International Journal of Nonlinear Analysis and Applications

Effects of client firm characteristics on auditor switching: A meta-analysis approach

Document Type : Research Paper

Authors

1 Department of Accounting, Kashan Branch, Islamic Azad University, Kashan, Iran

2 Department of Management and Accounting, College of Farabi, University of Tehran, Qom, Iran

3 Department of Management, West Tehran Branch, Islamic Azad University, Tehran, Iran

Abstract

The aim of this study was to better understand the factors affecting auditor switching by emphasizing the features and characteristics of the client environment. In this study, a meta-analysis approach was used to investigate common predictors of auditor switching in order to determine whether previous research has provided a stable picture of audit switching determinants. The research method is meta-analysis using the CMA2 software. Egger's regression and Funnel plot were also used to assess the bias. By searching for articles published in high-quality international journals and reviewing 67 articles, the variables affecting auditor switching were extracted based on the firm characteristics, and considering their repetitions in other articles and their multiplicity, in this study only the variables with more than 4 repetitions were used. The results of this study showed that variables related to the firm characteristics, such as firm size, firm complexity, and discretionary accruals, lead to switching external auditors, but firm age and systematic risk have no impact on auditor switching. The results of this study provide useful insights into the influence direction and related factors for researchers seeking to model the factors affecting auditor switching. Thus, these variables can be chosen as control variables in research with more confidence and a comprehensive summary of the theoretical foundations of the relationship between these variables can be provided.

Keywords

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International Journal of Nonlinear Analysis and Applications
Volume 14, Issue 5
May 2023
Pages 187-198
  • Receive Date: 03 February 2022
  • Revise Date: 14 March 2022
  • Accept Date: 16 April 2022