Determinants of Audit Judgment: Personal Factors, Environmental Factors, and Auditor Task Factors, with Auditor Experience as a Moderating Variable

Abstract

Audit judgment is a critical factor in ensuring the reliability of financial reports, especially amid increasing cases of audit failures in Indonesia. The importance of professional audit practices is emphasized in Law Number 5 of 2011 concerning Public Accountants. However, from 2018 to 2023, several audit-related cases led to sanctions against auditors and public accounting firms. This study aims to analyze the influence of personal factors, environmental factors, and task factors on audit judgment. The research was conducted at 19 Public Accounting Firms (KAP) in Bali with 77 auditor respondents selected using saturated sampling. The variables include professional skepticism, auditor knowledge, self-efficacy, time pressure, obedience pressure, task complexity, and auditor experience as a moderating variable. Data were collected using questionnaires and analyzed with SEM-PLS.

The results show that professional skepticism, knowledge, and self-efficacy positively affect audit judgment, while obedience pressure has a negative effect. Time pressure and task complexity have no significant effect. An auditor's experience can moderate the influence of personal factors, environmental factors, and task factors on audit judgment. These findings provide input for KAPs to focus on individual and environmental aspects to enhance audit quality.

Keywords: auditor personal factors, auditor environmental factors, auditor task factors, audit judgment

DOI: 10.7176/EJBM/17-5-07

Publication date: June 30^th 2025