The Effect of Auditors' Intrinsic Characteristics on Fraud Detection Ability by Considering the Mediating Role of Audit Quality Reducing Behaviors

Habza, Rezvan; Valipour, Hashem; Salehi, Hamid; Evazzadeh fath, Fariborz

doi:10.61186/aapc.9.18.177

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Volume 9, Issue 18 (3-2025)

aapc 2025, 9(18): 177-217

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The Effect of Auditors' Intrinsic Characteristics on Fraud Detection Ability by Considering the Mediating Role of Audit Quality Reducing Behaviors

Rezvan Habza¹

, Hashem Valipour²

, Hamid Salehi³

, Fariborz Evazzadeh fath⁴

1- Ph.D. Student Department of Accounting, Yas.C., Islamic Azad University, Yasouj, Iran. rezvan_rh61@iau.ac.ir
2- Associate Professor, Department of Accounting, Fir.C., Islamic Azad University, Firuzabad, Iran. (Corresponding Author) , Hashem.Valipour@iau.ac.ir
3- Assistant Professor, Department of Accounting, Fir.C., Islamic Azad University, Firuzabad, Iran. Salehi.hamid@iau.ac.ir
4- Assistant Professor,Department of Accounting, Gac.C., Islamic Azad University, Gachsaran, Iran. Fariborz.avazzadeh.fath@iau.ac.ir

Abstract: (307 Views)

Financial reportsare the main source of information about the performance of a business entity, the high level of fraud in financial statements between companies and cases of financial statement resubmissions and corporate bankruptcy have raised concerns about the quality of financial reporting. What is the effect of auditors' internal factors on fraud detection is of great importance. From the methodological point of view, the present study is a qualitative, descriptive and applied research in terms of purpose. The statistical population of the present study is auditors and the research period is 2024, which has been collected from these people through a questionnaire. Due to the lack of accurate information about the entire audit community, the maximum number of samples was considered. Therefore, in order to ensure the adequacy of the sample, 384 questionnaires were distributed, and finally 290 healthy and usable questionnaires were received. The research hypotheses have been tested using a structural equation approach using PLS software, and the factors (mental hardiness, self-efficacy, and auditor power erosion) have been considered as the auditor's internal factors. The findings of the research show that independent variables (mental hardiness and self-efficacy) have a positive and significant effect and also (auditor power erosion) have an inverse and significant effect on the auditors' ability to detect fraud. Audit quality reducing behaviors as a mediating variable have an inverse and significant effect on the ability to detect fraud (as a dependent variable). Also, the variable of audit quality decreasing behaviors has a mediating role on these relationships. The findings of the present study in the development of the theoretical literature on fraud detection and auditors' duties in this field, as well as for the auditors and legislators in this field, can be applied in the field of auditing education with mental toughness and self-efficacy, as well as providing a ground for reducing the erosion of auditors' ability and can help auditors in this regard.

Keywords: Fraud Detection Ability, Audit Quality Reducing Behaviors, Internal Auditor Characteristics. Auditor power erosion, mental tenacity, self-efficacy, emotional intelligence, internal locus of control, external source of control.

Full-Text [PDF 1241 kb] (63 Downloads)

Type of Study: Research | Subject: Special
Received: 2025/02/25 | Accepted: 2025/06/13 | Published: 2025/06/22

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Habza R, Valipour H, Salehi H, Evazzadeh fath F. The Effect of Auditors' Intrinsic Characteristics on Fraud Detection Ability by Considering the Mediating Role of Audit Quality Reducing Behaviors. aapc 2025; 9 (18) :177-217
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