INCREMENTAL INFORMATION CONTENT DALAM OPINI AUDIT UNQUALIFIED DENGAN PARAGRAF PENJELASAN
ABSTRACT: This study
investigates whether there is any different market reaction to unqualified and
unqualified with explanatory paragraph audit opinion. The result of empirical
univariate and regression test on 291 firm-years, with balanced proportion
between the two opinions, shows that there is a significant difference of stock
returns between the two audit opinions around opinion announcement. Market
appreciates the existence of explanatory paragraph in the unqualified audit
opinion with higher excess returns compared to standard unqualified audit
opinion. Overall this study shows incremental information content in
unqualified with explanatory paragraph audit opinion.
Keywords: unqualified audit opinion, unqualified with explanatory
paragraph audit opinion, excess returns, incremental information content
Penulis: Lianny Leo
Kode Jurnal: jpakuntansidd070046
