Explaining the Effectiveness between Auditor Independence and Changing the Audit Rate in the Tehran Stock Exchange (Iran)

Abstract

This study examines the relationship between auditor independence and audit fees of listed companies in Tehran Stock Exchange. Discretionary accruals used to measure independent auditors. Research data using statistical sample of 80 companies listed in Tehran Stock Exchange for the period 2014-2019 have been analyzed in the method of least squares regression analysis and the combined data. Study includes two hypotheses that they investigate the relationship between company auditor independence and changing the audit fees with the change of company size. It means, with increasing auditor independence, audit fees paid to auditors also increased. Also, the hypothesis test results showed that the larger the size of the client company, additional fees paid to the auditors.