-
作者：Lisic, Ling Lei; Myers, Linda A.; Pawlewicz, Robert; Seidel, Timothy A.
作者单位：Virginia Polytechnic Institute & State University; University of Tennessee System; University of Tennessee Knoxville; George Mason University; Brigham Young University
摘要：In recent years, public accounting firms have experienced a steady increase in the proportion of their revenues generated from consulting services. Although growth in consulting revenue following the Sarbanes-Oxley Act (SOX) has been generated primarily from services provided to nonaudit clients, regulators have expressed concerns about the potential implications of this increase for audit quality. In contrast, accounting firms assert that the expertise developed by their consulting profession...
-
作者：Commerford, Benjamin P.; Hermanson, Dana R.; Houston, Richard W.; Peters, Michael F.
作者单位：University of Kentucky; University System of Georgia; Kennesaw State University; University of Alabama System; University of Alabama Tuscaloosa; Villanova University
摘要：Differentiating real earnings management (REM) from normal business decisions poses a unique challenge for auditors, researchers, and investors. The ambiguity associated with REM, and the fact that REM does not violate GAAP, may explain why its use is on the rise. While some assert that auditors are not, and should not be, concerned with REM, recent research suggests that REM may influence some auditor judgments. Using Correspondent Inference Theory (CIT) as our theoretical framework, we exten...
-
作者：Dekeyser, Simon; Gaeremynck, Ann; Willekens, Marleen
作者单位：KU Leuven; BI Norwegian Business School
摘要：Using a proprietary data set consisting of all private firm audit engagements in 2000 from one Big 4 firm in Belgium, we investigate (i) whether audit office industry scale is associated with a reduction of total, partner, and staff audit hours and thus with efficiency gains triggered by organizational learning from servicing more clients in an industry and (ii) whether the extent of efficiency pass-on from the auditor to its clients depends on the audit firm's market power. We find that audit...
-
作者：Kabureck, Gary
-
作者：Cade, Nicole L.; Koonce, Lisa; Mendoza, Kim I.
作者单位：University of Texas System; University of Texas Austin; University of Illinois System; University of Illinois Urbana-Champaign
摘要：In this paper, we investigate whether the current references to probability in standard setters' conceptual definitions of assets and liabilities cause individuals to believe that the probability of a future transfer of economic benefits must be above some meaningful threshold for an asset or a liability to exist-a belief that is contrary to standard setters' intent. Results of multiple experiments indicate that the majority of individuals do use a high probability threshold to determine asset...
-
作者：Cheng, Shijun; Felix, Robert; Indjejikian, Raffi
作者单位：Shanghai Jiao Tong University; University System of Maryland; University of Maryland College Park; University System of Maryland; University of Baltimore; University of Michigan System; University of Michigan
摘要：We find that firms are less likely to report an internal control material weakness (as mandated by the Sarbanes-Oxley Act) in a given year if one of their audit committee members is concurrently on the board of a firm that disclosed a material weakness within the prior three years. We find a similar spillover effect for financial restatement disclosures. The spillover from material weakness disclosures is evident only if a shared director has more experience with the disclosing firm or can cha...
-
作者：Arnold, Markus C.; Gillenkirch, Robert M.; Hannan, R. Lynn
作者单位：University of Bern; University Osnabruck; Tulane University
摘要：This study investigates whether environmental risk affects the efficiency of negotiated transfer prices. We analyze a setting where the buyer faces environmental risk but the seller does not. From the risk-neutral firm's perspective, the transfer should be made in our setting because the expected value of the buyer's profit is greater than the certain opportunity cost of the seller from the transfer. We develop hypotheses to predict that, as environmental risk increases, it becomes more diffic...
-
作者：Kim, Chansog (Francis); Wang, Ke; Zhang, Liandong
作者单位：State University of New York (SUNY) System; Stony Brook University; University of Alberta; Singapore Management University
摘要：This study shows that less readable 10-K reports are associated with higher stock price crash risk. The results are consistent with the argument that managers can successfully hide adverse information by writing complex financial reports, which leads to stock price crashes when the hidden bad news accumulates and reaches a tipping point. Cross-sectional analyses show that the effect of financial reporting complexity on crash risk is more pronounced for firms with persistent negative earnings n...
-
作者：Westermann, Kimberly D.; Cohen, Jeffrey; Trompeter, Greg
作者单位：California State University System; California Polytechnic State University San Luis Obispo; Boston College; State University System of Florida; University of Central Florida
摘要：The objective of our article is to obtain a better understanding of how auditors anticipate the potential for PCAOB inspection, experience the inspection, cope with the consequences of the inspection, and understand the PCAOB's influence within the context of professionalism. We use a qualitative approach that uses both surveys (55) and interviews (20) of auditors (of varying rank and firm) across a five-year period (2012-2017). Respondents suggest that PCAOB inspectors are powerful, represent...
-
作者：Ahmed, Anwer S.; Christensen, Brant E.; Olson, Adam J.; Yust, Christopher G.
作者单位：Texas A&M University System; Texas A&M University College Station; University of Oklahoma System; University of Oklahoma - Norman; University System of Ohio; University of Cincinnati
摘要：We investigate the effect of executives and directors with prior banking crisis experience on bank outcomes around the global financial crisis (GFC). Executives and directors with previous experience leading banks through a bank crisis may have been uniquely able to understand the risks, recognize the warnings signs early, and thus respond more effectively to the GFC. Controlling for other executive, director, and bank-level characteristics, we examine whether bank performance, risk taking, an...
