Auditors’ self-perceived abilities in conducting domain audits

Why inexperienced investors do not learn: They do not know their past portfolio performance

“…Thus, many investors believe that they made money although they did not. This finding is consistent with psychological evidence that people overstate past performance in a variety of tasks (see Dunning et al, 2004;Moore and Healy, 2007;and Owhoso and Weickgenannt, 2007).…”

“…But another study that uses a design similar to ours documents exactly the same findings. Owhoso and Weickgenannt (2007) investigate the extent to which auditors' ratings of self-perceived abilities correspond with their actual performance, and whether these perceptions are influenced by audit experience and effectiveness when conducting audits within their domain of specialization. 144 industry-specialized audit seniors and managers reviewed two sets of audit working paper cases.…”

Gender‐diverse audit partners and audit fee premium: The case of mandatory joint audit

“…Niederle and Vesterlund () find that, in an equally competitive environment, men tend to be greatly overconfident, even though the performance of men and women is the same. Owhoso and Weickgenannt () report that audit teams are overconfident at all levels (e.g., audit partner, senior manager, and staff level). An overconfident auditor may underestimate the risk associated with an audit engagement, thus resulting in lower audit fees, whereas a less confident auditor may require extra audit effort, thus resulting in higher audit fees.…”

“…In addition to the female audit fee premium highlighted in previous studies (Hardies, Breesch, & Branson, ; Ittonen et al, ), collaboration between female and male audit partners within the joint auditor pair composition may be different from that between male joint audit partners, which may lead to different fees paid to the auditing firms. Being less overconfident than men, female audit partners may require extra audit effort, thus resulting in higher audit fees (Owhoso & Weickgenannt, ). Further, female auditors are more likely to outperform male auditors in processing inventory evaluation information and are then significantly more efficient at complex analytical procedures than male auditors (O'Donnell & Johnson, ).…”

Auditor's Experience, Professional Commitment, and Knowledge on Financial Audit Performance in Indonesia

“…A common occurrence in bankruptcy and failure is the lack of audit performance to facilitate the disclosure and resolution of accounting problems (Cullinan, 2004;Kurniawti et al, 2019). Owhoso and Weickgenannt (2009) found an increase in audit resource requirements and improvement in auditor quality that could be achieved with more intensive training and a more effective performance appraisal system. Therefore the research hypothesis can be stated as:…”