| Variables | Measurement | Source | Apriori Sign |
| Audit Quality | Modified Jones Discretionary Accruals | Wassiuzaman, and Salleh, (2016) |
|
| Auditors’ Opinion | Audit Opinion in Dummy (1,0) is computed as “1” for Companies received qualified opinion statement or modified it going concern opinion on the audit report and “0” otherwise | Wassiuzaman, and Salleh, (2016) | + |
| Joint Audit | Joint Audit in Dummy (1, 0) is computed as “1” for Companies that use more than one external auditor in a particular year and “0” otherwise | Wassiuzaman, and Salleh, (2016) | - |
| Auditors’ Fee | Auditor’s fee is the amount paid to external auditors divided by revenue. | Wassiuzaman, and Salleh, (2016) | + |
| Auditors’ Tenure | Auditors Tenure in Dummy (1,0) is computed as “1” for Companies that engage external auditor for only 3 years and “0” for firms that engage external auditors for less or more than 3 years | Wassiuzaman, and Salleh, (2016) | - |
| CaSH FLOW OPERATIONS | Computed as Net cash flow from operations divided by Total asset | | - |