ANALISIS PERMINTAAN JASA INTERNAL AUDITING DAN EKSTERNAL AUDITING PADA KEPEMILIKAN PERUSAHAAN KELUARGA (FAMILY BUSINESS) ( Studi Empiris Pada Perusahaan Di Jawa Tengah )

Abstract

Audit is needed to assure a company operational in accordance with rules, and the information obtained from financial report is a relevant and trusted to be a decision making. The result of this research is to analyze that the proportion of non-family management, the proportion of non-family representation on the board of directors, firm’s size and the level of debt in a firm’s capital structure positively correlated with demand for internal and external audit. Logistic regression analyses were used to predict discrete outcomes (yes or no for internal audit and yes or no for external audit) from three continuous independent variables in the internal audit model and four continuous variables in the external audit model.The population of this research is all of companies which are included in family business are located on Central Java. The result is that the proportion of non-family management no significant negatively associations with demand for external audit but a significantly and negative with demand for internal audit. The proportion of non-family representation on the board of directors was found to be positively and no significant associated with demand for external audit and no significant and negatively associated with demand for internal audit. But the firm’s size were positively and significant associated with demand for external and internal audit. For the level of debt in a firm’s capital structur was no supported with demand for external audit.