Over the last few decades, a sizeable number of studies have examined the relationship between audit pricing model and corporate governance characteristics in developed economies (O'Sullivan and Diacon, 1994; Short et al., 1999; Peel & Clatworthy, 2001; Clatworthy & Peel, 2006; Yatim et al., 2006). The Cadbury Report (1992) viewed the auditor's report as "one of the corner stones of corporate governance". Peel and Clatworthy (2001) highlights that audit report contribute significantly towards "effective governance of modern corporations".
