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Home List of Titles Jurisdictional differences in contracting out GBE audits: the impact on audit pricing
Please use this identifier to cite or link to this item: http://hdl.handle.net/1959.3/239681
- Jurisdictional differences in contracting out GBE audits: the impact on audit pricing
- Houghton, K. A.; Dolley, C.; Jubb, C. A.; Chong, K. M.
- This paper examines audit costs for government business enterprises in various Australian jurisdictions, focusing on whether contracting private-sector suppliers induces competitive pricing and hence lower-priced audits. One jurisdiction (New South Wales) is shown to have low levels of contracting-out. It is argued that this lowers price competition and therefore, we predict, audit costs in NSW will be higher than elsewhere in Australia. An empirical comparison shows that, controlling for other factors, NSW is statistically significantly more expensive than other Australian jurisdictions. Alternative explanations relating to variation in audit quality, jurisdiction differences and relative cost are also discussed.
- Publication type
- Journal article
- Australian Accounting Review, Vol. 12, no. 28 (Nov 2002), pp. 50-57
- Publication year
- FOR Code(s)
- 1501 Accounting, Auditing and Accountability
- Auditing; Audit fees; Outsourcing
- Publisher URL
- Copyright © 2002 CPA Australia.
- Peer reviewed