Are Auditors Really Independent in Making Professional Judgment??

Document Type : Original Article

Authors

• reyhaneh haghighi ¹
• mohamad ali bagher pour
• علی غنایی ²
• محمدرضا عباس زاده ³

¹ Faculty of Economics and Administrative Sciences, Ferdowsi University of Mashhad, Mashhad, Iran

² دانشگاه فردوسی مشهد

³ گروه حسابداری دانشگاه فردوسی مشهد

10.22067/ijaaf.2024.86147.1432

Abstract

The study aims to investigate whether auditors are really independent in making professional judgment. The research is a descriptive survey, and the statistical population consists of independent auditors (the sample size is 425 auditors who work at audit organizations and IACPA audits). The field survey and questionnaires (in the year 2022) have been used for data collection. The collected data were analyzed by applying Structural Equation Modeling (SEM) method with “R” software version 4.0.2. The results mainly indicate that auditors are not really independent in situations where they are affected by personality characteristics resulting in impaired audit quality. In other word, auditors are not really independent in making professional judgment. This paper is the first study that formulate auditors’ real independence based on personal characteristics. The findings can help regulators and standard setters as well as other authorities to consider these factors in developing related regulations and standards. It can lead to the expansion of research literature.

Keywords

• real independence
• personality characteristics
• emotional intelligence
• executive function
• anxiety and depression

Main Subjects

• Auditing

---