Economics at your fingertips  

An Empirical Investigation of Factors Affecting Audit Fees: Evidence from Kuwait

Abdullah AL-Mutairi (), Kamal Naser and Naser Al-Enazi
Additional contact information
Abdullah AL-Mutairi: Gulf University for Science and Technology
Kamal Naser: Kuwait Fund
Naser Al-Enazi: Public Authority for Applied Education and Training (PAAET)

Authors registered in the RePEc Author Service: Abdulla Kh. Almutairi, Sr. ()

International Advances in Economic Research, 2017, vol. 23, issue 3, No 6, 333-347

Abstract: Abstract The paper examines the perception of a sample of Kuwaiti external auditors about the importance of various factors that may affect external audit fees. A questionnaire was distributed to 100 external auditors who work for different audit firms in Kuwait. They were asked to specify the level of importance they assign to factors expected to impact external audit fees. Eighty took part in the survey (80% usable response rate). Descriptive statistics were used to identify the most important factors that determine external audit fees in Kuwait. The Mann-Whitney U test was performed to detect possible variations in the participants’ opinions. Audit fees in Kuwait are determined by the size of the audited company, type of professional services provided by the audit firm, safety of the audited company’s internal control system, and affiliation of the audit firm to big four international audit firms. Factors such as the location of the audit firm and the location of the audited company, complexity of the audited company and type of reports required to be submitted by the audit firm were the least important factors. The main contribution of this study is that it covers a unique country like Kuwait and uses primary data to identify factors affecting external audit fees. This research could assist companies listed on the Kuwait Stock Exchange in determining external audit fees. The small size of the country and the low cost of transportation made determinants of audit fees in Kuwait different than other countries.

Keywords: Audit fees; Audit firms; Kuwait (search for similar items in EconPapers)
JEL-codes: G20 G30 M42 (search for similar items in EconPapers)
Date: 2017
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link) Abstract (text/html)
Access to full text is restricted to subscribers.

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:

Ordering information: This journal article can be ordered from

DOI: 10.1007/s11294-017-9649-5

Access Statistics for this article

International Advances in Economic Research is currently edited by Katherine S. Virgo

More articles in International Advances in Economic Research from Springer, International Atlantic Economic Society Contact information at EDIRC.
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().

Page updated 2021-05-09
Handle: RePEc:kap:iaecre:v:23:y:2017:i:3:d:10.1007_s11294-017-9649-5