Navigating Delays: Exploring Factors Influencing Audit Timeliness

Abstract

This research explores factors influencing audit timeliness in the food and beverage manufacturing companies listed on the IDX from 2019 to 2023. The study population comprises 26 companies with complete and continuous financial reports during the research period. The analysis employs multiple linear regression to examine the impact of company size, profitability, solvency, and Public Accountant Reputationon audit report lag. Results reveal that company size does not significantly affect audit report lag, challenging previous studies. Profitability also shows no significant influence on audit timeliness, contradicting some research findings. In contrast, solvency has a positive and significant impact on audit report lag, indicating longer delays with higher debt-to-total-asset ratios. Moreover, a PAR positive reputation correlates with shorter audit report lag. Understanding these factors can help practitioners, auditors, and regulatory bodies comprehend the dynamics of audit timeliness in the food and beverage industry, facilitating more effective monitoring and decision-making. This research contributes to the literature by providing insights into the nuanced relationships between company characteristics and audit timeliness in a specific industry, offering a valuable perspective for academics and practitioners in auditing and financial management.