Abstract:
Financial report provides information about statements of financial position, performance and cash flow. This financial statement needs to be issued in timely manner in order to make it useful for the users in creating decision. Examination of financial statements by independent auditor takes quite a long time. Timeliness of financial report submission may be affected by audit reporting period. There are many factors that affect audit delay, but this research will focusing on whether there is a significant influence from profitability ratio, solvability ratio, company size and audit firm size to audit delay.
Data which is used in this research is secondary data. The data is generated from prospectus and company’s annual financial statements which has been audited and taken from Pusat Referensi Pasar Modal (Capital Market Reference Center) in Indonesia Stock Exchange. The research population is LQ 45 companies listed in Indonesia Stock Exchange. The time period taken in this research is 2009,2010 and 2011. Sampling is done by using purposive sampling. Data processing is done with assistance of SPSS 20.0 and hypothesis testing is done by using multiple regression linear model with significance level 5%.
Research has some results showing that there is one independent variable affect audit delay significantly, which is: (1) company size with positive correlation. Meanwhile, the other three independent variables do not affect audit delay significantly, those three are: profitability ratio, solvability ratio and audit opinion. Multiple regression analysis shows the formula of the model: Audit Delay = 56.102 + 2.065 X1 + 23.226 X2 + 8.153 X3 + 9.185 X4 + e, where x1 = profitability ratio, x2 = solvability ratio, x3 = company size, x4 = audit opinion. The coefficient determinant (R Square) is 12%.
To generate a better result, the next research is suggested to increase the number of sample, extend the period of time and add more independent variables.
