The Impact of Key Audit Matters and Cost of Debts

• Main Authors: LO,YU-YU, 羅幼筎
• Other Authors: HUANG,SHAIO-YAN
• Format: Others
• Language: zh-TW
• Published: 2019
• Online Access: http://ndltd.ncl.edu.tw/handle/aeg2a6

碩士 === 國立中正大學 === 會計資訊與法律數位學習碩士在職專班 === 107 === The past literature reveals key auditing matters, which improve the audit quality and information transparency of the company. Reducing information asymmetry between company and external users of the financial report help the company to obtain funds with relatively low Cost of Debts. However, some scholars believe that the disclosure of key auditing matters will enable creditors to better understand the risks that enterprises may face now or in the future. Therefore, it may be required to increase risk premiums and increase the cost of debts that enterprises need to bear. Therefore, this study mainly explores whether the listed company at stock exchange market(listed company at over-the-counter market) has applied the new auditing standards whether the key audit items disclosed will influence company’s cost of debt or not. The empirical results are positively correlated but not significant. It shows that when the number of KAM items and words revealed by the company more than the median of the industry, it will not affect the cost of debt in the next period. Creditors do not pay attention to check the relevant information of the KAM items and words disclosed in the aduit report. Ceditors uses companys other information to review the terms of the loan. Keywords：Key Audit Matters、Cost of Debts