Polytechnic University of Valencia Congress, 1st International Conference on Business Management

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The quality of independent auditor’s report – does the size mat-ter? The Romanian case
Mirela Paunescu

Last modified: 26-08-2015


This study aims to show that, beyond any doubt, there is a link between the size of the auditor and the quality of the auditor’s report he issues. We have selected the Romanian listed companies and analyzed first their auditor and then the content and layout of the auditor’s report in order to see if, at least with regard to respecting the content imposed by International Standards on Auditing, the auditor respects the requirement imposed by - already old – auditing standards.  The companies we performed the research on are all listed company on the Romanian Bucharest Stock Exchange in the first category. All those companies were required by law to audit their financial statements. By applying a qualitative method of research we have examined all the published auditor’s reports for the years 2011-2013 and compared them with the requirements of the ISA’s in order to see if the content and layout of the paragraphs is are compliant. Our results show that in case of small auditors, the quality of the auditor’s report suffers.

DOI: http://dx.doi.org/10.4995/ICBM.2015.1420


audit report, audit quality, Romanian listed companies, financial statement

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