Audit market competition: causes and consequences

The aim of this paper is to examine the impact of competition in audit market and client importance to perceived auditor independence from the perspective of Malaysian auditors, loan officers and senior managers of public listed companies. It is found that auditor independence would be threatened if...

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Main Author: Muhamad Sori, Zulkarnain
Format: Article
Language:English
Published: ICFAI University Press 2009
Online Access:http://psasir.upm.edu.my/id/eprint/13331/
http://psasir.upm.edu.my/id/eprint/13331/1/Audit%20market%20competition%20causes%20and%20consequences.pdf
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author Muhamad Sori, Zulkarnain
author_facet Muhamad Sori, Zulkarnain
author_sort Muhamad Sori, Zulkarnain
building UPM Institutional Repository
collection Online Access
description The aim of this paper is to examine the impact of competition in audit market and client importance to perceived auditor independence from the perspective of Malaysian auditors, loan officers and senior managers of public listed companies. It is found that auditor independence would be threatened if auditors were to receive significant fees from a single client. The dependence on a single client would cause auditor to face a 'self-threat' risk, where they were economically and financially reliant on a single customer. The interview survey disclosed that regulatory authorities should closely monitor the profession by persistently scrutinising each audit firm's revenue and expenses.
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spelling upm-133312016-01-26T02:22:35Z http://psasir.upm.edu.my/id/eprint/13331/ Audit market competition: causes and consequences Muhamad Sori, Zulkarnain The aim of this paper is to examine the impact of competition in audit market and client importance to perceived auditor independence from the perspective of Malaysian auditors, loan officers and senior managers of public listed companies. It is found that auditor independence would be threatened if auditors were to receive significant fees from a single client. The dependence on a single client would cause auditor to face a 'self-threat' risk, where they were economically and financially reliant on a single customer. The interview survey disclosed that regulatory authorities should closely monitor the profession by persistently scrutinising each audit firm's revenue and expenses. ICFAI University Press 2009 Article PeerReviewed application/pdf en http://psasir.upm.edu.my/id/eprint/13331/1/Audit%20market%20competition%20causes%20and%20consequences.pdf Muhamad Sori, Zulkarnain (2009) Audit market competition: causes and consequences. The ICFAI University Journal of Audit Practice, 6 (1). pp. 36-61. ISSN 0972-9070 http://www.iupindia.in/109/IJAP_AuditMarketCompetition_36.html
spellingShingle Muhamad Sori, Zulkarnain
Audit market competition: causes and consequences
title Audit market competition: causes and consequences
title_full Audit market competition: causes and consequences
title_fullStr Audit market competition: causes and consequences
title_full_unstemmed Audit market competition: causes and consequences
title_short Audit market competition: causes and consequences
title_sort audit market competition: causes and consequences
url http://psasir.upm.edu.my/id/eprint/13331/
http://psasir.upm.edu.my/id/eprint/13331/
http://psasir.upm.edu.my/id/eprint/13331/1/Audit%20market%20competition%20causes%20and%20consequences.pdf