Effect of Corporate Ownership Type on the Relationship between Earnings Management and Audit Fees in Listed Companies in Tehran Stock Exchange

This study aims to investigate Effect of corporate ownership type on the relationship between earnings management and audit fees in listed companies in Tehran Stock Exchange. The Study lasted from, 2004-2014, and 99 companies have been chosen. To analyze data Panel (Pooled), the multiple regression models were used in EViews software. Independent variables used in this study consist of earnings management based on modified Jones Indexes, Kothari and Kaznyk. The dependent variable of this study, the audit fees. In this study, the variables controlling the rate of growth, investment opportunities, firm size and financial leverage and moderating variable type of corporate ownership (Dummy) was also used. The results show that different measures of earnings management (discretionary accruals) on audit fees Company are effective. However, in private firms with majority ownership, despite the high level of earnings management based on different criteria, the audit cost is significantly low. Also, the effect of firm size on audit fees is positive and the significant impact of the investment opportunities and ownership of the company's audit fees, is negative and significant.