The Effect of Financial Distress, Audit Quality, Audit Fee, Audit Tenure, and Auditor Switching on Going Concern Audit Opinion

Abstract

This study aims to analyze the influence of financial distress, audit quality, audit fee, audit tenure, and auditor switching on the going concern audit opinion. The research method used is descriptive and verification method. The population of this study consists of state-owned enterprises listed on the Indonesia Stock Exchange from 2019 to 2023, totaling 22 companies or 110 observation data. The sample used in this study is the annual reports of those 22 state-owned enterprises for the period of 2019–2023, amounting to 110 observational data, selected using purposive sampling technique. The data collection technique employed is non-participant observation, while the data analysis technique used is logistic regression analysis. The results of the study show that, partially, financial distress; audit quality; audit fee and audit tenure has a positive and significant effect on the going concern audit opinion; then auditor switching has a negative but insignificant effect on the going concern audit opinion.