Audit_tenure

Audit period of a company by the firm, starting from 2009

Auditor

Gender

When the auditor’s gender is male, the variable is 1

Auditor_year

The auditor’s working years

Auditor_spec

Auditor’s industry expertise: the sum of the audit fees of listed companies charged by the internal auditor of an industry divided by the audit fees of all companies in the industry. If the ratio of the auditor is greater than the median of the ratio in the industry, the auditor has industry expertise, and the variable is 1

Control

Quick

Quick assets/total assets

Leverage

Total liabilities/total assets

Growth

(Operating revenue of this year − operating revenue of last year)/operating revenue of last year

Bm

Book to market ratio

Recvinv

(Inventory + accounts receivable)/total assets

Otherrec

Other receivables/total assets

Size

Natural logarithm of total assets

Roa

Net profit/total assets

Cfo

Net cash flow from operating activities/total assets

Audittype

If the standard has no reservations, take 1; otherwise, take 0

Age

Years of listing

Loss

If the net profit is negative, take 1; otherwise, take 0

Industry

Industry code of China Securities Regulatory Commission 2012

Year

Natural year