The Relation between Corporate Governance and Audit Quality with the Performance and Profit Decoration by Total Accrual of Set 50 in the Stock Exchange of Thailand

Abstract

The objectives of this research were 1) to study the relationship between corporate governance and audit quality and the performance and profit decoration by total accrual of the SET50 group in the Stock Exchange of Thailand. 2) A quantitative research study was conducted with a specific sample of 50 companies listed on the Stock Exchange of Thailand. They collected data from financial reports between 2019 and 2021, including 150 data used in the study, except for companies whose information is incomplete and undergoing business rehabilitation. Data were analyzed using descriptive statistical analysis to describe the general nature of the data, Pearson correlation coefficient analysis to test the relationship between the independent, variables and multiple regression analysis with statistical significance at the 0.05 level to test the research hypothesis.

The results showed 1) corporate governance and corporate governance score. It positively affects performance as measured by the Return on total assets and corporate governance. 2) The number of meetings positively affected profit enrichment at the statistical significance level of 0.05 3) Corporate governance has no relation to performance, measured by price to earnings per share ratio. Audit quality: the size of the audit firm has a positive effect on its performance as measured by the Return on total assets and audit quality. 4) The audit fee has a positive effect on total accrual. The statistical significance level is 0.05. Audit quality has no relationship with profit decoration by total accrual