Table 4 Robustness Tests (A). \(Distracte{d\_Auditors}_{ijt}\): Non-accounting-related lawsuits

Constant

0.003**

(1.444)

0.002**

(1.692)

0.001

(0.581)

0.000

(0.580)

Main variables

 \({\text{Distracte}}{{\text{d}}\_{\text{Auditors}}}_{{\text{ijt}}}\)

0.023

(1.704)

0.023

(1.438)

0.019

(1.274)

0.018

(0.905)

 \({{\text{Skept}}}_{{\text{ijt}}}\)

–

0.020**

(0.781)

–

0.020

(0.378)

 \({\text{Distracte}}{{\text{d}}\_{\text{Auditors}}}_{{\text{ijt}}}*{{\text{Skept}}}_{{\text{ijt}}}\)

–

0.021*

(1.927)

–

0.020*

(1.788)

Control variables_A

 \({{\text{BM}}}_{{\text{ijt}}}\)

0.002

(0.031)

0.003

(0.011)

0.000

(0.071)

0.001

(0.075)

 \({{\text{Client}}\_{\text{Size}}}_{{\text{ijt}}}\)

0.015***

(1.330)

0.029*

(1.661)

0.003

(.0.852)

0.011**

(1.797)

 \({{\text{Loss}}}_{{\text{ijt}}}\)

−0.003

(−0.912)

−0.004

(−0.931)

−0.000

(−0.163)

−0.000

(−0.077)

 \({{\text{Sale}}\_{\text{Growth}}}_{{\text{ijt}}}\)

0.002

(0.905)

0.003

(1.006)

0.001

(0.113)

0.001

(0.158)

 \({{\text{PPE}}\_{\text{Growth}}}_{{\text{ijt}}}\)

−0.000

(−0.193)

−0.001

(−0.375)

−0.000

(−0.108)

−0.001

(−0.209)

 \({{\text{Lev}}}_{{\text{ijt}}}\)

0.002

(0.355)

0.001

(1.053)

0.002**

(1.820)

0.002

(1.450)

 \({{\text{Liq}}}_{{\text{ijt}}}\)

0.001

(1.130)

0.000

(1.059)

0.000

(0.540)

0.000

(0.651)

 \({{\text{ROA}}}_{{\text{ijt}}}\)

−0.011

(−0.560)

−0.010

(−0.470)

−0.037

(−1.012)

−0.035

(−1.002)

 \({{\text{OCF}}}_{{\text{ijt}}}\)

0.005

(0.164)

0.002

(0.028)

0.014

(0.911)

0.007

(0.757)

 \({{\text{M}}\&{\text{A}}}_{{\text{ijt}}}\)

0.000

(0.306)

0.000

(0.139)

0.009*

(1.377)

0.008**

(0.990)

 \({{\text{Z}}\_{\text{score}}}_{{\text{ijt}}}\)

−0.001

(−0.759)

−0.000

(−0.889)

−0.001

(−0.389)

−0.000

(−0.411)

Control variables_B

 \({{\text{Audit}}\_{\text{Size}}}_{{\text{ijt}}}\)

−0.007

(−0.978)

−0.009

(−1.280)

−0.011

(−0.968)

−0.015

(−1.207)

 \({{\text{No}}\_{\text{Clients}}}_{{\text{ijt}}}\)

−0.001

(−0.632)

−0.000

(−0.750)

−0.001

(−0.410)

−0.000

(−0.601)

 \({{\text{Busy}}\_{\text{Season}}}_{{\text{ijt}}}\)

0.051

(1.567)

0.051***

(1.349)

0.035

(1.359)

0.034

(1.221)

 \({{\text{Audit}}\_{\text{Tenure}}}_{{\text{ijt}}}\)

−0.012

(−0.801)

−0.032**

(−1.633)

−0.000

(−0.201)

−0.000

(−0.506)

 \({{\text{Audit}}\_{\text{Lag}}}_{{\text{ijt}}}\)

−0.028

(−0.847)

−0.030

(−0.860)

−0.001

(−0.203)

−0.000

(−0.132)

 \({{\text{Big}}\_4}_{{\text{ijt}}}\)

−0.043

(−1.509)

−0.026

(−1.002)

−0.034

(−1.497)

−0.034

(−1.401)

N

742

adjusted \({{\text{R}}}^{2}\)

0.046

0.126

0.527

0.533