 Exploring the impact of auditing practices and financial stability: insights into audit process and organisational financial performanceCirui Chai International Journal of Applied Systemic Studies, 2026, vol. 13, issue 3, 251-266 Abstract: Auditing practices are beneficial to stabilise financial structures since they improve the reliability of financial performance, reduce fraud, and encourage disclosure. Similarly, the auditing process plays an essential role that supports in improving financial performance. This study specifically explores the connection between certain auditing practices (AP) and financial performance (FP) from the banking industry of China, drawing from agency theory. Second, financial stability was taken as a moderator between AP and FP to ensure the additional strength of the relationships. Through consideration of the SEM approach, this study confirmed a positive connection between AP and the financial performance of the banking industry. This study also confirmed a positive moderation of financial stability between AP and financial performance, respectively. Besides, this study enlists several interesting implications (e.g., managerial and theoretical) along with limitations for researchers to conduct more studies in the future. Keywords: auditing practices; AP; financial stability; financial performance; FP; agency theory; structural equation modelling; SEM; banking industry. (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:ids:ijassi:v:13:y:2026:i:3:p:251-266 Access Statistics for this article More articles in International Journal of Applied Systemic Studies from Inderscience Enterprises Ltd |
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