Work

The impact of political connections on audit report lag: does gender diversity matter?

Year: 2025

Type: article

Abstract: This study investigates the impact of political connections on audit report lag (ARL) and whether gender diversity moderates this relationship in Jordan. Drawing on 506 firm-year observations from 51 industrial firms listed on the Amman Stock Exchange from 2009 to 2018, we employ ordinary least squares regression with year and industry fixed effects. The results show that politically connected firms experience significantly longer audit report lags—about 15 days, or nearly 20% of the sample mean (73 days). However, gender diversity has an insignificant association with ARL, and its moderating effect in politically connected firms is statistically insignificant, reflecting the limited representation of women on Jordanian boards. These findings suggest that symbolic female presence is insufficient to mitigate the influence of political ties on audit timeliness. The study contributes novel evidence from an emerging economy and extends research on how political influence and board composition jointly affect audit outcomes.

Source: Cogent Business & Management

DOI: 10.1080/23311975.2025.2604436

Authors: Batool Abdeldayem, Taha Almarayeh, Hala Zaidan, Ahmad Ahmad, Layan Alnsour

Institutions: University of Jordan, LG (United States), LG (South Korea)

Language: English

Topic: Auditing, Earnings Management, Governance

Subfield: Accounting

Field: Business, Management and Accounting

Domain: Social Sciences

SDGs: Peace, justice, and strong institutions, Gender equality

Open Access status: gold

Estimated APC paid: $1,165