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Determinants of Auditor Choice in Non-Financial Listed Firms on the Vietnamese Stock Market

Author

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  • Phung Anh Thu

    (Nguyen Tat Thanh University, Vietnam)

  • Thai Hong Thuy Khanh

    (Nguyen Tat Thanh University, Vietnam)

Abstract

Audit plays an important role in maintaining and issuing high-quality financial statements. This article investigates the factors that can affect auditor choice in developing countries. The authors utilize STATA to test Binary Logistic on a sample of Vietnamese listed firms data during the period between 2014 and 2017. These studies have examined the characteristics of the firm itself or the client's characteristics, prompting the process of selecting an auditor in the same regulatory environment. The results present that there is a positive relationship between firm size, firm growth, and auditor choice. While financial leverage has a negative relationship with the selection of audit firms.

Suggested Citation

  • Phung Anh Thu & Thai Hong Thuy Khanh, 2022. "Determinants of Auditor Choice in Non-Financial Listed Firms on the Vietnamese Stock Market," International Journal of Asian Business and Information Management (IJABIM), IGI Global, vol. 13(2), pages 1-17, August.
    • Handle: RePEc:igg:jabim0:v:13:y:2022:i:2:p:1-17
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    References listed on IDEAS

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    2. Jan Barton, 2005. "Who Cares about Auditor Reputation?," Contemporary Accounting Research, John Wiley & Sons, vol. 22(3), pages 549-586, September.
    3. Junxiong Fang & Jeffrey Pittman & Yinqi Zhang & Yuping Zhao, 2017. "Auditor Choice and Its Implications for Group†Affiliated Firms," Contemporary Accounting Research, John Wiley & Sons, vol. 34(1), pages 39-82, March.
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