The Influence Of Media Attention On Audit Fee

Audit fee refers to the fee charged by the certified public accountant when providing audit services,which usually includes audit cost,risk premium and profit.Audit fees ensure the long-term development of the firm,and also play a great role in maintaining the stability of the market.As one of the links in audit work,audit cost not only reflects the relationship between supply and demand of audit market,but also affects audit independence and audit quality,so it is of great significance to study audit cost and its composition.As a kind of commodity,audit service has no fixed pricing,and its pricing level is determined by many factors.The company environment,the firm and the external environment will have an effect on it.For the composition of audit fees,there are many researches in the academic community,and the first research is from the two aspects of companies or firms,and then it will further expand to the risk aspect.In recent years,people have discussed the external factors of audit pricing,one of which is the external governance environment.Through the test,it is found that the external government,legal norms and so on will affect the auditor's behavior,and the audit fees also produce new year's greetings.At the same time,the independent third party media concern has also become one of the influencing factors discussed by scholars.Some studies have proved that as an independent third party,media concern also affects the fluctuation of audit fees.Therefore,whether the composition of audit pricing should add new factors needs and deserves our study and discussion.Although media attention is studied as a third party,traditional paper media is often used as a research variable.With the rapid development of information technology,emerging media has received more attention.Based on the previous research,this paper first classifies media channels into traditional media and emerging media,and studies the impact of different media on audit fees;then,it matches media with industry,and studies the impact of different media on audit fees of different industries by classifying industry into livelihood and non livelihood industries.Based on the mechanism of media reports and empirical research methods,this paper takes the livelihood industry and non livelihood industry of A-share listed companies in China's Shanghai stock market from 2017 to 2018 as research samples,in which the pharmaceutical manufacturing industry represents the livelihood industry,and the chemical raw materials and chemical products manufacturing industry represents the non livelihood industry.Based on the study of the impact of full sample media reports on audit fees,this paper studies the impact of different types of media reports on audit fees in different industries,and then expands the pricing basis of audit pricing.The results show that:(1)there is a positive correlation between media reports and audit fees,that is,media reports can have an impact on audit fees;(2)in the people's livelihood industry,new media and traditional media have a positive correlation on audit fees,when new media and traditional media work together,the two are significantly similar;(3)in the non people's livelihood industry,new media and traditional media have a positive correlation on audit fees There is a positive correlation between the traditional media and the audit cost.When both of them influence each other,the influence of the traditional media on the audit cost is more significant.In this paper,under the influence of media attention on audit cost,from a new perspective,media is divided into two parts:traditional media and emerging media,which are matched with people's livelihood industry and non people's livelihood industry.It is found that different forms of media in different industries have different impacts respectively.