Audit tenure and Accounting information quality

The objective of this study is to examine the association between the length of client-auditor relationship and accounting information quality. Auditor tenure and conservatism were used to measure the length of client-auditor relationship and accounting information quality, respectively. The other aspect of auditors independence is their apparent independence that is the result of market active investor's belief in them.Basu (1997), Ball and shivakumar (2005) and Ball, Kothari & Robin,s (2000) models were used to measure conservatism. The statistical sample incuded 131 listed companies on Tehran Stock Exchange (TSE), from fiscial year 2001 to 2010. The findings show that based on Ball, Kothari & Robin,s model, the longer length of client-auditor relationship is associated with the higher conservatism. On the other hand, based on Easton and Harris model, the information content of higher auditor tenure is more than lower auditor tenure.