Audit Quality Model Moderated by Professional Skepticism: Determinants of Professional Ethics and Auditor Experience
Abstract
This research explores how an auditor’s experience and professional ethics influence audit quality, with professional skepticism playing a key moderating role. Experience sharpens an auditor’s ability to detect fraud, while strong ethics help them uphold integrity. Together, these factors shape professional skepticism - the cautious, questioning mindset auditors use when reviewing evidence and making decisions. The study was carried out by the South Sulawesi Provincial Audit Board in early 2024, focusing on auditors in Makassar. Rather than selecting a sample, the researchers included all 35 auditors in the city, ensuring comprehensive insights. Using field research methods, the analysis revealed that both experience and ethics significantly improve audit quality. Additionally, professional skepticism was found to positively mediate this relationship, reinforcing how critical a questioning attitude is in high-quality audits. By highlighting these connections, the study contributes to building a clearer model for how experience, ethics, and skepticism work together to enhance audit outcomes.
References
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[22] Nurdiono, N., and Gamayuni, R. R. (2018). The effect of internal auditor competency on internal audit quality and its implication on the accountability of local government. European Research Studies Journal, 21(4): 426–434. DOI: 10.35808/ersj/1132
[23] Nurjanah, I. B., and Kartika, A. (2016). The effect of competence, independence, ethics, auditor experience, auditor professional skepticism, objectivity and integrity on audit quality (Study at Public Accounting Firm in Semarang City). Dynamics of Financial Accounting and Banking, 5(2).
[24] Prasanti, D. H., Ramadhanti, W., and Puspasari, N. (2019). Effect of independence, work experience and competence on audit quality with professional ethics as moderating variable. Jurnal Akuntansi Aktual, 5(3): 223-233. DOI: http://dx.doi.org/10.17977/um004v5i32019p223
[25] Rosini, I., and Hakim, D. R. (2021). Audit Quality Based on Time Budget Pressure and Experience. JAK Journal of Accounting, Scientific Review of Accounting, 8(1), 9-20. DOI:https://doi.org/10.30656/jak.v8i1.2223
[26] Sari, R. P., Hastuti, S., Ratnawati, D., Munari, M., and Sari, R. P. (2019). The Quality of Audit Results in Public Sector. In Proceedings of the Proceedings of the 2nd International Conference on Economics, Business, and Government Challenges, EBGC (Vol. 3). DOI: http://dx.doi.org/10.4108/eai.3-10-2019.2291932
[27] Susilawati, S. (2015). The effect of professionalism and independence of internal auditors on audit quality: a study of the inspectorate of West Java Province. Ethics of Economics, 13(2). DOI: 10.15408/etk.v13i2.1886
[28] Syafitri, W. (2014). The Effect of Expertise, Independence, Audit Experience and Ethics on Auditor Quality at the Inspectorate of Riau Islands Province. Journal of Riau Univ Marit Raja Ali Haji Tanjungpinang.
[29] Trihapsari, D. A., and Anisykurlillah, I. (2016). The effect of ethics, independence, audit experience and premature sign off on audit quality. Accounting Analysis Journal, 5(1). DOI:https://doi.org/10.15294/aaj.v5i1.9756
[30] Trotman, A. J., and Duncan, K. R. (2018). Internal audit quality: Insights from audit committee members, senior management, and internal auditors. Auditing: A Journal of Practice & Theory, 37(4): 235–259. DOI:https://doi.org/10.2308/ajpt-51877
[31] Weiner, B. (2014). Searching for the roots of applied attribution theory. In Attribution Theory (pp. 1–13). Psychology Press.
[32] Weiner, B., & Kukla, A. (1970). An attributional analysis of motivation achievement. Journal of Personality and Social Psychology, 15(1), 1.
[33] Yunianti, N., Carolina, Y., & Winata, V. T. (2021). Independence, Auditor Work Experience, and Audit Quality with Professional Skepticism as a Moderating Variable. Journal of Accounting, 13(2): 300-315. DOI:https://doi.org/10.28932/jam.v13i2.4014
[34] Zarefar, A., & Zarefar, A. (2016). The Influence of Ethics, experience and competency toward the quality of auditing with professional auditor scepticism as a Moderating Variable. Procedia-Social and Behavioral Sciences, 219: 828–832. DOI: https://doi.org/10.1016/j.sbspro.2016.05.074
[35] AICPA (American Institute of Certified Public Accountants). (2017). Code of Professional Conduct. Retrieved from https://www.aicpa-cima.com/topic/ethics/code-of-professional-conduct
[2] Arens, A. A., Elder, R. J., and Beasley, M. S. (2008). Auditing and Assurance Services: An Integrated Approach. Pearson Prentice Hall.
[3] Chin, W. W. (1998). The Partial Least Squares Approach to Structural Equation Modeling. Modern Methods for Business Research, 295(2): 295-336.
[4] Dasila, R. A., and Hajering, H. (2019). The Effect of Experience, Independence and Auditor Professional Skepticism on Fraud Detection. PARADOKS: Journal of Economics, 2(1): 61-80. DOI:http://dx.doi.org/10.33096/paradoks.v2i1.112
[5] Dayakisni, T. and Hudaniah. (2009). Psikologi sosial edisi revisi. Malang: UMM Press.
[6] DeAngelo, L. E. (1981). Auditor size and audit quality. Journal of Accounting and Economics, 3(3): 183–199.
[7] Dewi, A., Kadir, R., and Indrijawati, A. (2021). The effect of auditor professional skepticism, competence and independence on audit quality. Journal of Research in Business and Management, 9(11): 53-63.
[8] Fatmawati, D., Mustikarini, A., and Fransiska, I. P. (2018). Does accounting education affect professional skepticism and audit judgment. Jurnal Pengurusan, 52: 221–233. DOI: https://doi.org/10.17576/pengurusan-2018-52-18
[9] Glover, S. M., and Prawitt, D. F. (2014). Enhancing auditor professional skepticism: The professional skepticism continuum. Current Issues in Auditing, 8(2): P1–P10. DOI: https://doi.org/10.2308/ciia-50895
[10] Heider, F. (2013). The psychology of interpersonal relations. Psychology Press.
[11] Hurtt, R. K., Brown-Liburd, H., Earley, C. E., and Krishnamoorthy, G. (2013). Research on auditor professional skepticism: Literature synthesis and opportunities for future research. Auditing: A Journal of Practice & Theory, 32(Supplement 1): 45–97. DOI: https://doi.org/10.2308/ajpt-50361
[12] Johari, R. J., Hati, T. M., and Sayed Hussin, S. A. H. (2022). Factors influencing auditors' professional scepticism: Malaysian evidence. Universal Journal of Accounting and Finance, 10(1): 243-253. DOI: 10.13189/ujaf.2022.100125
[13] Julianti, P. D., and Muhyarsyah, M. (2023). The Effect of Auditor Ethics and Auditor Professional Skepticism on Audit Quality with Remote Audit as a Moderation Variable. Journal of Social Research, 2(10): 3727-3741. DOI: https://doi.org/10.55324/josr.v2i10.1443
[14] Kelley, H. H., Beckman, L. L., and Fischer, C. S. (1967). Negotiating the division of a reward under incomplete information. Journal of Experimental Social Psychology, 3(4): 361–398. DOI:https://psycnet.apa.org/doi/10.1016/0022-1031(67)90004-2
[15] Khairul Saleh, L. Tobing, Asyari and Bella Destiyasari. (2022). Effect of Level of Education, Work Experience, and Auditor Professionalism on Audit Quality. Iconic Research and Engineering Journals, 6(5): 97-106.
[16] Mahmud, M. D. B., Quilim, C. A., and Hasan, L. (2024). Effect of Auditor Ethics, Audit Experience, and Auditor Motivation on Internal Audit Quality. Shafin: Sharia Finance and Accounting Journal, 4(1): 72-84. DOI:https://doi.org/10.19105/sfj.v4i1.12772
[17] Manusov, V., and Spitzberg, B. (2008). Attribution theory. Engaging Theories in Interpersonal Communication: Multiple Perspectives, 37–49. DOI: https://psycnet.apa.org/doi/10.4135/9781483329529.n3
[18] Nainggolan, T. B., Suratno, S., and Rachbini, W. (2019). The Effect of Competence, Independence and Auditor Religiosity on Audit Quality. JRAP (Journal of Accounting and Taxation Research), 6(01). DOI:https://doi.org/10.35838/jrap.2019.006.01.7
[19] Najib, A. D. R. (2013). The effect of expertise, independence, and ethics on audit quality (Study on Government Auditors at BPKP Representative of South Sulawesi Province) (Doctoral dissertation, Hasanuddin University).
[20] Nelson, M. W. (2009). A model and literature review of professional skepticism in auditing. Auditing: A Journal of Practice & Theory, 28(2): 1–34. DOI: https://doi.org/10.2308/aud.2009.28.2.1
[21] Ningrum, M. K. K., and Budiartha, K. (2017). Auditor ethics moderate the effect of auditor experience, competence and due professional care on audit quality. E-Journal of Accounting, Udayana University, 20(1): 615-644.
[22] Nurdiono, N., and Gamayuni, R. R. (2018). The effect of internal auditor competency on internal audit quality and its implication on the accountability of local government. European Research Studies Journal, 21(4): 426–434. DOI: 10.35808/ersj/1132
[23] Nurjanah, I. B., and Kartika, A. (2016). The effect of competence, independence, ethics, auditor experience, auditor professional skepticism, objectivity and integrity on audit quality (Study at Public Accounting Firm in Semarang City). Dynamics of Financial Accounting and Banking, 5(2).
[24] Prasanti, D. H., Ramadhanti, W., and Puspasari, N. (2019). Effect of independence, work experience and competence on audit quality with professional ethics as moderating variable. Jurnal Akuntansi Aktual, 5(3): 223-233. DOI: http://dx.doi.org/10.17977/um004v5i32019p223
[25] Rosini, I., and Hakim, D. R. (2021). Audit Quality Based on Time Budget Pressure and Experience. JAK Journal of Accounting, Scientific Review of Accounting, 8(1), 9-20. DOI:https://doi.org/10.30656/jak.v8i1.2223
[26] Sari, R. P., Hastuti, S., Ratnawati, D., Munari, M., and Sari, R. P. (2019). The Quality of Audit Results in Public Sector. In Proceedings of the Proceedings of the 2nd International Conference on Economics, Business, and Government Challenges, EBGC (Vol. 3). DOI: http://dx.doi.org/10.4108/eai.3-10-2019.2291932
[27] Susilawati, S. (2015). The effect of professionalism and independence of internal auditors on audit quality: a study of the inspectorate of West Java Province. Ethics of Economics, 13(2). DOI: 10.15408/etk.v13i2.1886
[28] Syafitri, W. (2014). The Effect of Expertise, Independence, Audit Experience and Ethics on Auditor Quality at the Inspectorate of Riau Islands Province. Journal of Riau Univ Marit Raja Ali Haji Tanjungpinang.
[29] Trihapsari, D. A., and Anisykurlillah, I. (2016). The effect of ethics, independence, audit experience and premature sign off on audit quality. Accounting Analysis Journal, 5(1). DOI:https://doi.org/10.15294/aaj.v5i1.9756
[30] Trotman, A. J., and Duncan, K. R. (2018). Internal audit quality: Insights from audit committee members, senior management, and internal auditors. Auditing: A Journal of Practice & Theory, 37(4): 235–259. DOI:https://doi.org/10.2308/ajpt-51877
[31] Weiner, B. (2014). Searching for the roots of applied attribution theory. In Attribution Theory (pp. 1–13). Psychology Press.
[32] Weiner, B., & Kukla, A. (1970). An attributional analysis of motivation achievement. Journal of Personality and Social Psychology, 15(1), 1.
[33] Yunianti, N., Carolina, Y., & Winata, V. T. (2021). Independence, Auditor Work Experience, and Audit Quality with Professional Skepticism as a Moderating Variable. Journal of Accounting, 13(2): 300-315. DOI:https://doi.org/10.28932/jam.v13i2.4014
[34] Zarefar, A., & Zarefar, A. (2016). The Influence of Ethics, experience and competency toward the quality of auditing with professional auditor scepticism as a Moderating Variable. Procedia-Social and Behavioral Sciences, 219: 828–832. DOI: https://doi.org/10.1016/j.sbspro.2016.05.074
[35] AICPA (American Institute of Certified Public Accountants). (2017). Code of Professional Conduct. Retrieved from https://www.aicpa-cima.com/topic/ethics/code-of-professional-conduct
Published
2025-03-31
How to Cite
LANNAI, Darwis; HAJERING, Hajering; AHMAD, Hamzah.
Audit Quality Model Moderated by Professional Skepticism: Determinants of Professional Ethics and Auditor Experience.
Theoretical and Practical Research in Economic Fields, [S.l.], v. 16, n. 1, p. 221 - 235, mar. 2025.
ISSN 2068-7710.
Available at: <https://journals.aserspublishing.eu/tpref/article/view/8790>. Date accessed: 11 apr. 2025.
doi: https://doi.org/10.14505/tpref.v16.1(33).18.
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