حسابداری ارزش متعارف دارایی های غیرجاری و هزینه های حسابرسی: شواهدی از شرکت های استرالیا

We investigate the association between asset revaluations of non-current assets and audit fees, using a sample of ASX 300 companies from the years 2003–2007. We report that there is a significant increase in the audit fees paid when non-financial assets (PPEs, investment properties and intangible assets) are measured at fair values. Moreover, we provide evidence that an independent valuer or appraiser significantly weakens the positive association between asset revaluations and audit fees. Furthermore, companies whose non-current assets are revalued upwards and those that revalue their non-current assets upwards every year have significantly higher audit fees. Additional tests provide empirical evidence that the strength of corporate governance has a moderating effect on the level of audit fees. This study contributes to the ongoing debate on the role of fair value accounting. The findings suggest agency costs associated with fair value estimates may offset the benefits from the use of fair value accounting.

Since the global financial crisis, considerable debate has focused on fair value accounting for financial assets in the banking industry (Barth and Landsman, 2010; Landsman, 2007; Laux and Leuz, 2009). However, there is a lack of evidence on the costs and benefits of using fair values for the non-financial asset groups 1 – property, plant and equipment (PPE), investment property, and intangibles, a context where managers have a choice between the use of historical cost or fair values. We follow Goncharov et al. (2013) and Ettredge et al. (2013) to study audit fees that represent a major agency cost in relation to the valuation practices for such assets.