감사인 선임기한 단축이 최종감사의 감사품질에 미치는 영향: 인지된 최종감사의 효과를 중심으로

This paper examined whether the shortened deadline affected audit quality of the last engagements by comparing that of recurring engagements before and after the amendments to the External Audit Act. The empirical analysis, by utilizing discretionary accruals, indicated that for the sample period from 2015 to 2017, there was no difference in audit quality between unperceived last engagements and recurring engagements. However, for the sample period from 2018 to 2020, after implementing the revised External Audit Act, the audit quality of the last engagements was found to be significantly higher than that of recurring engagements, suggesting that the shortened deadline for auditor appointment had a positive impact on enhancing auditor independence. Additional analysis revealed that for Big4 firms, the quality of the last engagements was higher than that of recurring engagements, whereas there was no difference in audit quality for non-Big4 firms. The study also reconfirmed that the awareness of the last engagement had a significant impact on audit quality regardless of the revision of the External Audit Act. Additionally, the results of comparing the audit quality of recurring engagements under voluntary appointment before and after the revision of the External Audit Act revealed that the audit quality was significantly higher after the revision, indicating an overall improvement in audit quality following the application of the revised External Audit Act. The implication of this study is confirming the policy effectiveness of shortening the deadline for auditor appointment in promoting auditor independence of the final year of the audit contract.