• Journal of Industrial Convergence
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• v.21 no.4
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• pp.65-72
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• 2023

This study's purpose is to verify how the periodically designated auditor in the recently implemented periodic auditor designation system affects audit quality. In this study, hypotheses were established by reviewing previous studies, and 980 samples of 2019 and 2020 were selected for KOSPI-listed companies. Dechow & Dichev (2002)'s accrual quality was used as the dependent variable, and the effect of whether or not a company was periodically designated as an auditor and whether or not a Big 4 auditor was selected was empirically analyzed. As a result of the analysis and correlation analysis, a statistically significant difference was confirmed in the quality of the dependent variable accrual and the independent variable designated auditor (PA). However, as a result of the regression analysis model 1, it was found that the designated auditor was not significant, but it was confirmed that there was a significant difference in the control variables. Further analysis confirmed the difference in audit quality according to the Big 4 auditors. This study is significant in that it is a study that uses empirical data to study the effect of audit quality and the selection of regularly designated auditor companies after the introduction in 2019 and 2020. Due to the non-disclosure of government-designated companies, there is a limit that there may be a difference from the selection based on the researcher's published selection criteria.

• The Journal of the Convergence on Culture Technology
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• v.7 no.4
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• pp.479-490
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• 2021

As a part of Korean accounting reforms through the improvement of the accounting and audit related systems, the amendment bill of 'Act on External Audit of Stock Compamies's was passed in the Natinal Assembly plenary session in 2017, the amended act has been enforced except some regulations since the business year on November 1, 2018, and all the amended matters will be applied from the business year of 2024. The reasons for auditor designation in 2019 are 'pre-IPO' 331 companies, 220 periodic designation companies, 197 companies that had operating loss for three consecutive years, 112 companies with issues for administration, 108 companies with excessive debt ratio and 66 companies with no auditors. Regarding the reasons for the increase of auditor designation, 475 companies were increased in accordance with the new designation standard by the amended bill of Act on External Audit of Stock Companies, 114 companies were increased due to the abolition of the considered designation system of companies to be listed, and 90 companies were increased based on the increase of listed companies incorporated to issues for administration. In 2020, 462 companies had periodical designation (434 listed, 28 non-listed), adding 242 companies (110%) over a year. In terms of direct designation, 'pre-IPO' accounted for the most (362 companies), followed by '3 consecutive years of operating loss' (245 companies), then by companies with administration issues (133 companies), and CEO & largest sharholder replacement. Regarding the designation of auditors according to accounting firms in 2020, A group that includes(top 4) accounting firms(Samil, Samjeong, Hanyeong, Anjin) had 526 companies(34.6%), which ia an incease of 72 companies from the previous year(454 companies, 37.1%), but the weight decreased by 2.5%.

• Journal of Digital Convergence
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• v.17 no.9
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• pp.507-516
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• 2019

The purpose of this study is to propose a policy for accounting practice education system to improve the national credibility. The biggest reason why the national credibility is the lowest is that the auditor's free appointment system is the next, and the education on accounting is not done properly. This study is a bibliographical study that examines the previous studies on the improvement of accounting audit and accounting education in Korea, various public hearings, press releases, and government policy data, and summarizes. The way to increase accounting transparency is to improve the audit system and to guarantee accounting practice education. Since the subjects of practical education belong to all areas such as private and government, it is intended to propose the establishment of accounting professional education institution, called (tentatively) 'Accounting Training Institute'. Through this, it is expected that the practical and professional training will improve accounting transparency and contribute to the improvement of national credibility.

• Journal of the Korea Society of Computer and Information
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• v.19 no.12
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• pp.339-348
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• 2014

This study searches an improvement scheme of auditing on international financial environment since enforcing IFRS in order to secure transparency and reliability in corporate accounting and credibility in external audit from 2011 K-IFRS. As improvement schemes for the issue of the audit on K-GAAP are: First, the guarantee of the auditor's qualities of duties and talents about the lack of accountability and awareness and independence of auditor are needed. Secondly, the free acceptance or certified public accountant is adopted. Third, the non-Executive Director shall be granted. Fourth, the external auditor CPA and Auditor's remuneration should be increased. Fifth, the auditor's shares shall be limited. Sixth, the external audit to supervise and the ratio of supervision should increase. Finally, the foreign corporation for the time being limited to increase our competitiveness.

• Journal of Convergence for Information Technology
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• v.11 no.9
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• pp.75-83
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• 2021

This research is to analyze how an introduction of full-time quality control("QC") personnel system in audit firms influences on audit quality and verify how important it is to establish the quality control system for auditing quality. We measure audit quality as the level of discretionary accruals and compare the differences between audit firms with QC and without QC. In addition, we analyze the difference in audit qualities between before and after activating the full-time QC personnel system by comparing audit quality of before 2015 with that of after 2016. The results of this study are summarized as follows. First, the audit quality is higher when audit firms have QC personnel. Second, the audit quality is improved after the introduction of the full-time QC personnel system.

• The Journal of Small Business Innovation
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• v.20 no.3
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• pp.1-17
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• 2017

There is a serious information asymmetry between internal managers and outside investors in the process during IPOs. One mechanism that mitigates this information asymmetry is a high quality auditor. Since prior research document auditors' effect on newly listed firms at the IPO year, what has not yet been revealed in previous studies is the behavior of firms and auditors after listing. In this study, we investigate (i) the firms tendency of contracting with Big N auditors, and (ii) the effect of Big N auditors on accounting quality after the years of IPOs. Using a sample of 7,678 (1,892 firm-years of after IPOs, and 5,786 control firm-years) KOSDAQ observations between 2002 and 2012, we find that the likelihood of contracting with Big N auditor lasts only for two years after IPO compare to that of non-IPO control years. Secondly, we find that the effect of Big N auditors on clients' earnings management lasts for a very short period after IPO. These findings suggest that although prior literature argue that Big N auditors reduce earnings management of their clients, at least the period right after IPO, it is not consistent. Our study contributes to the existing literature in several ways. First, we provide new evidences of firms' auditor selection decisions by investigating years after the listing. In second, as an evidence of accruals reversal, we document decrease in discretionary accruals after IPOs. Third, we find that there is not always a positive relation between Big N auditor and accounting quality by showing the insignificant Big N auditor effect after IPOs. Our results also suggest several implications to IPO related stakeholders. First, to IPO firms, we provide evidences that decisions of hiring auditors affect firms earnings. Also, lead IPO underwriters may consider how these decisions influence future performance. Second, investors may want to use information not only in the preofferings but also after public offerings. Our study insists that auditor hiring decisions affects their own welfare. Finally, accounting standard setters may find these results useful for evaluating how much discretion they should allow corporate managers to hire auditors. In addition, our result casts doubt on auditor designation.

• Journal of the Korean Society of Marine Environment & Safety
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• v.24 no.6
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• pp.717-725
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• 2018

IMO developed VIMSAS for effective application of IMO instruments related to maritime safety and environmental protection and was implemented from 2006 to 2016. Based on this, the purpose and procedures of VIMSAS applied to IMO member states by trial, and IMSAS was enforced from January 1st 2016. IMSAS was implemented to ensure that IMO Member States, such as flag states, coastal states and port states that ratified the IMO Convention, are properly performing their given responsibilities and to ensure the effective implementation of the IMO instruments through the improvement of identified non-conformities. In this study, the auditing contents and procedures were verified based on IMO documents in order to prepare for the IMSAS audit of Republic of Korea scheduled for 2020. For this purpose, this study proposed an update of a directory, development of monitoring system for information reporting required by IMO instruments, designation of relevant experts, preparation of an English version of related national laws, training of IMSAS auditors and establishment of an IMSAS audit response team for audit of IMSAS in 2020 by referring to the results of the VIMSAS for Republic of Korea, major findings of the VIMSAS of other IMO member states, and Consolidated Audit Summary Report (CASR), which was submitted at the 5th IMO III sub-committee.

• 동물약계
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• no.39
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• pp.3-3
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• 1997

[ $\cdot$ ]동물용의약품등 신규 제조업$\cdot$수입자 확인 $\cdot$동물용의약품등 취급규칙 개정고시 $\cdot$주문용배합사료첨가제 품목허가서 접수 $\cdot$가축질병 병성감정 실시기관 지정 $\cdot$가축전염병 발생 정보 $\cdot$제8차 수출촉진협의회 개최 $\cdot$MSDS 데이터 베이스 이용 안내 $\cdot$수출용 동물용의약품 편람 제작$\cdot$판매 $\cdot$감사청구제 시행 안내

• KDI Journal of Economic Policy
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• v.31 no.1
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• pp.71-103
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• 2009

Considering the expenditure size of public institutions centering on public enterprises, about 28% of Korea's GDP in 2007, public institutions have significant influence on the Korean economy. However, still in the new government, there are voices of criticism about the need of constant reform on public enterprises due to their irresponsible management impeding national competitiveness. Especially, political controversy over appointment of executives such as CEOs of public enterprises has caused the distrust of the people. As one of various reform measures for public enterprises, this study analyzes the effect of internal governance structure of public enterprises on their managerial performance, since, regardless of privatization of public enterprises, improving the governance structure of public enterprises is a matter of great importance. There are only a few prior researches focusing on the governance structure and managerial performance of public enterprises compared to those of private enterprises. Most of prior researches studied the relationship between parachuting employment of CEO and managerial performance, and concluded that parachuting produces negative effect on managerial performance. However, different from the results of such researches, recent studies suggest that there is no relationship between employment type of CEOs and managerial performance in public enterprises. This study is distinguished from prior researches in view of following. First, prior researches focused on the relationship between employment type of public enterprises' CEOs and managerial performance. However, in addition to this, this study analyzes the relationship of internal auditors and managerial performance. Second, unlike prior researches studying the relationship between employment type of public corporations' CEOs and managerial performance with an emphasis on parachuting employment, this study researches impact of employment type as well as expertise of CEOs and internal auditors on managerial performance. Third, prior researchers mainly used non-financial indicators from various samples. However, this study eliminated subjectivity of researchers by analyzing public enterprises designated by the government and their financial statements, which were externally audited and inspected. In this study, regression analysis is applied in analyzing the relationship of independence and expertise of public enterprises' CEOs and internal auditors and managerial performance in the same year. Financial information from 2003 to 2007 of 24 public enterprises, which are designated by the government, and their personnel information from the board of directors are used as samples. Independence of CEOs is identified by dividing CEOs into persons from the same public enterprise and persons from other organization, and independence of internal auditors is determined by classifying them into two groups, people from academic field, economic world, and civic groups, and people from political community, government ministries, and military. Also, expertise of CEOs and internal auditors is divided into business expertise and financial expertise. As control variables, this study applied foundation year, asset size, government subsidies as a proportion to corporate earnings, and dummy variables by year. Analysis showed that there is significantly positive relationship between independence and financial expertise of internal auditors and managerial performance. In addition, although business expertise and financial expertise of CEOs were not statistically significant, they have positive relationship with managerial performance. However, unlike a general idea, independence of CEOs is not statistically significant, but it is negatively related to managerial performance. Contrary to general concerns, it seems that the impact of independence of public enterprises' CEOs on managerial performance has slightly decreased. Instead, it explains that expertise of public enterprises' CEOs and internal auditors plays more important role in managerial performance rather than their independence. Meanwhile, there are limitations in this study as follows. First, in contrast to private enterprises, public enterprises simultaneously pursue publicness and entrepreneurship. However, this study focuses on entrepreneurship, excluding considerations on publicness of public enterprises. Second, public enterprises in this study are limited to those in the central government. Accordingly, it should be carefully considered when the result of this study is applied to public enterprises in local governments. Finally, this study excludes factors related to transparency and democracy issues which are raised in appointment process of executives of public enterprises, as it may cause the issue of subjectivity of researchers.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.9 no.1
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• pp.143-153
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• 2008

Recently has there been a great increase of the interests in the excavation of governing institutions and their restoration. There also arise discussions on whether the municipal governments should appoint old governing institutions as the historical spots. In the course of the excavation and restoration of old governing institutions, their practical use becomes a matter of concern. So the reproduction of the past ritual ceremonies and events in the governing institutions attracts considerable attention. But the discovery and the analysis of historical materials are very insufficient to meet the recent increase of such demand. In that point of view, this study aims to analyze the ceremony of Kwanchalsa's(觀察使; a provincial governor) arrival at one's post and the use of governing institutions for it and to examine the Kwanchalsa's route of sulryeok(巡歷) and the ritual ceremonies held in the cities he visited. The Chungcheong-Gamsa(忠淸監司; the governor of Chungcheong-Do) in the 18th century is the subject of this analysis and three local officials' diaries - Chungcheong Gamyeong Ilgi ($\ulcorner$忠淸監營日記$\lrcorner$), Hoseo Gamyeong Ilgi ($\ulcorner$湖西監營日記$\lrcorner$), Geumyeong Ilgi($\ulcorner$錦營日記$\lrcorner$) - are closely investigated for that purpose.