Should the 4 big replace the big 4? An examination of audit quality using internal audit

Prior research has linked audit quality with large audit firms. Consequently, a dichotomous variable, Big N/non-Big N has traditionally proxied for audit quality. Applying a different measure of audit quality than audit fee, this study investigates whether a single dummy variable for Big N is an app...

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Main Authors: Singh, Harjinder, Newby, R., Singh, Inderpal
Format: Journal Article
Published: Virtus Interpress 2012
Online Access:http://hdl.handle.net/20.500.11937/26717
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author Singh, Harjinder
Newby, R.
Singh, Inderpal
author_facet Singh, Harjinder
Newby, R.
Singh, Inderpal
author_sort Singh, Harjinder
building Curtin Institutional Repository
collection Online Access
description Prior research has linked audit quality with large audit firms. Consequently, a dichotomous variable, Big N/non-Big N has traditionally proxied for audit quality. Applying a different measure of audit quality than audit fee, this study investigates whether a single dummy variable for Big N is an appropriate proxy for audit quality in explaining differences in the existence of clients' internal audit (IA) function. Results indicate that the existence of clients' IA function is not consistent among Big 4 firms. This has important research implications for the universal use of a Big N dummy variable as a measure for audit quality.
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institution Curtin University Malaysia
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last_indexed 2025-11-14T08:02:42Z
publishDate 2012
publisher Virtus Interpress
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spelling curtin-20.500.11937-267172017-01-30T12:54:53Z Should the 4 big replace the big 4? An examination of audit quality using internal audit Singh, Harjinder Newby, R. Singh, Inderpal Prior research has linked audit quality with large audit firms. Consequently, a dichotomous variable, Big N/non-Big N has traditionally proxied for audit quality. Applying a different measure of audit quality than audit fee, this study investigates whether a single dummy variable for Big N is an appropriate proxy for audit quality in explaining differences in the existence of clients' internal audit (IA) function. Results indicate that the existence of clients' IA function is not consistent among Big 4 firms. This has important research implications for the universal use of a Big N dummy variable as a measure for audit quality. 2012 Journal Article http://hdl.handle.net/20.500.11937/26717 Virtus Interpress restricted
spellingShingle Singh, Harjinder
Newby, R.
Singh, Inderpal
Should the 4 big replace the big 4? An examination of audit quality using internal audit
title Should the 4 big replace the big 4? An examination of audit quality using internal audit
title_full Should the 4 big replace the big 4? An examination of audit quality using internal audit
title_fullStr Should the 4 big replace the big 4? An examination of audit quality using internal audit
title_full_unstemmed Should the 4 big replace the big 4? An examination of audit quality using internal audit
title_short Should the 4 big replace the big 4? An examination of audit quality using internal audit
title_sort should the 4 big replace the big 4? an examination of audit quality using internal audit
url http://hdl.handle.net/20.500.11937/26717