KM Theory Applied in Accounting and Statistics Education: Case on the Cost of Debt
Bin Li 1  
Fangfang Han 1
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School of Economics and Management, Beijing University of Chemical Technology No.15 Bei-san-huan Dong-lu, Chaoyang District, Beijing 100029, P.R. China
Bin Li   

School of Economics and Management, Beijing University of Chemical Technology, P.R. China
Online publish date: 2017-07-31
Publish date: 2017-07-31
EURASIA J. Math., Sci Tech. Ed 2017;13(8):4847–4856
This study examines the impact of audit opinions on the cost of debt based on accounting education and knowledge management theory. The empirical results of whole sample regression show that audit opinions are negatively correlated with the cost of debt and financial marketization weakens the effect of audit opinions on debt pricing. The subsample regression results of audit opinions indicate that financial marketization is negatively correlated with the cost of debt only in companies with modified audit opinions. This implies that audit opinions play a more important role in debt pricing compared to the financial marketization of companies’ localities.
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