The purpose of this thesis is to examine the impact of the audit expectation gap on customer satisfaction with auditor’s advice and pricing in relation with the danish covid-19 Compensation Scheme: Compensation for fixed costs.
In order to apply for the compensation scheme for fixed costs, the authorities in Denmark have required companies to provide their application with a statement of auditors. A lot of companies have This has led to criticism in the press, from industry associations and the Minister of Trade and Industry.
In order to investigate whether the expectation gap has been one of the reasons for the criticism, theory regarding the expectation gap from Bent Warming-Rasmussen and Brenda Porter has been included. Throughout their work in the field, both researchers have added knowledge that can help provide an answer to the problem in question.
In addition, it has been found important to analyze which work tasks the client and auditor must go through in order to be able to submit the statement. This because the scope of the auditor's work tasks in the eyes of the public is assumed to be less than what the work actually constitutes.
Finally, a satisfaction survey has been included among some of the audit clients who have received advice and audit services in the process. This showed that 72 per cent. were satisfied with the auditor's advice, and that 36 per cent. were dissatisfied with the auditor's pricing. It is considered to be positive that 72 per cent. have been satisfied with the advice, but problematic that 36 per cent. have been dissatisfied with the price.
The conclusion of this thesis is that the gap in expectations has undoubtedly had an effect on how the public has reacted to auditor pricing. But some criticism may also stem from the fact that companies have been under enormous financial pressure and have not wanted additional costs for an auditor, to an application that does not necessarily lead to compensation.