Independent audit quality and corporate cash holdings

Cong Peng and Ka Yin Chau

Finance Research Letters, 2023, vol. 58, issue PB

Abstract: This paper examines the impact of independent audit quality on corporate cash holdings in China's stock markets. The findings reveal a negative relationship between independent audit quality and corporate cash holdings. It is observed that high-quality, independent audits can effectively reduce corporate cash holdings. Furthermore, the study highlights the significant moderating effect of property ownership on the relationship between independent audit quality and cash holdings. Specifically, the impact of independent audit quality on cash holdings is more pronounced in non-state-owned enterprises compared to state-owned enterprises.

Keywords: Independent audit quality; Cash holdings; Property nature (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S1544612323007778
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:finlet:v:58:y:2023:i:pb:s1544612323007778

DOI: 10.1016/j.frl.2023.104405

Access Statistics for this article

Finance Research Letters is currently edited by R. Gençay

More articles in Finance Research Letters from Elsevier
Bibliographic data for series maintained by Catherine Liu ().