| The main objective of this study is to find out the usefulness of financial statements which issued by the entity with going concern issue. Such usefulness exists when market responds, through changes in stock price, toward the published financial information, promptly and appropriately. The more responsive the market, the more usefulness the financial information and at that level the financial statements considered has a relevant "information content"for its users. Several previous studies proved the existence of close relation between the issuance of going concern opinion (OGC) and long audit lag (AL) period. Other studies more focused on factors that affecting AL. There were not many studies that discuss on the effect of AL toward market respond. Therefore, the author evolves additional hypothesis pertinent to how the ability of OGC and AL in moderating the relationship between income information and market respond. This study empirically proves that income information issued by entities which have going concern issue positively respond by the market. The OGC also enable to perfect-moderating market respond toward income information in negative direction. In other words the existence of OGC shall subtract the effect of positive signal and reversely shall augment or strengthen the effect of bad signal of income information toward market respond. However this study is unable to prove the ability of AL to moderating the effect of published income information toward market respond. This study also show that despite experience going concern issue and obtain OGC, commonly entities in Indonesia stock exchange still submit their financial statements timely, therefore AL is not a relevant issue for the market players. |