A Meta-Analytic Study on Audit Fees and Audit Quality in Indonesia
https://doi.org/10.35877/454RI.qems3843
Keywords:
Meta-analytic, Audit Fee, Audit Quality
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Abstract
Numerous studies on audit quality have been conducted, and one of the factors influencing audit quality is audit fees. This study employs a meta-analysis method with a correlation approach to examine the relationship between audit fees and audit quality. The author reviewed 100 journals relevant to the topic of audit fees and audit quality over the past five years, utilizing Publish or Perish. These journals were selected based on specific eligibility criteria and analyzed using JASP software. The results indicate a z-value of 8.029 and a p-value < 0.001, which is smaller than the 5% (0.05) significance level. This finding demonstrates a significant positive correlation between audit fees and audit quality, although the effect size is relatively low (rRE = 0.211). Therefore, while audit fees are positively and significantly associated with audit quality, the strength of the correlation remains low. Based on these findings, the researcher recommends that companies consider paying higher audit fees to enhance the quality of audits obtained.
References
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Tahun, T., Arthana, I. K., & Muga, M. P. L. (2024). Pengaruh audit tenure, rotasi audit, dan fee audit terhadap kualitas audit pada perusahaan IDX80 yang terdaftar di Bursa Efek Indonesia tahun 2021-2023. Indo-Fintech Intellectuals: Journal of Economics and Business, 4(5), 2074–2097. https://doi.org/10.1234/indo-fintech.v4i5.5678
Tewelde, H. G., Kiflemariam, H., Berhe, B. A., Berhe, E. T., & Adem, A. I. (2023). Dimensions of audit quality: Evidence from Eritrea. International Journal of Accounting and Financial Reporting, 13(2), 1–1. https://doi.org/10.5296/ijafr.v13i2.21013
Weiner, B. (1986). An attributional theory of motivation and emotion. Springer-Verlag.
Ximenes, E., & Guntur, Y. S. (2023). The influence of the auditor’s independence, competence, integrity, ethics on the quality of the audit with work experience as a variable moderation in the general inspection office of the Timor-Leste state. JMM 17: Jurnal Ilmu Ekonomi dan Manajemen, 10(1), 44–52. https://doi.org/10.30996/jmm17.v10i1.8496
Zaman, M., Hudaib, M., & Haniffa, R. (2022). The influence of audit fees on audit quality: A meta-analysis. Journal of International Accounting, Auditing and Taxation, 47, 100474.
Cohen, J. (1988). Statistical power analysis for the behavioral sciences (2nd ed.). Academic Press.
DeAngelo, L. E. (1981). Auditor size and audit quality. Journal of Accounting and Economics, 3(3), 183–199.
Fossung, M. F., & Verges, D. K. V. (2022). External audit quality and value creation: What relationship in the Cameroonian context. Open Journal of Accounting, 11(1), 21–41. https://doi.org/10.4236/ojacct.2022.111002
Francis, J. R. (2004). What do we know about audit quality? The British Accounting Review, 36(4), 345–368.
Francis, J. R., & Yu, M. D. (2009). Big 4 office size and audit quality. The Accounting Review, 84(5), 1521–1552.
Hameedi, K. S., Al-Fatlawi, Q. A., Ali, M. N., & Almagtome, A. H. (2021). Financial performance reporting, IFRS implementation, and accounting information: Evidence from Iraqi banking sector. The Journal of Asian Finance, Economics and Business, 8(3), 1083–1094. https://doi.org/10.13106/jafeb.2021.vol8.no3.1083
Hay, D., Knechel, W. R., & Ling, H. (2021). Evidence on the impact of internal control over financial reporting regulation on audit fees. Auditing: A Journal of Practice & Theory, 40(2), 81–105.
Heider, F. (1958). The psychology of interpersonal relations. Wiley.
Hidayati, R. I., & Djamil, N. (2024). Pengaruh fee audit, audit tenure, rotasi audit, dan reputasi auditor terhadap kualitas audit pada perusahaan manufaktur sektor aneka industri yang terdaftar di Indonesia tahun 2020-2022. JAAMTER: Jurnal Audit Akuntansi Manajemen Terintegrasi, 2(2), 393–405. https://doi.org/10.5678/jaamter.v2i2.2345
Hapsara, M. Y., & Suwarno, T. E. (2025). Computer self-efficacy, auditor experience, and auditor competence on audit quality with the use of Atlas application as a moderation. Jurnal Informasi, Perpajakan, Akuntansi, dan Keuangan Publik, 20(1), 117–138.
Hunter, J. E., Schmidt, F. L., & Jackson, G. B. (1982). Meta-analysis: Cumulating research findings across studies. Sage Publications.
Jensen, M. C., & Meckling, W. H. (1976). Theory of the firm: Managerial behavior, agency costs and ownership structure. Journal of Financial Economics, 3(4), 305–360.
Juandi, D., & Tamur, M. (2020). Pengantar analisis meta (1st ed.). UPI PRESS.
Khorshid, S., Kamyabi, Y., & Khalilpour, M. (2022). The impact of management of accounting standards, financial reporting quality and audit quality on corporate value creation. Journal of Management Accounting and Auditing Knowledge, 11(42), 107–120.
Kementerian Keuangan Republik Indonesia. (2021). Peraturan Menteri Keuangan Nomor 186 Tahun 2021 tentang Tata Cara Penggunaan Jasa Akuntan Publik dan Kantor Akuntan Publik dalam Kegiatan Jasa Keuangan. Kementerian Keuangan Republik Indonesia. Diakses dari http://www.kemenkeu.go.id
Knechel, W. R., Krishnan, G. V., Pevzner, M., Shefchik, L. B., & Velury, U. K. (2020). Audit quality: Insights from the academic literature. Auditing: A Journal of Practice & Theory, 39(1), 1–36.
Kurznack, L., Schoenmaker, D., & Schramade, W. (2021). A model of long-term value creation. Journal of Sustainable Finance & Investment, 1–19. https://www.tandfonline.com/doi/full/10.1080/20430795.2021.1920231
Mayangsari, S., & Suwarno, T. E. (2023). Audit report quality, sustainability and profitability on stock price in Indonesia securities exchange. Jurnal Magister Akuntansi Trisakti, 10(2), 193–202. https://doi.org/10.25105/jmat.v10i2.15954
Mullen, B., Muellerleile, P., & Bryant, B. (2001). Cumulative meta-analysis: A consideration of indicators of sufficiency and stability. Personality and Social Psychology Bulletin, 27(11), 1450–1462. https://doi.org/10.1177/01461672012711004
Otoritas Jasa Keuangan. (2023). Surat Edaran Otoritas Jasa Keuangan Nomor 18/SEOJK.03/2023 tentang Tata Cara Penggunaan Jasa Akuntan Publik dan Kantor Akuntan Publik dalam Kegiatan Jasa Keuangan. Otoritas Jasa Keuangan. Diakses dari https://www.ojk.go.id
Peng, C., & Chau, K. Y. (2023). Independent audit quality and corporate cash holdings. Finance Research Letters, 58, 104405. https://doi.org/10.1016/j.frl.2023.104405
Simunic, D. A. (1980). The pricing of audit services: Theory and evidence. Journal of Accounting Research, 18(1), 161–190.
Tahun, T., Arthana, I. K., & Muga, M. P. L. (2024). Pengaruh audit tenure, rotasi audit, dan fee audit terhadap kualitas audit pada perusahaan IDX80 yang terdaftar di Bursa Efek Indonesia tahun 2021-2023. Indo-Fintech Intellectuals: Journal of Economics and Business, 4(5), 2074–2097. https://doi.org/10.1234/indo-fintech.v4i5.5678
Tewelde, H. G., Kiflemariam, H., Berhe, B. A., Berhe, E. T., & Adem, A. I. (2023). Dimensions of audit quality: Evidence from Eritrea. International Journal of Accounting and Financial Reporting, 13(2), 1–1. https://doi.org/10.5296/ijafr.v13i2.21013
Weiner, B. (1986). An attributional theory of motivation and emotion. Springer-Verlag.
Ximenes, E., & Guntur, Y. S. (2023). The influence of the auditor’s independence, competence, integrity, ethics on the quality of the audit with work experience as a variable moderation in the general inspection office of the Timor-Leste state. JMM 17: Jurnal Ilmu Ekonomi dan Manajemen, 10(1), 44–52. https://doi.org/10.30996/jmm17.v10i1.8496
Zaman, M., Hudaib, M., & Haniffa, R. (2022). The influence of audit fees on audit quality: A meta-analysis. Journal of International Accounting, Auditing and Taxation, 47, 100474.
Published
2025-04-23
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Articles
How to Cite
Suwarno, T. E., Laoli, V., Prabowo, K. T., Rizka, N. R., & Ulfida, D. (2025). A Meta-Analytic Study on Audit Fees and Audit Quality in Indonesia. Quantitative Economics and Management Studies, 6(2), 166-175. https://doi.org/10.35877/454RI.qems3843
Copyright (c) 2025 Try Edi Suwarno, Victorinus Laoli, Kristianto Tricahya Prabowo, Nor Rahma Rizka, Deafatunnizwa Ulfida
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