The Critical Role of Going Concern Audit Opinions in Relation to Audit Quality, Firm Size, Growth, and Leverage
DOI:
https://doi.org/10.33603/jka.v8i2.9867Keywords:
Going concern audit opinion, Audit quality, Size, Growth, LeverageAbstract
The importance of going concern audit opinions is critical for various stakeholders in evaluating an organization's financial health and its ability to continue operations in the foreseeable future. This study aims to analyse the influence of audit quality, size, growth and leverage on the going concern audit opinion. This study using quantitative approach, and the purposive sampling method. The population of the study are consumer goods industry for the 2019-2023 period, and 220 observation data are analysed by logistic regression analysis test. The results of this study indicate that company growth, company size and debt equity ratio have no significant effect on going concern audit opinions, while audit quality has a significant effect on going concern audit opinions. The practical implications of this study resonate across auditing, corporate governance, investing, and regulatory practices, signaling a need for heightened awareness and action regarding audit quality and its cascading effects on going concern evaluations.
References
Akbar, R. and Ridwan, R. (2019). Pengaruh kondisi keuangan perusahaan, ukuran perusahaan, pertumbuhan perusahaan dan reputasi kap terhadap penerimaan opini audit going concern pada perusahaan pertambangan yang terdaftar di bursa efek indonesia tahun 2015-2017. Jurnal Ilmiah Mahasiswa Ekonomi Akuntansi, 4(2), 286-303. https://doi.org/10.24815/jimeka.v4i2.12239.
Alaudhli, R. (2024). Evaluating the relationship between corporate social responsibility incentives and financial outcomes of corporations operating in the gcc region. Academic Journal of Research and Scientific Publishing, 6(61), 59-85. https://doi.org/10.52132/ajrsp.e.2024.61.3.
Aldhanarisha, A. and Herliansyah, Y. (2023). The influence of leverage, debt default, company size, and the previous year's audit opinion on the acceptance of going concern audit opinions. Journal of Social Research, 3(1), 66-75. https://doi.org/10.55324/josr.v3i1.1654.
Anggarini, N., Sukartha, P., Widhiyani, N., & Ratnadi, N. (2023). Navigating uncertainty: the dynamics of financial distress and opinion shopping ongoing concern audit opinions in the covid-19 era. Jema Jurnal Ilmiah Bidang Akuntansi Dan Manajemen, 20(2), 200-219. https://doi.org/10.31106/jema.v20i2.20747.
Anita, W. (2017). Analisis faktor-faktor yang mempengaruhi opini audit going concern pada perusahaan manufaktur yang terdaftar di bursa efek indonesia. Jurnal Riset Keuangan Dan Akuntansi, 3(2). https://doi.org/10.25134/jrka.v3i2.939.
Averio, T. (2020). The analysis of influencing factors on the going concern audit opinion – a study in manufacturing firms in indonesia. Asian Journal of Accounting Research, 6(2), 152-164. https://doi.org/10.1108/ajar-09-2020-0078.
Candra, H. and Ramadhan, Y. (2022). Penentuan audit opini kelangsungan hidup pada perusahaan sektor transportasi yang terdaftar pada bursa efek indonesia. E-Jurnal Akuntansi, 32(6), 1550. https://doi.org/10.24843/eja.2022.v32.i06.p12.
Dewi, K. (2023). Determinant analysis of going concern audit opinion. Kontigensi Jurnal Ilmiah Manajemen, 11(1), 233-241. https://doi.org/10.56457/jimk.v11i1.347.
Didied, N. (2023). Determinants of going-concern audit opinion. International Journal of Research in Business and Social Science (2147-4478), 12(7), 345-357. https://doi.org/10.20525/ijrbs.v12i7.2882.
Djunaedi, B., Manurung, F., Tomy, J., Regina, T., & Maratno, S. (2022). The effect of company size, company profitability, previous audit opinion, and kap size as a determiner of going concern audit opinions (empirical study on non-financial services companies listed on the indonesia stock exchange). Journal of Social Science, 3(2), 266-275. https://doi.org/10.46799/jss.v3i2.309.
Hakiki, F. and Mappanyukki, R. (2022). The influence factors of going concern audit opinion acceptance using firm size as a moderating variable. Journal of Social Science, 3(6), 2176-2193. https://doi.org/10.46799/jss.v3i6.476.
Halim, K. (2021). Pengaruh leverage, opini audit tahun sebelumnya, pertumbuhan perusahaan, dan ukuran perusahaan terhadap opini audit going concern. Owner, 5(1), 164-173. https://doi.org/10.33395/owner.v5i1.348.
Hardi, H., Wiguna, M., Hariyani, E., & Putra, A. (2020). Opinion shopping, prior opinion, audit quality, financial condition, and going concern opinion. Journal of Asian Finance Economics and Business, 7(11), 169-176. https://doi.org/10.13106/jafeb.2020.vol7.no11.169.
Kepramareni, P., Pradnyawati, S., & Astari, N. (2023). Factors related to acceptance of going concern audit opinion in banking companies. Jurnal Ekonomi Dan Bisnis Jagaditha, 10(2), 168-176. https://doi.org/10.22225/jj.10.2.2023.168-176.
Khairunnisa, T. (2022). The influence of financial distress, debt, and profitability on the audit opinions of going concerned with industry-specialist auditors as moderating variables. Journal of Economics Finance and Management Studies, 05(03). https://doi.org/10.47191/jefms/v5-i3-27.
Kristian, M., Tanusdjaja, H., Catherine, C., & Siswanto, H. (2024). Factors influencing going concern audit opinion among basic materials companies listed on the indonesia stock exchange (idx) during the period of 2019-2021. ijaeb, 2(1), 3126-3140. https://doi.org/10.24912/ijaeb.v2i1.3126-3140.
Laitupa, M., Pattinaja, E., & Patty, S. (2023). Going concern audit of manufacturing companies: a study before and during the covid-19 pandemic. Khazanah Sosial, 5(2), 236-248. https://doi.org/10.15575/ks.v5i2.25487.
Maso, L., Lobo, G., Mazzi, F., & Paugam, L. (2020). Implications of the joint provision of csr assurance and financial audit for auditors' assessment of going‐concern risk. Contemporary Accounting Research, 37(2), 1248-1289. https://doi.org/10.1111/1911-3846.12560.
Mulyawati, A. and Munandar, A. (2022). Audits quality in mediating profitability, liquidity, audit lag, prior opinion on accepting going concern audits. Interdisciplinary Social Studies, 1(8). https://doi.org/10.55324/iss.v1i8.178.
Nafsiyyah, Z., Prameswari, D., Sartika, E., & Umyana, A. (2023). Determinants of going concern audit opinion. Ekspansi Jurnal Ekonomi Keuangan Perbankan Dan Akuntansi, 15(2), 93-109. https://doi.org/10.35313/ekspansi.v15i2.5317.
Nurbaiti, A. and Yanti, S. (2022). The influences of companys growth, cash flow, and debt default on the acceptance of going concern audit opinions. The Indonesian Journal of Accounting Research, 25(03). https://doi.org/10.33312/ijar.631.
Patiran, A., Marani, Y., Bonsapia, M., Manginte, S., & Noch, M. (2023). Impact of debt default, audit quality, opinion shopping and institutional ownership to acceptance of going concern audit opinions. Public Policy (Jurnal Aplikasi Kebijakan Publik & Bisnis), 4(1), 107-122. https://doi.org/10.51135/publicpolicy.v4.i1.p107-122.
Pratiwi, L. and Lim, T. (2019). Pengaruh pertumbuhan perusahaan, audit tenure dan opini audit tahun sebelumnya terhadap opini audit going concern. Jurnal Riset Keuangan Dan Akuntansi, 4(2). https://doi.org/10.25134/jrka.v4i2.1700.
Putra, I. and KAWISANA, P. (2020). The influence of company size, financial distress, kap reputation on going concern audit opinion of manufacturing companies from bei. International Journal of Environmental Sustainability and Social Science, 1(2), 57-61. https://doi.org/10.38142/ijesss.v1i2.29.
Putra, W. and Purnamawati, R. (2021). The effect of audit tenure, audit delay, company growth, profitability, leverage, and financial difficulties on acceptance of going concern audit opinions.. https://doi.org/10.2991/aer.k.210121.027.
Rahman, H. (2020). Penerimaan opini audit going concern berdasarkan leverage dan financial distress. Jurnal Ekonomi Journal of Economic, 11(1). https://doi.org/10.47007/jeko.v11i1.2962.
Rahmawati, A., Laksmana, A., & Agustia, D. (2019). Mediation role of audit going concern opinion on correlation of audit tenure and market performance. Afebi Accounting Review, 4(01), 30. https://doi.org/10.47312/aar.v4i01.221.
Sabti, A. and Anssari, M. (2022). The relationship between the reputation of audit offices and the accuracy of the opinion on continuity and the extent to which it is affected by the financial failure field research in the iraqi stock exchange. International Journal of Professional Business Review, 7(2), e0425. https://doi.org/10.26668/businessreview/2022.v7i2.425.
Sari, M. and Batin, A. (2022). Determinants of going concern audit opinion on manufacturing companies listed on the indonesia stock exchange. Journal of International Conference Proceedings, 5(2), 297-312. https://doi.org/10.32535/jicp.v5i2.1694.
Satriani, E. and Alfia, Y. (2021). Influence of profitability, solvability, and company growth on going concern audit opinions. Jurnal Aksi (Akuntansi Dan Sistem Informasi), 5(2). https://doi.org/10.32486/aksi.v5i2.29.
Simamora, R. and Hendarjatno, H. (2019). The effects of audit client tenure, audit lag, opinion shopping, liquidity ratio, and leverage to the going concern audit opinion. Asian Journal of Accounting Research, 4(1), 145-156. https://doi.org/10.1108/ajar-05-2019-0038.
Srimindarti, C., Suwarti, T., Oktaviani, R., & Fajar, J. (2019). Determinants of going concern audit opinion. https://doi.org/10.2991/icobame-18.2019.21.
Suhayati, E. (2020). Company’s financial condition representing going concern audit opinion issue implication for substitution public accounting firm (survey at public accounting firms in jabodetabek). Proceeding of International Conference on Business Economics Social Sciences and Humanities, 1, 540-544. https://doi.org/10.34010/icobest.v1i.86.
Suroto, L. and Kusuma, H. (2017). Drivers of going concern audit opinions: empirical evidence from indonesia. Holistica – Journal of Business and Public Administration, 8(2), 79-90. https://doi.org/10.1515/hjbpa-2017-0015.
Suryani, I., Yuniarti, R., & Syahrudin, M. (2023). Effect of financial distress, liquidity, and leverage on the audit opinion going concern on companies listed on idxesgl during the pandemic period (2019-2021). International Journal of Business Economics and Social Development, 4(1), 1-11. https://doi.org/10.46336/ijbesd.v4i1.379.
Syofyan, E., & Vianti, K. O. (2021). Going Concern Audit Opinion: The Role of Audit Delay, Opinion Shopping, Financial Distress, Leverage and Size of Company. Jurnal Akuntansi, 11(3), 235–246.
Uddin, M., Pratama, H., & Meutıa, I. (2018). Financial condition, growth, audit quality and going concern opinion: study on manufacturing companies listed on indonesia stock exchange. Journal of Accounting Business and Finance Research, 2(1), 16-25. https://doi.org/10.20448/2002.21.16.25.
Xu, X., Yang, L., & Zhang, J. (2022). How do auditors respond to client firms’ technological peer pressure? evidence from going‐concern opinions. Journal of Business Finance & Accounting, 49(9-10), 1553-1580. https://doi.org/10.1111/jbfa.12599.
Zain, J., Meiviandra, B., Angkat, T., & Sinaga, W. (2023). Determinants of going concern audit opinions in real estate and property companies listed on the idx. IJAMESC, 1(6), 835-844. https://doi.org/10.61990/ijamesc.v1i6.104.
Zdolšek, D., Jagrič, T., & Колар, И. (2021). Auditor’s going-concern opinion prediction: the case of slovenia. Economic Research-Ekonomska Istraživanja, 35(1), 106-121. https://doi.org/10.1080/1331677x.2021.1888766.
Zelovena, S., Yudi, Y., & Rahayu, R. (2024). The influence of audit quality, financial distress, audit tenure, debt default, and audit delay on going concern audit opinion. International Journal of Multidisciplinary Approach Research and Science, 2(02), 964-972. https://doi.org/10.59653/ijmars.v2i02.832.
Zuhroh, S., Prasetiyo, Y., Nugraheni, N., & Riyani, E. (2023). effect of leverage, previous year's audit opinion and company growth on going concern audit opinion. International Journal of Business and Applied Economics, 2(2), 149-162. https://doi.org/10.55927/ijbae.v2i2.3314.
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2025 Jurnal Kajian Akuntansi
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
- Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution-ShareAlike (CC-BY-SA 4.0) that allows others to share the work with an acknowledgment of the work's authorship and initial publication in this journal.
- Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgment of its initial publication in this journal.
- Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work.