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作者：Asare, Stephen Kwaku; Wright, Arnold
作者单位：State University System of Florida; University of Florida; Northeastern University
摘要：We develop and test a model that links internal control over financial reporting (ICOFR) disclosures to users' confidence in the standard audit report (SAR) on the financial statements. The model suggests that users' confidence in the SAR is determined by the consistency of the message conveyed by the two audit reports. Based on this model, we hypothesize that users' confidence in the SAR is lower in the presence of an entity-level material weakness compared to an account-specific material wea...
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作者：Zerni, Mikko
作者单位：University of Vaasa
摘要：Utilizing a data set on the client portfolios of the Big 4 audit partners in Sweden, this study examines auditor specialization and pricing at the individual partner level. Consistent with the view that there are returns on investing in specialization, the analysis of audit fees indicates that both audit partner industry specialization and specialization in large public companies are recognized and valued by financial statement users and/or by corporate insiders, resulting in higher fees withi...
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作者：Neu, Dean
作者单位：York University - Canada
摘要：Little is known about how accounting and the employment of workers, both legal and illegal, interact in the modern market economy. Starting from the assumption that accounting-informed institutional regulations both organize and come to define particular forms of economic activity, the study first documents these regulations in one developed economy. The study then examines the strategies used by employers and workers without documents to work within and around these regulations. The study sho...
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作者：Chen, Clara Xiaoling; Lu, Hai; Sougiannis, Theodore
作者单位：University of Illinois System; University of Illinois Urbana-Champaign; University of Toronto
摘要：We examine whether the agency problem is an important determinant for the selling, general, and administrative (SG& A) cost asymmetry or cost stickiness phenomenon and whether strong corporate governance mitigates the agency problem in this case. Prior studies have documented the asymmetrical behavior of SG& A costs (i. e., SG& A costs increase more when activity rises than they decrease when activity falls) and have explained this phenomenon primarily with economic factors. Using data for S& ...
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作者：Beneish, Messod D.; Press, Eric; Vargus, Mark E.
作者单位：Indiana University System; Indiana University Bloomington; Pennsylvania Commonwealth System of Higher Education (PCSHE); Temple University; Drexel University
摘要：This paper shows that the threat of litigation impacts managers' accounting and stock-trading decisions in periods preceding technical default. We analyze managers' pre-default accrual strategies separately and jointly with their pre-default insider trading activity in a sample of 462 firms that experienced technical default in the period 1983-1997. We find that pre-default abnormal insider selling provides incentives for upward earnings management independent of debt contracts. Our evidence t...
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作者：Rothenberg, Naomi R.
摘要：This paper links the quality (i.e., noise and bias) of productivity information and of performance measures to the choice of whether or not production should occur in teams. Agents have private access to a predecision, imprecise productivity signal and agents' performance is measured with both error and bias. With a private, perfect productivity signal, agents earn informational rents, and team production is more costly because teams are more productive and thus earn more rents than agents who...
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作者：Firth, Michael; Mo, Phyllis L. L.; Wong, Raymond M. K.
作者单位：Lingnan University; City University of Hong Kong
摘要：This study uses a unique institutional setting in China to investigate empirically the association between the organizational form of CPA firms (unlimited liability versus limited liability) and the reporting conservatism of auditors. Based on a sample of 5,007 audits of Chinese listed companies from the period 2000-2004, we find that auditors in unlimited liability partnership firms are more likely to issue modified audit opinions than are auditors in limited liability CPA firms. This auditor...
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作者：Jansen, Ivo Ph.; Ramnath, Sundaresh; Yohn, Teri Lombardi
作者单位：Rutgers University System; Rutgers University Camden; University of Miami; Indiana University System; Indiana University Bloomington
摘要：We propose and test a new diagnostic of earnings management that is based on contemporaneous, directionally opposite changes in two fundamental accounting ratios: asset turnover (ATO) and profit margin (PM). The logic for this diagnostic follows from the articulation of the income statement and balance sheet, which under fairly general conditions forces ATO and PM to move in opposite directions when firms manage earnings. We therefore hypothesize that contemporaneous increases in PM and decrea...
