What question did this study set out to answer?

This research explores the reasons behind auditor lowball pricing and the effects of cost underestimation.

A New Examination of Auditor "Low Ball" Pricing: Theoretical Model and Experimental Evidence.

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Theoretical model investigates factors affecting lowball pricing in auditor services, suggesting economic implications.

This research explores the reasons behind auditor lowball pricing and the effects of cost underestimation.
Development of a theoretical model regarding auditor pricing practices.
Conduct of experimental investigations to gather evidence on lowball pricing.
Analysis of factors influencing the decision of firms to change auditors.
Identified a relationship between excessive lowballing and cost underestimation.
Revealed that disagreements over accounting principles can lead firms to switch auditors.
Highlighted economic rationales that underpin lowballing practices in audit services.

Bryan K. Church (1994) studied this question.

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