The Effect of Time Budget Pressure and Competence on Audit Quality with Audit Supervision as the Moderation Variable in Public Accounting Firms in South Sumatra

Public accounting refers to a business that provides accounting services to other firms. Public accountants provide accounting expertise, auditing, and tax services to their clients. Public accounting firm can be hired to audit the financial statements of a client, but in this case the independence rules restrict the ability of the firm to provide many other services. Time budget pressure occurs when a firm allocates an inadequate amount of hours in which auditors are required to complete specified procedures, while time deadline pressure arises when it is difficult for auditors to complete work by a required deadline. This study aimed to provide empirical evidence about the effect of Time Budget Pressure and Competence on Audit Quality with Audit Supervision as the Moderation Variable in the public accounting firms in South Sumatra. This research was conducted to measure how much benefit given by the variables examined to determine the quality of audits produced by auditors who work in public accounting firms in South Sumatra, especially in Palembang. The population in this study was the auditors working at nine public accounting firms in South Sumatra. 45 respondents was obtained as the sample by probability sampling, using simple random sampling type. This research was conducted through a questionnaire and, the hypothesis testing was conducted with simple regression analysis and interaction regression analysis. The results of this study indicated that the time budget pressure variable gave a positive and significant effect on audit quality, and competence provided a significant positive effect on audit quality. On the other hand, the moderation variable, audit supervision, had a negative and not significant effect on time budget pressure and competence on audit quality.