Reactions of the Spanish Capital Market to Qualified Audit Reports

Posted: 5 Oct 2004

Abstract

Since mandatory auditing of financial statements was first established in Spain, very few studies have been conducted to test the information content of audit reports in the Spanish capital market. The aim of this study is, then, to test empirically whether there is a relationship between audit qualifications and stock prices in the context of the Spanish market. We have used the event study methodology for this purpose. Our findings show that qualified audit reports do not have information value for investors.

Keywords: Capital market, event studies, information content, audit report

JEL Classification: M41, M49, G12, M49, M47

Suggested Citation

Garcia Benau, Maria Antonia and Pucheta Martínez, María Consuelo and Vico Martinez, Antonio, Reactions of the Spanish Capital Market to Qualified Audit Reports. Available at SSRN: https://ssrn.com/abstract=599804

Maria Antonia Garcia Benau

University of Valencia ( email )

E-46022 Valencia, Valencia E-46022
Spain

María Consuelo Pucheta Martínez (Contact Author)

Universitat Jaume I ( email )

Campus del Riu Sec
E-12071 Castello de la Plana, Castellón de la Plana 12071
Spain

Antonio Vico Martinez

Universitat Jaume I ( email )

Campus del Riu Sec
E-12071 Castello de la Plana, Castellón de la Plana 12071
Spain

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