Literature Review on Influencing Factors of Audit Fees

Abstract

Audit fee refers to the remuneration obtained by accounting firms and auditors for providing professional services. The determination of audit fees requires mutual consultation between audited units and accounting firms. In order to ensure the quality of the audit report, as an important part of the auditor incentive mechanism, the establishment of reasonable audit fees is a necessary condition to ensure that the certified public accountants perform the normal information assurance function and ensure the effective operation of the audit work. Audit fee is the price of audit report. As the supplier of audit report and the demander of audit report, the relationship between supply and demand of both parties will inevitably affect audit fee. Therefore, this paper mainly from two aspects-from the perspective of accounting firms to investigate the impact of audit fees and the impact of customers' perspective on audit fees to sort out the relevant literature on audit fees in these two aspects, hoping to provide reference value for the study of audit fees.