The Influence of Profitability, Solvability, Liquidity, Company Size and Size of Public Accountant Firm on Audit Report Lag

Abstract

This study aims to test whether profitability, solvency, liquidity, firm size and size of Public Accounting Firm affect audit report lag. The sample population used in this study is a state-owned company listed on the Indonesia Stock Exchange in 2013-2015. Sampling in this study using purposive sampling method. The data used in the form of annual financial statements of companies obtained from the Indonesia Stock Exchange. Data analysis techniques were performed using multiple regression analysis. The result of the research shows that profitability has a negative effect on audit report lag, while solvability, liquidity, firm size and size of Public Accounting Firm size do not affect audit report lag. From the five independent variables, partial test results show that only two variables that affect the audit report lag; profitability with a significant level of 0.000 and solvency with a significant level of 0.000. Meanwhile the variable liquidity, firm size and size of Public Accounting Firm do not affect the audit report lag with a significant level greater than 0.05