Audit Committee Characteristics and Audit Report Lag

This study seeks to determine whether audit committee compositional features are associated with the timeliness of financial reporting by Australian firms. Timeliness of financial reporting by firms, of which the length of an audit is a fundamental component, adds information content and impacts fir...

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Main Authors: Sultana, Nigar, Singh, Harj, Van der Zahn, J-L.W.
Format: Journal Article
Published: Wiley-Blackwell 2015
Subjects:
Online Access:http://hdl.handle.net/20.500.11937/4068
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author Sultana, Nigar
Singh, Harj
Van der Zahn, J-L.W.
author_facet Sultana, Nigar
Singh, Harj
Van der Zahn, J-L.W.
author_sort Sultana, Nigar
building Curtin Institutional Repository
collection Online Access
description This study seeks to determine whether audit committee compositional features are associated with the timeliness of financial reporting by Australian firms. Timeliness of financial reporting by firms, of which the length of an audit is a fundamental component, adds information content and impacts firm value, making an examination of audit report lag determinants important. Results indicate that audit committee members with financial expertise, prior audit committee experience and those who are independent are associated with shorter audit report lag. Results suggest that legislation mandating audit committee financial expertise and independence are effective also in improving the timeliness of financial reporting. More importantly, our results suggest that there may be benefits in constituting audit committees with other compositional features such as prior committee experience in overall efforts to improve the timeliness, and therefore quality, of financial reporting by firms.
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publishDate 2015
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spelling curtin-20.500.11937-40682017-12-07T04:22:58Z Audit Committee Characteristics and Audit Report Lag Sultana, Nigar Singh, Harj Van der Zahn, J-L.W. financial reporting quality audit committee Audit report lag This study seeks to determine whether audit committee compositional features are associated with the timeliness of financial reporting by Australian firms. Timeliness of financial reporting by firms, of which the length of an audit is a fundamental component, adds information content and impacts firm value, making an examination of audit report lag determinants important. Results indicate that audit committee members with financial expertise, prior audit committee experience and those who are independent are associated with shorter audit report lag. Results suggest that legislation mandating audit committee financial expertise and independence are effective also in improving the timeliness of financial reporting. More importantly, our results suggest that there may be benefits in constituting audit committees with other compositional features such as prior committee experience in overall efforts to improve the timeliness, and therefore quality, of financial reporting by firms. 2015 Journal Article http://hdl.handle.net/20.500.11937/4068 10.1111/ijau.12033 Wiley-Blackwell restricted
spellingShingle financial reporting quality
audit committee
Audit report lag
Sultana, Nigar
Singh, Harj
Van der Zahn, J-L.W.
Audit Committee Characteristics and Audit Report Lag
title Audit Committee Characteristics and Audit Report Lag
title_full Audit Committee Characteristics and Audit Report Lag
title_fullStr Audit Committee Characteristics and Audit Report Lag
title_full_unstemmed Audit Committee Characteristics and Audit Report Lag
title_short Audit Committee Characteristics and Audit Report Lag
title_sort audit committee characteristics and audit report lag
topic financial reporting quality
audit committee
Audit report lag
url http://hdl.handle.net/20.500.11937/4068