Accounting and Auditing Studies

Accounting and Auditing Studies

Investigating the Impact of Institutional Ownership on the Relationship between Auditing Firm size and Managerial Slack in Companies Listed on the Tehran Stock Exchange

Document Type : Original Article

Authors
Amir Ghafourian Shagerdi 1
Seyyed Mohammad Vaziri 2
Mohammad Sajjad Ghafourian Shag 3
1 Assistant Professor, Faculty of Management and Accounting, Department of Accounting, Imam Reza international university, Mashhad, Iran
2 MSc in Auditing, Department of Accounting, Faculty of Administrative Sciences, Imam Reza International University, Mashhad, Iran
3 Assistant Professor, Accounting Department, Faculty of Administrative Sciences, Imam Reza International University, Mashhad, Iran
10.22034/iaas.2022.156495
Abstract
Objective: This study investigating the impact of institutional ownership on the relationship between auditing firm size and managerial slack in companies listed on the Tehran Stock Exchange. Methods: This research is an experimental research in the field of positive accounting research, which is based on real information about the financial statements of companies listed on the Tehran Stock Exchange. In terms of the relationship between causal variables, this research is applied in terms of purpose and descriptive correlation in terms of method, in which the historical information of companies and statistical methods are used to confirm or reject the hypotheses. The statistic sociaty population of this research, includes the firms listed in the tehran stock exchange as 120 companies operating in various industries over the years 2012 to 2021. The test assumptions of this study are generalized least squares (GLS) regression with and using the Eviews software. Results: According to the results of the mentioned test assumptions shows that: there is not significant relationship between auditing firm size and managerial slack. Also institutional ownership had not a significant impact on the relationship between firm size and managerial slack. Conclusion: Investors should pay attention to other factors that affect the managerial slack, such as the company of the leverage.    
Keywords
Auditing Firm Size
Managerial Slack
Institutional Ownership
Tehran Stock Exchange
Accounting and Auditing Studies
Volume 11, Issue 42
Summer 2022
Pages 41-56