Analysis of Factors Shaping the Audit Quality of Financial Reports of Public Accounting Firms (PAFs) in Samarinda–Balikpapan

Abstract

The aim of the research is to find out the influence of auditor professionalism, auditor independence, auditor honesty, and auditor professional ethics on audit quality, with transparency as an intervening variable. The data used in this study is quantitative data obtained from questionnaires distributed to public accounting offices in East Kalimantan, particularly in Samarinda and Balikpapan. The data analysis in this study uses the SmartPLS SEM (Partial Least Square- Structural Equation Modeling) computer program. The results of this study found that first, auditor professionalism has a positive and significant effect on transparency; second, auditor professionalism has a positive and significant effect on audit quality; third, auditor independence has a positive and significant effect on transparency, Fourth, auditor independence has a positive and significant effect on audit result quality. Fifth, auditor honesty has a positive and significant effect on transparency. Sixth, auditor honesty has a positive and significant effect on audit result quality. Seventh, auditor professional ethics have a positive and significant effect on transparency. Eighth, auditor professional ethics have a positive and significant effect on audit result quality. Ninth, auditor professionalism has a positive and significant effect on audit result quality through the transparency variable. Tenth, auditor independence has a positive but not significant effect on transparency. Eleventh, auditor honesty has a negative and not significant effect on audit result quality through the transparency variable, The twelve professional ethics of auditors have a positive and significant influence on audit result quality through the transparency variable, and the thirteen transparency has a positive and significant influence on audit result quality