Board of directors’ independence and modified audit report: an analysis of the Malaysian Environment
The aim of the paper is to examine whether board of directors’ (BODs) independence has an effect on the modified audit report of the non-banking and financial companies listed on Bursa Malaysia. Data is collected from the annual reports of a sample of 300 companies for the period of 2004 to 2009....
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| Format: | Article |
| Language: | English |
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Penerbit Universiti Kebangsaan Malaysia
2015
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| Online Access: | http://journalarticle.ukm.my/9519/ http://journalarticle.ukm.my/9519/ http://journalarticle.ukm.my/9519/1/11138-30903-1-PB.pdf |
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ukm-9519 |
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eprints |
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ukm-95192016-12-14T06:50:11Z http://journalarticle.ukm.my/9519/ Board of directors’ independence and modified audit report: an analysis of the Malaysian Environment Suhaimi Ishak, Mohd ‘Atef Md Yusof, The aim of the paper is to examine whether board of directors’ (BODs) independence has an effect on the modified audit report of the non-banking and financial companies listed on Bursa Malaysia. Data is collected from the annual reports of a sample of 300 companies for the period of 2004 to 2009. Both descriptive and multivariate analyses were employed to address the research objectives. The results indicate that BODs’ independence is negatively related to acceptance of modified audit report. In addition, a company’s higher debts or leverage may probably increase the acceptance of modified audit report; while for companies with more business segments, the acceptance of modified audit report is less. However, the size of the BODs and return on assets or asset profitability do not influence the issuance of modified audit report by the auditor. The findings provide empirical evidence on the development and importance of BODs’ independence relating to modified audit report. Penerbit Universiti Kebangsaan Malaysia 2015 Article PeerReviewed application/pdf en http://journalarticle.ukm.my/9519/1/11138-30903-1-PB.pdf Suhaimi Ishak, and Mohd ‘Atef Md Yusof, (2015) Board of directors’ independence and modified audit report: an analysis of the Malaysian Environment. Jurnal Pengurusan, 44 . pp. 1-13. ISSN 0127-2713 http://ejournal.ukm.my/pengurusan/issue/view/700 |
| repository_type |
Digital Repository |
| institution_category |
Local University |
| institution |
Universiti Kebangasaan Malaysia |
| building |
UKM Institutional Repository |
| collection |
Online Access |
| language |
English |
| description |
The aim of the paper is to examine whether board of directors’ (BODs) independence has an
effect on the modified audit report of the non-banking and financial companies listed on
Bursa Malaysia. Data is collected from the annual reports of a sample of 300 companies for
the period of 2004 to 2009. Both descriptive and multivariate analyses were employed to
address the research objectives. The results indicate that BODs’ independence is negatively
related to acceptance of modified audit report. In addition, a company’s higher debts or
leverage may probably increase the acceptance of modified audit report; while for companies
with more business segments, the acceptance of modified audit report is less. However, the
size of the BODs and return on assets or asset profitability do not influence the issuance of
modified audit report by the auditor. The findings provide empirical evidence on the
development and importance of BODs’ independence relating to modified audit report. |
| format |
Article |
| author |
Suhaimi Ishak, Mohd ‘Atef Md Yusof, |
| spellingShingle |
Suhaimi Ishak, Mohd ‘Atef Md Yusof, Board of directors’ independence and modified audit report: an analysis of the Malaysian Environment |
| author_facet |
Suhaimi Ishak, Mohd ‘Atef Md Yusof, |
| author_sort |
Suhaimi Ishak, |
| title |
Board of directors’ independence and modified audit report: an analysis
of the Malaysian Environment |
| title_short |
Board of directors’ independence and modified audit report: an analysis
of the Malaysian Environment |
| title_full |
Board of directors’ independence and modified audit report: an analysis
of the Malaysian Environment |
| title_fullStr |
Board of directors’ independence and modified audit report: an analysis
of the Malaysian Environment |
| title_full_unstemmed |
Board of directors’ independence and modified audit report: an analysis
of the Malaysian Environment |
| title_sort |
board of directors’ independence and modified audit report: an analysis
of the malaysian environment |
| publisher |
Penerbit Universiti Kebangsaan Malaysia |
| publishDate |
2015 |
| url |
http://journalarticle.ukm.my/9519/ http://journalarticle.ukm.my/9519/ http://journalarticle.ukm.my/9519/1/11138-30903-1-PB.pdf |
| first_indexed |
2023-09-18T19:55:06Z |
| last_indexed |
2023-09-18T19:55:06Z |
| _version_ |
1777406476488278016 |