Audit Firm Size Effects in Suriname

An Empirical Study of the Relationship between the Characters of the Audit Firm Size and the Audit Quality

Authors

  • Varun Ramdin Department of Economics, Faculty of Social Sciences, Anton de Kom University of Suriname

Keywords:

Audit characteristics, Audit quality, Audit firm size, Auditor license, Audit opinion, Audit fee

Abstract

Research in the audit profession has been executed for some time now whereby different relationships in this field were evaluated. The relation between the size of the auditor and the audit quality has been the center of research in developed countries such as the USA and China. Using data from the listed companies on the Surinamese Stock Exchange and particularly from companies who publicly published their audited financial statements, this study analyses the relation between the audit firm size and the audit quality in Suriname. This relation is researched by making use of the following proxies: audit report, the auditor firm size, auditor license and the number of auditors that signed the audit report. Based on the results the findings show that there is a certain relationship between the audit firm size and the audit quality in Suriname. Furthermore, it is found that the audit firm size has a negative effect on the auditor’s opinion. Thirdly, the result indicates that there is a certain positive relation between the license the auditor holds and the audit opinion. Lastly, it is shown that the number of auditors that signed the audit report has a certain positive effect on the audit opinion.

Author Biography

Varun Ramdin, Department of Economics, Faculty of Social Sciences, Anton de Kom University of Suriname

Head of Department and lecturer at the Anton de Kom University of Suriname, Faculty of Social Sciences, Department of Economics.

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Published

2021-10-26

How to Cite

Ramdin, V. (2021). Audit Firm Size Effects in Suriname: An Empirical Study of the Relationship between the Characters of the Audit Firm Size and the Audit Quality. Academic Journal of Suriname, 12(1), 1–13. Retrieved from http://www.adekusjournal.com/ojs/index.php/acjoursu/article/view/26