mohsen dastghir

Auditing profession faced many lawsuits and also the extent damage of these lawsuits during the last two decades. Adverse consequences of these lawsuits are very severe for audit society and in this position the foundation of it become weaken. Therefore this paper studies the lawsuits against Iranian auditors and it''s relationship with the audit fee. Thus, in this paper by studying literature of auditing, first we identified 11 effective factors on litigation risk of auditors and then according to the data of 100 firms listed in Teheran Stock Exchange, we studied their effects on audit fees for the time period 2009 to 2014. The results indicate that in Tehran Stock Exchange, among 11 factors, only three of them which are effectiveness of the client''s internal control system, the auditor''s independence and ownership concentration have significant effect on the audit fees. These results suggest that the independent auditors don’t pay much attention to the litigation risk and the audit fee is usually based on volume of audit effort and it is not be affected by the litigation risk premium.

Abstract Investors and managers are seeking of stock selection in investment of stocks firms that have optimize of profitability and they use of accounting information as a source of information in selecting of purchase and sale of own shares. If accounting information reported by entities, have quality, it can be affected in decision of investors. Therefore, in this research, we study the effect of accounting information quality on reflecting of information timeliness in stock price. So, to test the hypothesis, 71companies listed in Tehran Stock Exchange in the period 2002 to 2011 was chosen with using the systematic elimination method. Also, we utilized multiple- variables regression and pooling- data to analysis of data. Based on research of Andrew (2011), in this research, we used accruals quality and earnings smoothing to measuring of accounting information quality. Results indicate that there is a positive and significant relationship between accrual quality and earnings smoothing with Reflecting of information timeliness on stock price, but whatever, accounting information quality is higher, this information affects stock prices more quickly. Also, findings indicate that there is a positive (negative) relationship between firm size (corporate governance) and Reflecting of information timeliness on stock price, respectively.