The Influence of Auditor Ethics, Auditor Motivation, Locus of Control on Audit Quality: Role of Professional Skepticism

Abstract

Good audit quality is needed so that financial statements can be useful for the community as a basis for making decisions. Corruption Eradication Commission (KPK) named Supreme Audit Agency (BPK) members as suspects in the drinking water bribery case because an abnormal value was found in the financial statements and in 2017 the BPK auditor was caught in the practice of purchase and sale opinions on the financial statements of the Ministry of Villages. This can be indicated by the existence of fraud in the audit results which makes the quality of the audit doubtful. This study aims to examine the effect of auditor ethics, auditor motivation, locus of control on audit quality with auditor professional skepticism as an intervening variable. The sample used in this study amounted to 59 samples sourced from auditors Auditorat of State Finances (AKN) V and VI BPK RI with a questionnaire instrument. The analytical technique employed in this study was Structural Equation Modeling (SEM), which was performed with the SmartPLS version 3.0 tool. The findings of this study show that auditor ethics, motivation, and locus of control all have an impact on audit quality, while auditor professional skepticism does not. Furthermore, the relationship between auditor ethics and audit quality cannot be moderated by auditors' professional skepticism.