International Journal of Finance & Managerial Accounting

International Journal of Finance & Managerial Accounting

Identification and classification of audit fee components in Iranian audit firms

Document Type : Original Article

Authors
Ali Ramezannejad 1
Ghodratolah Taleb nia 2
Mahmud Hematfar 3
Ramezan ali Royaee 4
1 PhD student of Accounting, Science and Research Branch, Islamic Azad University, Tehran, Iran
2 Associate Professor of Department of Accounting, Science and Research Branch, Islamic Azad University, Tehran,Iran,
3 Associate Professor of Department of Accounting, Borujerd Branch, Islamic Azad University, Borujerd,Iran,
4 Assistant Professor of Department of Accounting, Science and Research Branch, Islamic Azad University, Tehran,Iran,
10.22034/ijfma.2024.77979.2185
Abstract
The purpose of the present study is to identify the components of audit fees in Iranian audit firms. The method of the present study is combined. In the first stage, the components were identified by using the grounded theory approach and by interviewing 15 experts. The identified components were classified into six categories of causal conditions, axial category, and action of guidelines, intervening conditions, background and implications. According to these categories, the identified components include audit risks, type of complexity of audit operations - audit standards and rules - auditor's experiences, expertise and knowledge of the audit team and communication between auditors and audit firms - audit quality and fee payment system Duties to auditors - the structure system of audit firms and professional behaviors of auditors were categorized. Next, a questionnaire was designed and the statistical population includes certified accountants and managers working in companies, and the questionnaire was sent to 342 people. Auditors with audit firms, audit standards and laws, auditor experiences, expertise and knowledge of the audit team, audit risks, auditors' professional behaviors, audit quality, auditors' fee payment system, audit firms structure system, and the type of audit operation complications in order of priority are located. The results of the present study are prerequisites for achieving the appropriate audit quality, evaluating and receiving a reasonable fee by auditors, and by identifying the components that determine the audit fee received, appropriate policies can be explained for some issues facing this profession.
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