Author(s)

Cheng Ya, Luo Huawei, Li Yanxin

Corresponding Author

Luo Huawei

Abstract

Whether enterprises conscientiously fulfill their social responsibility has become a hot topic of public concern. In order to ensure the audit quality, auditors should fully consider whether the enterprises perform their social responsibility well and whether this behavior will increase the possibility of their own audit risk when making audit fees. Based on the data of A-share listed companies in Sichuan Province from 2014 to 2016, this paper studies the impact of corporate social responsibility on audit fees in the light of different property rights. The study found that the better the degree of corporate social responsibility fulfillment, the higher the audit fee. This phenomenon is more pronounced in non-state-owned enterprises than in state-owned enterprises. The results of this paper suggest that auditors should respond to the risks posed by corporate social responsibility performance when accepting audit business.

Keywords

Corporate Social Responsibility, Audit Cost, Property Right Nature