Mandatory SAK based IFRS Adoption and Audit Delay
Rizal Maward; Hamidah

Airlangga University

Abstract

Institute of Indonesia Chartered Accountants (IAI) in 2012 issued a policy decision for mandatory IFRS adoption applied by companies in Indonesia Stock Exchange (IDX). This paper to exam whether mandatory IFRS adoption has impact increasing or decreasing audit delay that caused by increasing complexity of accounting practices. This research was designed by multiple regression model. The result of descriptive analysis shows that the average of audit delay between the period of voluntary and mandatory IFRS adoption are 76 days. The result of determination coefficient of R2 = 0,194 in voluntary IFRS adoption and R2 = 0,264 IFRS adoption mandatory. The result give empirical evidence that audit delay increase caused company characteristics and market forces become more influence on audit delay in era of IFRS adoption.

Keywords: Corporate Governance, Gender, Public Accounting Firms, IFRS Adoption, Audit Delay

Topic: Financial Management and Accounting