Processing, Please wait...

  • Home
  • About Us
  • Search:
  • Advanced Search

Growing Science » Management Science Letters » The determinants of non-audit fees in French firms

Journals

  • IJIEC (747)
  • MSL (2643)
  • DSL (668)
  • CCL (508)
  • USCM (1092)
  • ESM (413)
  • AC (562)
  • JPM (271)
  • IJDS (912)
  • JFS (91)
  • HE (32)
  • SCI (26)

MSL Volumes

    • Volume 1 (70)
      • Issue 1 (10)
      • Issue 2 (15)
      • Issue 3 (20)
      • Issue 4 (25)
    • Volume 2 (365)
      • Issue 1 (51)
      • Issue 2 (32)
      • Issue 3 (40)
      • Issue 4 (44)
      • Issue 5 (42)
      • Issue 6 (52)
      • Issue 7 (53)
      • Issue 8 (51)
    • Volume 3 (426)
      • Issue 1 (40)
      • Issue 2 (47)
      • Issue 3 (40)
      • Issue 4 (40)
      • Issue 5 (27)
      • Issue 6 (50)
      • Issue 7 (51)
      • Issue 8 (30)
      • Issue 9 (24)
      • Issue 10 (25)
      • Issue 11 (25)
      • Issue 12 (27)
    • Volume 4 (387)
      • Issue 1 (34)
      • Issue 2 (30)
      • Issue 3 (34)
      • Issue 4 (42)
      • Issue 5 (33)
      • Issue 6 (43)
      • Issue 7 (42)
      • Issue 8 (40)
      • Issue 9 (39)
      • Issue 10 (20)
      • Issue 11 (18)
      • Issue 12 (12)
    • Volume 5 (129)
      • Issue 1 (15)
      • Issue 2 (10)
      • Issue 3 (10)
      • Issue 4 (12)
      • Issue 5 (14)
      • Issue 6 (14)
      • Issue 7 (8)
      • Issue 8 (8)
      • Issue 9 (11)
      • Issue 10 (8)
      • Issue 11 (9)
      • Issue 12 (10)
    • Volume 6 (74)
      • Issue 1 (9)
      • Issue 2 (6)
      • Issue 3 (6)
      • Issue 4 (7)
      • Issue 5 (6)
      • Issue 6 (6)
      • Issue 7 (8)
      • Issue 8 (6)
      • Issue 9 (5)
      • Issue 10 (5)
      • Issue 11 (5)
      • Issue 12 (5)
    • Volume 7 (54)
      • Issue 1 (5)
      • Issue 2 (5)
      • Issue 3 (5)
      • Issue 4 (5)
      • Issue 5 (5)
      • Issue 6 (5)
      • Issue 7 (4)
      • Issue 8 (4)
      • Issue 9 (4)
      • Issue 10 (4)
      • Issue 11 (4)
      • Issue 12 (4)
    • Volume 8 (119)
      • Issue 1 (5)
      • Issue 2 (5)
      • Issue 3 (5)
      • Issue 4 (5)
      • Issue 5 (22)
      • Issue 6 (20)
      • Issue 7 (6)
      • Issue 8 (6)
      • Issue 9 (8)
      • Issue 10 (10)
      • Issue 11 (11)
      • Issue 12 (16)
    • Volume 9 (208)
      • Issue 1 (16)
      • Issue 2 (14)
      • Issue 3 (11)
      • Issue 4 (12)
      • Issue 5 (12)
      • Issue 6 (16)
      • Issue 7 (16)
      • Issue 8 (16)
      • Issue 9 (16)
      • Issue 10 (16)
      • Issue 11 (19)
      • Issue 12 (20)
      • Issue 13 (24)
    • Volume 10 (448)
      • Issue 1 (24)
      • Issue 2 (25)
      • Issue 3 (24)
      • Issue 4 (25)
      • Issue 5 (26)
      • Issue 6 (26)
      • Issue 7 (25)
      • Issue 8 (27)
      • Issue 9 (27)
      • Issue 10 (30)
      • Issue 11 (33)
      • Issue 12 (30)
      • Issue 13 (30)
      • Issue 14 (30)
      • Issue 15 (30)
      • Issue 16 (36)
    • Volume 11 (251)
      • Issue 1 (36)
      • Issue 2 (39)
      • Issue 3 (40)
      • Issue 4 (40)
      • Issue 5 (29)
      • Issue 6 (27)
      • Issue 7 (20)
      • Issue 8 (12)
      • Issue 9 (8)
    • Volume 12 (33)
      • Issue 1 (6)
      • Issue 2 (6)
      • Issue 3 (8)
      • Issue 4 (13)
    • Volume 13 (27)
      • Issue 1 (7)
      • Issue 2 (8)
      • Issue 3 (5)
      • Issue 4 (7)
    • Volume 14 (22)
      • Issue 1 (6)
      • Issue 2 (6)
      • Issue 3 (5)
      • Issue 4 (5)
    • Volume 15 (24)
      • Issue 1 (5)
      • Issue 2 (5)
      • Issue 3 (5)
      • Issue 4 (9)
    • Volume 16 (6)
      • Issue 1 (6)

Keywords

Supply chain management(166)
Jordan(161)
Vietnam(149)
Customer satisfaction(120)
Performance(113)
Supply chain(110)
Service quality(98)
Competitive advantage(95)
Tehran Stock Exchange(94)
SMEs(87)
optimization(86)
Financial performance(83)
Trust(83)
TOPSIS(83)
Sustainability(81)
Job satisfaction(80)
Factor analysis(78)
Social media(78)
Knowledge Management(77)
Artificial intelligence(77)


» Show all keywords

Authors

Naser Azad(82)
Mohammad Reza Iravani(64)
Zeplin Jiwa Husada Tarigan(63)
Endri Endri(45)
Muhammad Alshurideh(42)
Hotlan Siagian(39)
Jumadil Saputra(36)
Dmaithan Almajali(36)
Muhammad Turki Alshurideh(35)
Barween Al Kurdi(32)
Ahmad Makui(32)
Basrowi Basrowi(31)
Hassan Ghodrati(31)
Mohammad Khodaei Valahzaghard(30)
Sautma Ronni Basana(29)
Shankar Chakraborty(29)
Ni Nyoman Kerti Yasa(29)
Sulieman Ibraheem Shelash Al-Hawary(28)
Prasadja Ricardianto(28)
Haitham M. Alzoubi(27)


» Show all authors

Countries

Iran(2183)
Indonesia(1290)
India(787)
Jordan(786)
Vietnam(504)
Saudi Arabia(453)
Malaysia(441)
United Arab Emirates(220)
China(206)
Thailand(153)
United States(111)
Turkey(106)
Ukraine(104)
Egypt(98)
Canada(92)
Peru(88)
Pakistan(85)
United Kingdom(80)
Morocco(79)
Nigeria(78)


» Show all countries

Management Science Letters

ISSN 1923-9343 (Online) - ISSN 1923-9335 (Print)
Quarterly Publication
Volume 3 Issue 6 pp. 1773-1782 , 2013

The determinants of non-audit fees in French firms Pages 1773-1782 Right click to download the paper Download PDF

Authors: Emna Jedidi Hentati, Faouzi Jilani

Keywords: Corporate governance, Financial performance, Non-audit fees

Abstract: This study analyzes the determinants of non audit-fees for a sample of 67 French companies belonging to the SBF 120 index during the period 2005-2007. Our attention focused on the influence of shareholder / creditor agency costs - namely debts and investment opportunities. Based on panel regression methodology, our results reveal that the affiliation of the auditor to an international network, the presence of an audit committee, the debt, the size of the company and the closing date have an effect on non-audit fees. However, investment opportunities do not affect the amount of non-audit fees.

How to cite this paper
Hentati, E & Jilani, F. (2013). The determinants of non-audit fees in French firms.Management Science Letters , 3(6), 1773-1782.

Refrences
Abbot, L.J., & Parker (2000). Audit committee characteristics and auditor selection. Auditing :A Journal of
Practice and Theory, 19(2), 47-66.

Abbott, L.J., Parker S., Peters G.F., & Raghunandan K. (2003). The association between audit committee
characteristics and audit fees. Auditing: A Journal of Practice and Theory 22(2), 17-32.

Antle, R., Gordon, E., Narayanamoorthy, G., & Zhou, L. (2002). The joint determination of audit fees,
nonaudit fees and abnormal accruals. Working paper n°02-21, International Center for Finance, Yale
Univeristy.

Ashbaugh, H., LaFond, R., & Mayhew, B. (2003). Do nonaudit services compromise auditor independence?
Further evidence. The Accounting review, 78(3), 611-639.

Barkess, L., & Simnett R. (1994). The provision of other services by auditors: independence and pricing
issues. Accounting and Business Research, 24(94), 99-108.

Beck, P., Freka, T., & Solomon, I. (1988). A model of the market for MAS and audit services: Knowledge
spillovers and auditor-auditee bonding. Journal of Accounting Literature, 7, 50-64.

Beck, P., Frecka, T., & Solomon, I. (1988a). A model of the market for MAS and audit services: Knowledge
spillovers and auditor-auditee bonding. Journal of Accounting Literature, 7, 50-64.

Beck, P., Frecka, T., & Solomon, I. (1988b). An empirical analysis of the relationship between MAS
involvement and auditor tenure: Implications for auditor independence. Journal of Accounting Literature,
7, 65-84.

Bloomfield, D., & Shackman, J. (2008). Non-audit service fees, auditor characteristics and earnings
restatements/ Managerial Auditing Journal, 23(2), 125 – 141.

Brandon, D. M., Crabtree, A. D., & Maher, J. J. (2004). Nonaudit fees, auditor independence, and bond
ratings. Auditing: A Journal of Practice & Theory,23(2), 89-103.

Chan, P., Ezzamel M., & Gwilliam D. (1993). Determinants of audit fees for quoted UK companies. Journal of
Business Finance & Accounting, 20(6), 765-786.

Che-Ahmad, A., & Houghton, K. A. (1996). Audit fee premiums of big eight firms: Evidence from the market
for medium-size UK auditees. Journal of International Accounting, Auditing and Taxation, 5(1), 53-72.

Chow, C. (1982). The demand for external auditing: size, debt and ownership influences. The Accounting
Review, 57(2), 272-291.

Chung, H., & Kallapur, S. (2001). Client importance, non-audit fees, and abnormal accruals. Working paper,
SSRN.

Copley, P.A., Gaver, J.J., & Gaver, K.M. (1995). Simultaneous estimation of the supply and demand of
differentiated audits: evidence from the municipal audit market. Journal of Accounting Research, 33, 137-
155.

Craswell, A.T. (1999). Does the provision of non-audit services impair auditor independence. International
Journal of Auditing, 3, 29-40.

De Angelo, L. (1981a). Auditor size and audit quality. Journal of Accounting and Economics, 3, 183-199.

DeAngelo, L. E. (1981). Auditor independence, ‘low balling’, and disclosure regulation. Journal of Accounting
and Economics, 3(2), 113-127.

DeFond, M. (1992). The association between changes in client firm agency costs and auditor switching.
Auditing: A Journal of Practice and Theory, 11 (1), 16-31.
DeFond, M.L., Raghunandan, K., & Subramanyam, K.R. (2002). Do nonaudit service fees impair auditor
independence? Evidence from going concern opinions. Working paper, University of Southern California.

DeFond, M. L., & Francis, J. R. (2005). Audit research after Sarbanes-Oxley. Auditing: A Journal of Practice
& Theory, 24, 5-30.

DeFond, M., & Jiambalvo, J. (1991). Incidence and Circumstances of Accounting Errors. The Accounting
Review, 66, 643-655.

DeFond, M., & Jiambalvo, J. (1993). Factors related to auditor-client disagreements over income-increasing
accounting methods. Contemporary Accounting Research, 9, 415-431.

Ding, Y., & Stolowy, H. (2006). Timeliness and conservatism: Changes over time in the properties of
accounting income in France. Review of Accounting and Finance, 5(2), 92-107.

Eichenseher, J.W., & Shields, D. (1985). Corporate director liability and monitoring preferences. Journal of
Accounting & Public Policy, 13-31.

Ettredge, M., Simon, D., Smith, D., & Stone, M. (1994). Why do companies purchase timely quarterly
reviews?. Journal of Accounting and Economics,18(2), 131-155.

Fan, J.P.H., & Wong, T.J. (2005). Do external auditors perform a corporate governance role in emerging
markets ? Evidence from East Asia. Journal of Accounting Research, 43(1), 35-72.

Firth, M., & Smith, A. (1992). The accuracy of profits forecasts in initial public offering prospectuses.
Accounting and Business Research, 22, 239-247.

Firth, M. (1985). An analysis of audit fees and their determinants in New Zealand. Auditing: A Journal of
Practice and Theory, 4(2), 23-37.

Firth, M. (1997). The provision of non-audit services and the pricing of audit fees. Journal of Business Finance
and Accounting, 24(3/4), 511-525.

Francis, J. R., & Wilson, E. R. (1988). Auditor changes: A joint test of theories relating to agency costs and
auditor differentiation. The Accounting Review, 63(4), 663-682.

Francis, J. (1984). The effect of audit firm size on audit prices: A study of the Australian market. Journal of
Accounting and Economics, 6(2), 133-151.

Francis, J., & Ke, B. (2003). Disclosure of fees paid to auditors and the market valuation of market surprises.

Working paper, Pennsylvania State University
Francis, J.R., & Ke, B. (2006). Disclosure of fees paid to auditors and the market valuation of earnings
surprises. Review of Accounting Studies, 11(4), 495-523.

Francis, J., Stokes, D. (1986). Audit prices, product differentiation and scale economies: Further evidence from
the Australian market. Journal of Accounting, 24(2), 383-393.

Francis, J., & Wilson, E. R. (1988). Auditor changes: A joint test of theories relating to agency costs and
auditor differentiation. The Accounting Review, 63, 663-682.

Frankel, R., Johnson, M., & Nelson, K. (2002). The relation between auditors’ fees for nonaudit services and
earnings management. The Accounting Review, 77, 71-105.

Geiger, M.A., & Rama, D.V. (2003). Audit fees, non audit fees and auditor reporting on stressed companies.
Auditing : A journal of practice & theory, 22(2), 53-69.

Goodwin-Stewart, J., & Kent, P. (2006). Relation between external audit fees, audit committee characteristics
and internal audit. Accounting & Finance, 46(3), 387-404.

Haskins, M. E., & Williams, D. D. (1988). The association between client factors and audit fees: A comparison
by country and by firm. Accounting and Business Research, 18, 183-192.

Hay, D., & Davis, D. (2004). The voluntary choice of an audit of any level of quality. Auditing: A Journal of
Practice & Theory, 23(2), 37-53.

Hay, D.C., Knechel, W.R., & Wong, N. (2006). Audit fees: A meta-analysis of the effect of supply and
demand attributes. Contemporary Accounting Research, 23(1), 141-191.

Iyer, G.S., Iyer, V.M., & Mishra, B.K. (2003). The impact of non-audit service fee disclosure requirements on
audit fee and non-audit service fee in the United Kingdom : an empirical analysis. Advances in Accounting,
20, 127-140.

Johnson, W., & Lys, T. (1990). The market for audit services : Evidence from voluntary auditor changes.
Journal of Accounting and Economics, 12, 281-308.

Kervin, J.B. (1992). Methods for business research. Harpercollins College Div, January 1992.
Kim, W.S., & Sorensen, E. H. (1986). Evidence on the impact of the agency costs of debt in corporate debt
policy. Journal of Financial & Quantitative Analysis, 21, 131-44.
Kinney Jr., W. R., Palmrose, Z.-V., & Scholz, S. (2004). Auditor independence, non-audit services, and
restatements: Was the U.S. government right?. Journal of Accounting Research, 42(3), 561-588.

LSF (2003), Loi de Sécurité Financière n° 2003-706 du 1er août 2003, Article 109, créant l’article L.820-3 du
Code de Commerce, http://www.legifrance.gouv.fr.

Lee, H.Y., & Mande, V. (2005). The relationship of audit committee characteristics with endogenously
determined audit and non-audit fees. Quarterly Journal of Business & Economics, 44(3/4), 93-112.

Lennox, C. S. (1999a). Non-audit fees, disclosure and audit quality. The European Accounting Review, 8(2),
239-252.

Lennox, C. S. (1999b). Audit quality and auditor size: an evaluation of reputation and deep pockets
hypotheses. Journal of Business Finance and Accounting, 26(7-8), 779-805.

Le Maux, J. (2004). Le co-commissariat aux comptes à la française. Revue Française de la Comptabilité, 34-
38.

Lennox, C. S. (2004). Management ownership and audit firm size : evidence on unlisted companies. Working
paper, Hong Kong University of Science and Technology.

Lim, C. Y., & Tan, P. M. S. (2009). Control divergence, timeliness in loss recognition, and the role of auditor
specialization: Evidence from around the world. Journal of Accounting, Auditing & Finance, 24(2), 295-
332

Magee, R. P., & Tseng, M. C. (1990). Audit pricing and independence.Accounting Review, 315-336.

Minguez-Vera, A., & Martin-Ugedo, J.F. (2007). Does ownership structure affect value? A panel data analysis
for the Spanish market. International Review of Financial Analysis, 16, 81– 98.

Mitra, S., Hossein, M., Deis, D.R. (2007). The empirical relationship between ownership characteristics and
audit fees. Review of Quantitative Finance and Accounting, 28, 257-285.

Niemi, L., & sundgrem, S. (2003). Why hire a professional auditor ? Evidence on supply and demand for
auditor quality from small client segment. Working paper.

Palmrose Z-V. (1986). The effect of nonaudit services on the pricing of audit services: Further evidence.
Journal of Accounting Research, 24, 405-411.

Piot, C. (2001a). Agency costs and audit quality: Evidence from France. The European Accounting Review, 10
(3), 461-499.

Piot, C. (2001b). Audit de l’information financière et relations d’agence”, Thèse de doctorat en Sciences de
gestion, Université Pierre Mendes-France.

Raghunandan, K. (2003). Nonaudit services and shareholder ratification of auditors. Auditing: A Journal of
Auditing & Theory, 23(1), 155-163.

Reynolds, J. K., Deis Jr, D. R., & Francis, J. R. (2004). Professional service fees and auditor
objectivity. Auditing: A Journal of Practice & Theory, 23(1), 29-52.

Ruddock, C, Hamilton, J., Stokes, D., & Taylor, S. (2005). Audit partner rotation, earnings quality and
earnings conservatism. documents de travail, SSRN

Ruddock, C., Taylor, S.J., & Taylor, S.L. (2006). Non-audit services and earnings conservatism: Is auditor
independence impaired?. Contemporary Accounting Research, 23(3), 701- 746.

Simon, D. (1985). The Audit Services Market: Additional Empirical Evidence. Auditing: A Journal of Practice
and Theory, 71-78.

Simunic, D. (1980). The pricing of audit services : Theory and evidence. Journal of Accounting Research, 18,
161-190.

Simunic, D. (1984). Auditing, consulting, and auditor independence. Journal of Accounting Research, 22(2),
679-702.

Taylor, M. E., & Baker R. L. (1981). An analysis of the external audit fees. Accounting and Business
Research, 12, 55-60.

Thornton, D. B., & Moore, G. (1993). Auditor choice and audit fee determinants.Journal of Business Finance
& Accounting, 20(3), 333-349.

Tsui, J.S.L., Jaggi, B., & Gul, F.A. (2001). CEO domination, growth opportunities and their impact on audit
fees. Journal of Accounting Auditing and Finance, 16(3), 189-208.

Vafeas, N., & Waegelein, J.F. (2007). The association between audit committees, compensation incentives,
and corporate audit fees. Review of Quantitative Finance and Accounting, 28, 241-255.

Watts, R., & Zimmerman, J. (1986), Positive Accounting theory, Prentice-Hall, Englewood Cliffs, NJ.

Weets, V. (1999). Who will be the new auditor ?. Working paper, Free University of Brussels (VUB).

Yeh, Y. H., & Woidtke, T. (2005). Commitment or entrenchment?: Controlling shareholders and board
composition. Journal of Banking & Finance, 29(7), 1857-1885.
  • 0
  • 1
  • 2
  • 3
  • 4
  • 5

Journal: Management Science Letters | Year: 2013 | Volume: 3 | Issue: 6 | Views: 2745 | Reviews: 0

Related Articles:
  • Auditor-management alignment and audit opinion: Evidence from Iran
  • A survey on relationship between reported condition note in audit report an ...
  • A survey on different challenges confronting auditing system
  • Investigating the relationship between auditor’s opinion and stock return i ...
  • Supreme audit court of auditors' insights on operational audit challenges

Add Reviews

Name:*
E-Mail:
Review:
Bold Italic Underline Strike | Align left Center Align right | Insert smilies Insert link URLInsert protected URL Select color | Add Hidden Text Insert Quote Convert selected text from selection to Cyrillic (Russian) alphabet Insert spoiler
winkwinkedsmileam
belayfeelfellowlaughing
lollovenorecourse
requestsadtonguewassat
cryingwhatbullyangry
Security Code: *
Include security image CAPCHA.
Refresh Code

® 2010-2026 GrowingScience.Com