The role of the characteristics of the auditing firm and the auditing firm in explaining the risk at the level of the accounts in key audit topics

Document Type : Research Paper


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

2 Department of Accounting, Marvdasht Branch, Islamic Azad University, Marvdasht, Iran

3 Department of Accounting, Payame Noor University, Tehran, Iran


The purpose of this study is to identify the factors that explain the risk at the level of accounts in key audit topics, especially the characteristics of the auditor and the client. In this regard, first, the most important indicators and effective factors were identified by studying the theoretical foundations and then based on these indicators, interviews were conducted with experts and according to the results of these interviews, codes were extracted. . Then, based on the mentioned codes and extracting keywords and key answers, using the information of companies and with a neural network approach and factor analysis, a framework was presented. For this purpose, the opinions of accounting experts and ten-year information of companies listed on the Tehran Stock Exchange were used. The results showed that the audit fee, tenure of the auditing firm, company life, institutional ownership, major ownership, managerial ownership, independence of the audit committee, presence of the internal audit unit, political relations, CEO power and financial knowledge of the audit committee Reducing the number and importance of Rials is the risk points at the level of accounts. In addition, it was found that the presence of the audit organization, change of audit firm, audit firm specialization, company size, financial leverage, cash balance, board independence, accounts receivable, quality of internal audit unit, management uncertainty and audit firm rating increased The number and importance of risk points are at the level of accounts.


Articles in Press, Corrected Proof
Available Online from 02 January 2023
  • Receive Date: 02 May 2022
  • Revise Date: 06 July 2022
  • Accept Date: 26 July 2022
  • First Publish Date: 02 January 2023