Table 4.

Non-financial misconduct and audit fees

Variables(1)(2)
LAFLAF
LNPEN0.011*** (7.618)
LNNUM0.116*** (7.236)
LIQ−0.026** (−2.512)−0.027*** (−2.600)
CA_TA0.175 (1.616)0.193* (1.775)
INVREC0.729*** (5.331)0.716*** (5.240)
ROA−1.882*** (−10.551)−1.857*** (−10.407)
LOSS−0.089*** (−2.721)−0.085*** (−2.612)
INTANG0.035 (0.447)0.047 (0.595)
GC0.338 (1.277)0.333 (1.255)
MW0.298*** (7.736)0.300*** (7.783)
RESTATE0.135** (2.190)0.137** (2.223)
LEV0.405*** (5.228)0.405*** (5.231)
Z−0.023*** (−3.775)−0.023*** (−3.763)
SIZE0.365*** (33.948)0.362*** (33.198)
MERGER0.006 (0.420)0.007 (0.427)
FRGN0.129*** (5.574)0.131*** (5.657)
LNSEG0.162*** (7.636)0.158*** (7.435)
LNGEO0.118*** (5.016)0.121*** (5.092)
BUSY0.072*** (2.830)0.071*** (2.777)
BIG40.225*** (4.526)0.228*** (4.553)
SP0.169*** (4.408)0.161*** (4.263)
LNTENURE−0.042** (−2.226)−0.041** (−2.194)
AUD_CH−0.179*** (−4.357)−0.179*** (−4.350)
LNAF0.099*** (14.187)0.099*** (14.139)
DUAL−0.015 (−0.820)−0.017 (−0.953)
CEOEXP0.195** (2.171)0.190** (2.048)
Intercept10.386*** (53.955)10.434*** (59.196)
Year and industry FEYesYes
N10,23310,233
Adjusted R20.7940.795
Note(s):

*, ** and *** indicate significance (two-tailed) at 0.10, 0.05 and 0.01 levels, respectively. Standard errors are robust to heteroscedasticity and clustered by firm

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