Title :
The impact of increased litigation cost on audit pricing premiums and auditors’ client portfolios
Author :
Yu Li-sheng ; Wang Yan-Yan
Author_Institution :
Sch. of Manage., Xiamen Univ., Xiamen
Abstract :
This paper investigates the impact of increasing auditor legal liability and differential client risk on audit pricing in China. We find that all auditors have systematically increased their audit fees since 2002. The fee spread between Top8 and non-Top8 auditors also increases significantly.
Keywords :
auditing; law administration; pricing; audit pricing premium; auditor legal liability; auditors client portfolio; client risk; litigation cost; Conference management; Costs; Engineering management; Financial management; Law; Legal factors; Portfolios; Predictive models; Pricing; Risk management; audit fees; auditor changes; legal environment; legal liability;
Conference_Titel :
Management Science and Engineering, 2008. ICMSE 2008. 15th Annual Conference Proceedings., International Conference on
Conference_Location :
Long Beach, CA
Print_ISBN :
978-1-4244-2387-3
Electronic_ISBN :
978-1-4244-2388-0
DOI :
10.1109/ICMSE.2008.4669143
