An Empirical Study on the Influence of Consolidated Financial Statement’s Amplification Effect on Audit Fees

Table 7

The impact of amplification effect and audit risk on audit fees.

Variables	LNFEE
	(1)	(2)	(3)	(4)
MAGNIFICATION1	0.185^∗∗	0.214^∗∗∗	0.179^∗∗	0.209^∗∗∗
	(2.300)	(2.841)	(2.234)	(2.778)
RISK1	0.654^∗∗∗	0.608^∗∗∗
	(6.841)	(6.849)
RISK2			0.468^∗∗∗	0.462^∗∗∗
			(4.784)	(5.076)
SIZE	0.282^∗∗∗	0.266^∗∗∗	0.282^∗∗∗	0.265^∗∗∗
	(41.249)	(37.191)	(40.967)	(37.026)
LEV	0.001	0.129^∗∗∗	0.007	0.134^∗∗∗
	(0.039)	(3.573)	(0.193)	(3.720)
TOBINQ	0.000	−0.001	0.001	−0.001
	(0.074)	(−0.265)	(0.171)	(−0.217)
DUAL	0.019	0.002	0.019	0.002
	(1.468)	(0.173)	(1.451)	(0.148)
INDRATIO	0.332^∗∗∗	0.141	0.332^∗∗∗	0.140
	(3.033)	(1.352)	(3.032)	(1.346)
AGE	0.011^∗∗∗	−0.002	0.010^∗∗∗	−0.002
	(8.595)	(−1.036)	(8.483)	(−1.149)
SOE	−0.179^∗∗∗	−0.134^∗∗∗	−0.180^∗∗∗	−0.134^∗∗∗
	(−11.280)	(−8.365)	(−11.300)	(−8.359)
TOP1	−0.001^∗∗	−0.001^∗∗∗	−0.001^∗∗	−0.001^∗∗∗
	(−2.244)	(−2.822)	(−2.387)	(−2.941)
BIG4	0.732^∗∗∗	0.728^∗∗∗	0.733^∗∗∗	0.729^∗∗∗
	(18.019)	(18.148)	(18.054)	(18.180)
DELAY	0.253^∗∗∗	0.166^∗∗∗	0.255^∗∗∗	0.167^∗∗∗
	(15.245)	(10.477)	(15.366)	(10.552)
REC	−0.176^∗∗∗	−0.334^∗∗∗	−0.179^∗∗∗	−0.339^∗∗∗
	(−2.753)	(−5.373)	(−2.802)	(−5.449)
Constant	6.142^∗∗∗	6.844^∗∗∗	6.154^∗∗∗	6.860^∗∗∗
	(37.993)	(39.698)	(37.923)	(39.751)
YEAR	No	Yes	No	Yes
INDUSTRY	No	Yes	No	Yes
N	24,497	24,497	24,497	24,497
Adj. R^2	0.553	0.597	0.552	0.597

Note. Cluster-adjusted t-values are in parentheses. ^∗∗∗, ^∗∗, and ^∗ indicate significance at the 1%, 5%, and 10% levels, respectively.