Skip to main content
Article
Evidence on the Audit Risk Model: Do Auditors Increase Audit Fees in the Presence of Internal Control Deficiencies?
Contemporary Accounting Research
  • Chris E. Hogan
  • Michael S Wilkins, Trinity University
Document Type
Article
Publication Date
4-1-2008
Disciplines
Abstract
The article discusses the study of determining whether audit risk model is descriptive of what occurs in the auditing practice or if the relationship between fees and internal control deficiencies (ICDs) suggest that audit enterprises exert more effort in auditing firms that impart ICDs. The study examines the internal controls over financial reporting (ICOFR), generally accepted accounting principles (GAAP), audit risk model, audit fees and sections of Sarbanes-Oxley Act. The study found out that audit fees are significantly higher for firms disclosing material weakness.
Document Object Identifier (DOI)
10.1506/car.25.1.9
Citation Information
Hogan, C.E., & Wilkins, M.S. (2008). Evidence on the Audit Risk Model: Do Auditors Increase Audit Fees in the Presence of Internal Control Deficiencies? Contemporary Accounting Research, 25(1), 219-242. doi: 10.1506/car.25.1.9