AUDIT REPORT LAG IN REVIEW OF OWNERSHIP STRUCTURE, AUDIT TENURE AND AUDIT FEES: A STUDY ON NON-FINANCIAL COMPANIES IN INDONESIA YEAR 2022-2023

Abstract

This study aims to ascertain the effect of ownership structure, audit tenure, and audit fees on audit report lag. Management ownership, family ownership, and institutional ownership make up the ownership structure in this study. For the years 2022 and 2023, this study's population includes all non-financial companies listed on the Indonesia Stock Exchange. Utilizing the purposive sampling strategy, we drew from both primary and secondary sources of information, namely the organization's annual financial records. A total of 614 distinct firms made up the study sample. This study uses Eviews 12 to test the proposed hypothesis using panel data regression analysis techniques. A positive correlation between management ownership and audit report lag was found, according to the results. Family ownership, institutional ownership, audit tenure, and audit fees have no effect on audit report lag. Management ownership in non-financial Indonesian enterprises may affect the promptness of financial statement disclosure, according to this study's conclusions. Prospective investors and policymakers may benefit from this study's conclusions by gaining a better understanding of the supplementary factors that impact audit report lag. Consequently, reducing the lateness of financial reports is one way to minimize information asymmetry, which would lead to an improvement in investor confidence.