Audit Committees Boost Audit Quality, Rotation Hurts It
The study looked at how factors like how long an auditor has been working for a company, how often auditors are changed, the size of the company, and the presence of an audit committee affect the quality of audits in real estate and property companies in Indonesia. The results showed that longer audit tenure doesn't have a big impact on audit quality, but changing auditors more often does improve quality. Bigger companies tend to have better audit quality, and having an audit committee in place also helps. However, having specialist auditors doesn't seem to make a big difference in how these factors affect audit quality.