Table 6

Regression results of family member involvement in ownership on audit fees

VariablesModel 4Model 5Model 6
Whole period (2015–2022)Pre-COVID (2015–2018)Post-COVID (2019–2022)
FOWN−0.0002(−0.44)−0.0007 (−1.60)−0.0015***(−3.98)
FOWN*COVID-19−0.0017**(−3.13)  
COVID-190.1953***(8.52)  
BODMEET0.0194***(11.88)0.0223***(9.58)0.0169***(7.36)
BODSIZE0.0357***(4.46)0.0271*(2.44)0.0476***(4.11)
IDR0.0058**(3.12)0.0046 (1.75)0.0081**(3.01)
INVESTPROP0.0033***(16.67)0.0037***(12.77)0.0030***(11.14)
LEV0.8927***(30.75)0.8176***(18.88)0.9388***(23.97)
ROE0.5299***(5.83)0.9090***(6.58)0.2494*(2.07)
INVR−0.0796**(−2.73)−0.0179 (−0.43)−0.1285**(−3.13)
FIRMAGE0.0023*(2.32)−0.0009 (−0.64)0.0048***(3.53)
BIG40.5181***(20.65)0.5146*** (12.38)0.5211***(16.64)
_cons12.5185***(94.61)12.6691*** (69.06)12.5166***(66.15)
N7,5963,6253,971
adj. R20.28310.26390.2815
F250.9134130.9219156.5523

Note(s): FOWN = equity owned by family members, COVID-19 = COVID-19 pandemic, BODMEET = board meetings, BODSIZE = directors on the board, IDR = independent directors on the board, INVESTPROP = institutional investor shareholder ratio, LEV = total liability/total assets, ROE = return on equity, INVR = inventory/total revenue, FIRMAGE = firm living years, and BIG4 = Big 4 audit firm; *p < 0.1, **p < 0.05, ***p < 0.01 (t statistics in parentheses)

Source(s): Authors’ own creation

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