The Effect of Internal Audit and Audit Committee Formation History on the Company’s Performance: Moderating Role of Firm Age

Forouzandeh, Javad; Aghaei Chadegani, Arezoo

doi:10.5281/zenodo.8267330

Document Type : Original Research

Authors

Department of Accounting, Najafabad Branch, Islamic Azad University, Najafabad, Iran

https://doi.org/10.5281/zenodo.8267330

Abstract

Conflict of interests between shareholders and managers and other problems have led to the creation of corporate governance mechanisms. But, firms’ performances and the effect of corporate governance mechanisms on firm performance are still of interest to researchers. The objective of this study is to investigate the effect of internal audit formation history and audit committee formation history on the company's performance and also to investigate the moderating effect of firm age on these relationships. The population in this research includes all the companies listed on the Tehran Stock Exchange during 2018 to 2022, and the sample includes 120 companies. Research data were analyzed through multivariate regression model and by Stata software. The results show that the internal audit formation history has a positive and significant effect on the company's performance and also the audit committee formation history has a positive and significant effect on company’s performance. The results also show that firm age is a positive and significant effect on company’s performance. Moreover, the results show that firm age has no significant effect on the relationship between the internal audit formation history and the company's performance, but firm age has a positive effect on the relationship between the audit committee formation history and the company's performance.

Keywords

20.1001.1.23832126.2023.10.7.2.7

Main Subjects

COPYRIGHTS

©2023 The Author(s). This is an open access article distributed under the terms of the Creative Commons Attribution (CC BY 4.0), which permits unrestricted use, distribution, and reproduction in any medium, as long as the original authors and source are cited. No permission is required from the authors or the publishers.

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International Journal of Management, Accounting and Economics

The Effect of Internal Audit and Audit Committee Formation History on the Company’s Performance: Moderating Role of Firm Age

References

References

Volume 10, Issue 7 - Serial Number 108
July 2023
Pages 468-479

The Effect of Internal Audit and Audit Committee Formation History on the Company’s Performance: Moderating Role of Firm Age

References

References

Volume 10, Issue 7 - Serial Number 108July 2023Pages 468-479

Volume 10, Issue 7 - Serial Number 108
July 2023
Pages 468-479