Research aim: This paper critically evaluates the qualitative characteristics of accounting information that can be drawn from the Financial Accounting Standard Board (FASB)/International Accounting Standard Board (IASB) Conceptual Framework and Value-Relevance studies that are motivated by users of accounting information. Design/Methodology/Approach: This study reviews the value-relevance literature and Statement of Financial Accounting Concepts (SFAC) No. 8, which was issued by FASB in September 2010 in order to make a distinction between them. Research findings: The value-relevance literature, which reported the associations between accounting numbers and common equity valuations, has limited implications or inferences for accounting information users. Although some scholars believe that the value relevance model indicates that accounting information is relevant and reliable (faithfully represented), it is, however, difficult to attribute the cause of the lack of value relevance to the relevance or the reliability aspects as the value relevance model does not distinguish between relevance and reliability. Theoretical contribution/Originality: This study provides some recommendations and a framework for future academic research related to the qualitative characteristics of accounting information (especially earnings) and value-relevance models. Practitioner/Policy implications: According to the conceptual framework defined by the FASB and IASB, relevance and faithful representation, as fundamental qualitative characteristics, are required for the provision of the usefulness of accounting information, and should be taken into consideration by scholars and standard setters in the accounting area. Research limitation/Implication: This paper does not have a direct impact on practice. But, if the standard setters and researchers apply the concepts have been defined by this study in their accounting standards and their research, respectively, the results of those standards or research can be finally useful for the practice, especially for the investors. Keywords: Accounting Information, FASB/IASB Conceptual Framework, Value-Relevance, Relevance, Faithful Representation Type of manuscripts: Literature review JEL Classification: M480

Purpose: This study aims to investigate the association between Muslim individuals’ portfolio allocation choice and Islamic religiosity (levels and dimensions), controlling for risk tolerance and sociodemographic factors.Design/methodology/approach: The study uses primary data collected via survey questionnaires from a sample of 751 Muslim working individuals in Kuala Lumpur, Malaysia. Owing to the ordinal nature of the dependent variable, which reflects the levels of proportions of risky assets in portfolios, the data were analyzed using an ordered probit regression model.Findings: The findings reveal that Islamic religiosity levels in general were insignificantly related to portfolio allocation, but that two dimensions of religiosity (virtue and obligation) significantly impact the allocations of risky assets in the portfolio. The higher the level of virtue, the lower the propensity to allocate risky assets into the portfolio. On the contrary, the higher the level of obligation, the higher the propensity to allocate risky assets in the portfolio. Meanwhile, individuals with higher risk tolerance, income and education levels show greater propensity to allocate risky assets in the portfolio.Research limitations/implications: The sample is restricted to Muslims in Kuala Lumpur; hence, the findings are not easily generalized to Muslim investors in general. Findings may differ between Muslims across the world, so future research needs to expand from a country specific to an international analysis. In addition, future studies could include other determinants of portfolio allocation, such as financial literacy.Practical implications: The findings of this study may assist financial planners and policymakers to better understand the drivers of portfolio allocation among their Muslim clients.Originality/value: While other studies have tended to focus on the impact of religiosity on the holdings of specific financial assets, such as Islamic bank accounts or Takaful, the present study explores the effect of Islamic religiosity dimensions on the allocations of risky assets in the portfolio. The study also develops an ordinal measure of portfolio allocation and makes a methodological contribution by using an ordered probit regression analysis.

Purpose: This study provides insights into the meanings given to audit quality (AQ) by audit partners responsible for delivering audit services. It explores the influence of contextual factors in the auditing setting on constructing such meanings and its representations.Design/methodology/approach: Drawing on a symbolic-interactionist framework, this study takes an interpretive approach, employing semi-structured interviews with audit partners from the United Kingdom (UK).Findings: Three primary meanings of AQ are identified. First, in contradiction to that offered by “mainstream” AQ research, audit partners in this study predominantly regarded the meaning of AQ as an economic concept in the context of the “business” of auditing, delivering the service quality (e.g. value-added auditing and value-for-money) that is expected by their audit clients. Second, the audit partners also espouse the meaning of AQ to be “fit for purpose” audit documentation and adherence to quality control that meets the standards of compliance demanded by independent audit inspections. Third, and similar to the classic convention of AQ, audit partners consider “inputs” to AQ, attributes related to individual auditors (e.g. qualifications, experience and training) as one of the key AQ meanings. A range of stimuli underlies AQ meaning construction, including the audit firm's commercial interests, legitimacy, image management and social identity resulting from audit partners' interactions with audit clients, regulators, and their own self-reflexivity. Interestingly, this study identifies a considerable potential conflict between the meanings assigned to AQ, which suggests that auditors are struggling to strike a balance between the competing demands of those meanings.Research limitations/implications: This exploratory study addresses only the audit partners' perceptions concerning the meaning of AQ. Findings of this study are relevant to auditors and other parties, such as regulators, in addressing competing dimensions of AQ and potential choices involving conduct and content in any individual audit engagement.Originality/value: The study complements existing research into AQ by exposing the rationales and potential behaviours that underlie commitments to quality by those involved in commissioning audit engagements. It also adds detailed evidence of how contextual factors in the auditing environment interact with auditors' notions of AQ.

Research aim: This paper reviews the research literature and publications relevant to audit quality. The authors identify three main perspectives (academic research, professional and regulatory) related to audit quality that could add to our understanding of the concepts and factors affecting audit quality in practice. For each reviewed perspective, the authors present and summarise the key findings. Design/ Methodology/ Approach: This study reviews a total of 84 empirical studies and publications ranging from year 1980 to year 2016. Further, this paper links academic research to publications on the topic issued by professional practitioners and regulators. Research findings: Based on the analysis, the review reveals three main findings. First, the review identifies multifaceted concepts of audit quality and the various academic research approaches that have been carried out to assess audit quality. Second, audit quality in practice is not only affected by various internal factors within the accounting firms but is also influenced by various contextual factors in which the accounting firms operate. Third, much of the prior research employs an archival approach that potentially provides limited information about the effect of the contextual setting in actual audit practices, which is important to enhance our understanding of audit quality. Theoretical contribution/ Originality: It provides some guidance for future academic research related to audit quality. Practitioner/ Policy implication: The research and reports reviewed in this paper will be useful to researchers, audit practitioners, policymakers and others who are concerned with the quality of audit services to understand the various conceptions of audit quality and the important factors affecting audit quality in practice. Research limitation/ Implications: The analysis of the audit quality from the three main perspectives provided in this study paves the way for embarking on promising and relevant future research, which is needed to further substantiate and enrich the academic understanding on concepts and factors affecting audit quality. More research is needed to understand this issue better and to move towards a policy resolution. Keywords: Audit Quality, Auditing, Literature Review, Research Opportunities Type of manuscript: Literature review JEL Classification: M41, M42, M48, L84

Purpose This study examines the perceptions of interested stakeholders on the factors affecting the use of data analytics (DA) in financial statement audits. Response letters submitted by stakeholders of the auditing services to the International Auditing and Assurance Standards Board's (IAASB) Data Analytics Working Group (DAWG) served as sources for analysis. Design/methodology/approach The modified information technology audit model was used as a framework to perform a direct content analysis of all the 50 response letters submitted to the DAWG. Findings The analysis showed that a range of attributes, such as the usefulness of DA in auditing, authoritative guidance (auditing standards), data reliability and quality, auditors' skills, clients' factors and costs, were the factors perceived by stakeholders to be affecting the use of DA in external auditing. Research limitations/implications This study is subjected to the limitations inherent to all content analysis studies. Nonetheless, the findings offer additional insights about potential factors affecting the adoption of DA in audit practices. Originality/value The data noted in the published statements highlighted the perceptions of a range of stakeholders with regards to the factors affecting the use of DA in auditing.