# Further evidence regarding the effect of KAMs on audit report lag

## TL;DR

This study finds that more key audit matter disclosures in Turkey lead to longer audit report delays, with revenue-related issues having the biggest impact.

## Contribution

The study provides new evidence on how KAM disclosures affect audit timing in an emerging market context like Turkey.

## Key findings

- More key audit matter disclosures increase audit report lag in Turkey.
- Revenue-related KAMs significantly increase audit report lag compared to other types.
- Large audit firms moderate the effect of KAMs on audit report lag.

## Abstract

This paper investigates the effect of the number of key audit matter disclosures (KAMs) on audit report lag, focusing on Turkey, an emerging country. The main findings indicate that the number of KAMs positively influences audit report lag in Turkey. System GMM results reinforce our primary estimations, supporting the robustness of our findings. Notably, auditing by large audit firms moderates the effect of KAM numbers of on audit report lag. We categorized KAMs into four sub-types and found that only revenue-related KAMs significantly increase audit report lag. Additionally, various corporate governance, audit firm, and individual auditor attributes influence the number of KAMs reported.