Analysis of Key Audit Matters Disclosures in Financial Reporting

The aim of this research is to explore the disclosure of Key Audit Matters in Indonesia, which was adopted for the first time in 2022. This research reports the main audit matters published in 806 audit reports of companies listed on the Indonesia Stock Exchange in 2022. 2022. This research is the first research in terms of analyzing the main audit matters by public companies in Indonesia. The methods used in this research are qualitative and quantitative methods. After descriptive analysis, this research uses the Mann-Whitney test carried out in R software to determine whether there is a difference in the number of KAMs disclosed between Big-4 auditors and non-Big-4 auditors. The results of the analysis show that the most common key audit disclosures relate to the allowance for doubtful accounts, revenue, inventory valuation, fixed assets (including depreciation), and property valuation. This research also found differences between Big-4 and non-Big-4 auditors regarding the average number of key audit matters disclosed.