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Record W1604129314 · doi:10.5539/ass.v11n18p144

Audit Risk, Business Risk, and Auditors' Efforts in Korea

2015· article· en· W1604129314 on OpenAlexvenueno aff
Sohee Woo, Hyun Ji Lim

Bibliographic record

VenueAsian Social Science · 2015
Typearticle
Languageen
FieldBusiness, Management and Accounting
TopicAuditing, Earnings Management, Governance
Canadian institutionsnot available
Fundersnot available
KeywordsAuditBusinessAudit riskBusiness risksInherent risk (accounting)AccountingJoint auditInternal auditCompetition (biology)Audit evidenceAudit planAuditor independenceRisk analysis (engineering)

Abstract

fetched live from OpenAlex

Audit risk and business risk have been shown to affect audit fees and hours which are used to represent auditors' efforts in previous studies. However, most previous studies consider only one of these types of risk, or focus on audit risk rather than business risk to estimate auditor efforts. This study investigates the simultaneous effects of audit risk and business risk on auditor efforts. The data of Korean listed firm is used and business risk is measured by the degree of market competition. This study verifies that when audit risk and business risk are considered simultaneously, the effect of audit risk on audit fees and hours diminishes with lower business risk. Auditors are less concerned about audit risk in less competitive markets than in highly competitive markets because auditor is less exposed to litigation risk due to the nature of less competition. In addition, this study investigates the unilateral effect of fluctuations in business risk on auditor efforts. As a result, the study provides evidence that market competition is significantly associated with auditor efforts in terms of audit fees and hours.

Fetched live from OpenAlex and de-inverted. Abstracts are not stored in this database: the inverted indexes are 8.6 GB of the frame’s 9.3 GB of text, and the host has 13 GB free.

How this classification was reachedexpand

Full frame distilled prediction

Teacher imitation

Not calibrated prevalence, not ground truth. Human validation pending. Learned from the 10,348 direct Codex labels and 10,348 direct Gemma labels. Candidate is the union of thresholded teacher heads; consensus is their intersection. These outputs are machine_predicted_unvalidated and are not human labels or direct frontier model labels.

metaresearch head score (Codex)0.002
metaresearch head score (Gemma)0.010
Version: codex-gemma-dda1882f352aValidation status: machine_predicted_unvalidated
Candidate categoriesMetaresearch
Consensus categoriesnone
DomainCandidate signal: none · Consensus signal: none
Study designCandidate signal: Observational · Consensus signal: none
GenreCandidate signal: Empirical · Consensus signal: Empirical
Teacher disagreement score0.520
Threshold uncertainty score0.998

Codex and Gemma teacher scores by category

CategoryCodexGemma
Metaresearch0.0020.010
Meta-epidemiology (narrow)0.0000.000
Meta-epidemiology (broad)0.0000.000
Bibliometrics0.0000.003
Science and technology studies0.0010.001
Scholarly communication0.0010.002
Open science0.0010.001
Research integrity0.0000.000
Insufficient payload (model declined to judge)0.0000.000

Machine scores (provisional)

The two teacher heads of the student model, read on this work. A score orders the frame for review; it never asserts a category, and the validation status ships verbatim with every row.

Baseline scores from an immature model (maturity gate not passed, 7 training rounds). Scores rank; they never assert a category.

Opus teacher head0.009
GPT teacher head0.224
Teacher spread0.215 · how far apart the two teachers sit on this one work
Validation statusscore_only:v0-immature-baseline · verbatim from the scoring run: score_only means the number may rank works, and no category label ships from it

Classification

machine, unvalidated

Machine predicted; a candidate call from one teacher head, not a consensus.

Study designObservational
Domainnot available
GenreEmpirical

How this classification was reached, model by model and score by score, is at the end of the page under "How this classification was reached".

Quick stats

Citations8
Published2015
Admission routes1
Has abstractyes

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