PENGARUH TIME PRESSURE, TINDAKAN SUPERVISI, RISIKO AUDIT, SERTA PROSEDUR REVIEW DAN KONTROL KUALITAS TERHADAP PENGHENTIAN PREMATUR ATAS PROSEDUR AUDIT (STUDI KASUS PADA AUDITOR KAP DI SURABAYA)

Abstract

In the business world, public accountant’s role is very important that is to determine the reliability of the financial position presented by the company through the financial statements. Public accountant is responsible to make an audit and provide remarks upon the financial reports and to identify whether there is fraud. The audit of financial statement is performed to define whether the overall financial reports are presented according to the accounting principles accepted in Indonesia. In carrying out the audit work, there are some procedures that should be undertaken before giving remarks upon the financial report. There is chance when an auditor would make a premature sign off during the audit procedure. Such action is considered to be a decreased quality of audit and could be caused by internal factors (personal characteristic) and external factors (situational). This study aims to obtain and analyze empirical evidence related to the effect of four external factors like time pressure, supervisory action, audit risk, and review procedure and quality control toward premature sign off of audit procedure. The population of this study is the senior and junior auditors who worked at the KAP in Surabaya, with a total sample of 100 auditors selected using purposive sampling. Based on the multiple regression analysis, it is concluded that simultaneously all four independent variables have significant effect on the dependent variable. In the partial significant test, it is concluded that time pressure and audit risk have positive and significant effect, while supervisory action and review procedure and quality control have negative and significant effect toward premature sign off of the audit procedure.