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The Effects of Competence and Motivation on Audit Quality with Ethical Orientation as a Moderating Variable

Author

Listed:
  • Jeivi Brenda Andolo

    (Student of Economics and Business Faculty, Universitas Kristen Satya Wacana (UKSW), Salatiga, Central Java, Indonesia.)

  • David A. A. Pesudo

    (Lecture of Economics and Business Faculty, Universitas Kristen Satya Wacana (UKSW) , Salatiga, Central Java, Indonesia.)

Abstract

This current period of audit internal government require to be more competence, clear, responsibility, and other with the aim to provide good service on public sector. And also Internal auditor of BPKP must uphold the ethical standard in running their duties and responsibilities. Thereafter, the purpose of this research is to examine the effects of competence and motivation on audit quality with ethical orientation as a moderating variable in BPKP (Badan Pengawasan Keuangan dan Pembangunan), North Sulawesi. The analysis technique is used descriptive analysis, classic assumption tests and hypothesis test, and with total respondent of questionaries’ are 65 auditors of BPKP and the data analysis technique was multiple linear regression analysis. Hence, the result of this study found that the competence and motivation has significant positive effect on audit quality, the competence with ethical orientation as a moderating variable has a significant positive effect on audit quality, and the motivation with ethical orientation as a moderating variable has significant positive effect on audit quality.

Suggested Citation

  • Jeivi Brenda Andolo & David A. A. Pesudo, 2021. "The Effects of Competence and Motivation on Audit Quality with Ethical Orientation as a Moderating Variable," International Journal of Science and Business, IJSAB International, vol. 5(4), pages 59-79.
    • Handle: RePEc:aif:journl:v:5:y:2021:i:4:p:59-79
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    References listed on IDEAS

    as
    1. Neni Meidawati & Arden Assidiqi, 2019. "The influences of audit fees, competence, independence, auditor ethics, and time budget pressure on audit quality," Jurnal Akuntansi dan Auditing Indonesia, Accounting Department, Faculty of Business and Economics, Universitas Islam Indonesia, vol. 23(2), pages 117-128, DESEMBER.
    2. DeAngelo, Linda Elizabeth, 1981. "Auditor size and audit quality," Journal of Accounting and Economics, Elsevier, vol. 3(3), pages 183-199, December.
    3. DeFond, Mark L. & Lennox, Clive S., 2011. "The effect of SOX on small auditor exits and audit quality," Journal of Accounting and Economics, Elsevier, vol. 52(1), pages 21-40, June.
    4. A. Greenfield & Carolyn Norman & Benson Wier, 2008. "The Effect of Ethical Orientation and Professional Commitment on Earnings Management Behavior," Journal of Business Ethics, Springer, vol. 83(3), pages 419-434, December.
    5. Rindu Rika Gamayuni, 2018. "The effect of internal auditor competence and objectivity, and management support on effectiveness of internal audit function and financial reporting quality implications at local government," International Journal of Economic Policy in Emerging Economies, Inderscience Enterprises Ltd, vol. 11(3), pages 248-261.
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