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Cohen & Sayag PDF
Cohen & Sayag PDF
Correspondence
Aaron Cohen, School of Political Science, Division of Public
Administration, University of Haifa, Haifa, 31905, Israel. Tel: (9724)
8240 041; fax: (9724) 8257 785; email: acohen@poli.haifa.ac.il
doi: 10.1111/j.1835-2561.2010.00092.x
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299
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Data analysis
Correlation analysis was applied first to determine the
interrelationships among the research variables and to
examine the possibility of multicollinearity. Regression
analysis was used to test the other hypotheses. This
regression was performed in three steps. In the first step,
the dichotomous sector variable was regressed on each of
the three effectiveness dimensions. In the second step, the
other independent variables were added to the equations.
Finally, in the third step, cross-products of the sector with
the other independent variables were entered, thereby
testing for the differential effects of the independent
variables across the two sectors (public versus private).
However, rather than entering the interaction terms
simultaneously, step three was repeated five times to
accommodate the separate entry of each term in order to
circumvent the problem of multicollinearity associated
with multiple interaction terms. Fifteen interactions
were tested for each equation.
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Mean
SD
Independent variables
1 Sector (1 = public)
2 Professional proficiency
3 Quality of audit work
4 Organisational independence
5 Career and advancement
6 Top management support
0.69
3.07
3.09
3.37
2.18
2.53
0.46
0.63
0.00
(0.60)
0.49
0.34 0.14
(0.78)
0.40 0.30
0.26 0.35 (0.64)
0.95 0.08
0.02
0.11
0.08
(0.92)
0.76 0.40 0.14
0.23
0.50 0.22 (0.74)
Dependent variables
7 Auditing quality
8 Auditees evaluations
9 Added contribution of IA
2.73
3.06
2.85
0.55 0.18
0.47 0.23
0.57 0.23
0.06
0.10
0.00
0.33
0.21
0.00
0.45
0.44
0.15
0.70 (0.85)
0.58 0.71 (0.93)
0.45 0.52 0.53
0.04
0.18
0.08
(0.77)
N = 108
Auditees evaluations
Added contribution of IA
Step 1
Step 2
Step 1
Step 2
Step 1
1 Sector (1 = public)
2 Professional proficiency
3 Quality of audit work
4 Organisational independence
5 Career and advancement
6 Top management support
0.25
0.06
0.06
0.05
0.12
0.10
0.69
0.20
0.07
0.01
0.00
0.25
0.09
0.47
0.24
0.05(0.04)
4.87
0.55(0.52)
17.33
0.50
18.87
0.04(0.03)
3.75
0.40(0.36)
9.68
0.36
10.42
0.06(0.05)
5.78
R2 (Adjusted)
F
R2
F for R2
Step 2
0.07
0.04
0.10
0.05
0.01
45
0.21(0.15)
3.76
0.15
3.21
N = 108
Findings
Table 1 presents the basic statistics of the variables
and the inter-correlations among them. Results show
acceptable reliabilities of the research variables. The
correlations among the independent variables were
not high and therefore preclude the possibility of
multicollinearity. As for the relationships between the
dependent (auditing effectiveness) and independent
variables, several findings are worth noting. First, there
are very high correlations between perceptions of top
management support and the three dimensions of
auditing effectiveness, providing strong support for
hypothesis 6. No significant correlations were found
between the variables of professional proficiency and
career advancement and auditing effectiveness, thereby
rejecting hypotheses 2 and 5. Hypotheses 3 and 4
were supported by the findings in two out of the
three effectiveness dimensions. Greater quality of the
auditing work and greater organisational independence
were positively related to auditing quality and auditees
evaluations. The correlations were stronger in the case of
organisational independence. Hypothesis 1 also received
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303
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