Accountability to the public is a prerequisite for the democratic process, but one of the main tools of accountability in the field of economic activities is auditing. Knowing how to determine the audit fee is important for both the employer and the auditor, and the only way to ensure that these accreditation services continue to be provided is to ensure economic benefits for the professional auditors. Therefore, it is important to study the process related to the factors affecting the audit fee to provide an appropriate model for determining the audit fee. Therefore, according to the above, the general purpose of this study is to investigate the effect of overconfidence and management ability on audit fee due to the moderating role of corporate governance. In order to achieve this objective, four hypotheses were formulated. Accordingly, in order to test the research hypothesis, in the period of 2013 to 2019, among the companies listed on the Tehran Stock Exchange, 108 companies were selected as a statistical sample according to the conditions of systematic removal to test the research hypothesis, a multivariate regression model based on composite data has been used. The results of this study show that management overconfidence has a positive and significant effect on audit fee; also, the management ability has a negative and significant effect on audit fee; In addition, the moderating role of corporate governance on the relationship between overconfidence and management ability over audit fee was confirmed.
Key Words: Audit Fee, Management Overconfidence, Management Ability, Corporate Governance