offices. Audit offices must effectively manage their resources to meet their clients' audit service demands. For audit offices with clients that have filing...