Title

Auditor analytical review judgement : a performance evaluation

Document Type

Journal article

Source Publication

British Accounting Review

Publication Date

3-1-2003

Volume

35

Issue

1

First Page

19

Last Page

34

Keywords

Analytical review, Auditor judgement, Self-insight

Abstract

This study provides experimental evidence on several important measures for evaluating the performance of auditor judgement in an analytical review (AR) context. The results of the study suggest that UK auditors demonstrated only moderate level of judgement performance, as measured by consensus, consistency, and self-insight. Contrary to what might be expected, the study did not find that auditors from larger firms exhibited relatively greater consensus. In order to identify experience effects the paper employs the 'expertise paradigm' Accounting, Organizations and Society 18 (1993) 425]. Significant experience effects were identified implying that auditor judgement performance might be improved if less straightforward judgements were to be made by more senior auditors than is currently the case. The results of the study may have implications for both the cost structures and staffing policies of audit firms.

DOI

10.1016/S0890-8389(02)00107-5

Print ISSN

08908389

E-ISSN

10958347

Publisher Statement

Copyright © 2003 Elsevier Science Ltd. All rights reserved.

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Recommended Citation

Lin, K. Z., Fraser, I. A. M., & Hatherly, D. J. (2003). Auditor analytical review judgement: A performance evaluation. The British Accounting Review, 35(1), 19-34. doi: 10.1016/S0890-8389(02)00107-5