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作者：Chen, Qi; Jiang, Xu; Zhang, Yun
作者单位：Duke University; George Washington University
摘要：We develop a model to evaluate the costs and benefits of disclosing information about audit quality. Specifically, we examine whether audit quality disclosure affects auditors' effort and investors' investment efficiency. In our setting, an auditor exerts unobservable effort to influence audit quality and is motivated by liability in the event of audit failure. The usefulness of audited financial reports for investors depends on both the quality of the underlying financial reporting (e.g., as ...
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作者：Beyer, Anne; Guttman, Ilan; Marinovic, Ivan
作者单位：Stanford University; New York University
摘要：We study a model of earnings management and provide predictions about the time-series properties of earnings quality and reporting bias. We estimate the model to empirically separate two components of investor uncertainty: fundamental economic uncertainty, and information asymmetry between the manager and investors due to reporting noise. We find that (1) the null hypothesis of zero reporting bias is rejected; (2) the ratio of the variance of the noise introduced by the reporting process to th...
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作者：Khan, Urooj; Li, Xinlei; Williams, Christopher D.; Wittenberg-Moerman, Regina
作者单位：Columbia University; Hong Kong University of Science & Technology; University of Michigan System; University of Michigan; University of Southern California
摘要：We examine how personal lending relationships between lenders and managers are affected by information and accounting environments of borrowing firms. We address this question by exploring whether, following managerial turnover, lenders migrate with the manager from the firm where a relationship developed (origin firm) to the manager's new firm (destination firm). We find that the opacity of the external information environment of the destination firm significantly increases the probability of...
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作者：Brown, Timothy; Fanning, Kirsten
作者单位：University of Illinois System; University of Illinois Urbana-Champaign
摘要：Internal auditors frequently provide advice to managers as important input for accounting decisions. Recent practitioner guides have touted the merits of a participative or coach'' approach relative to a traditional police officer'' approach to the internal audit role. We conduct two experiments that test how managers respond to advice from an internal auditor using these different approaches. Results across both experiments suggest that when an internal auditor provides a professional favor (...
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作者：Bozanic, Zahn; Choudhary, Preeti; Merkley, Kenneth J.
作者单位：State University System of Florida; Florida State University; University of Arizona; Indiana University System; Indiana University Bloomington
摘要：We examine whether securities lawyers involved in SEC comment letter inquiries act as client advocates by resisting disclosure changes or as gatekeepers by encouraging disclosure transparency. Consistent with an advocacy role, we find that securities lawyers' involvement in SEC comment letters is associated with resisting disclosure inquiries through redacting information from filings and issuing fewer amendments to previous disclosures. Our evidence also supports the view that the role of sec...
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作者：Li, Meng
作者单位：University of Texas System; University of Texas Dallas
摘要：This paper studies, both theoretically and empirically, how subordinates to CEOs can discipline the CEOs' self-serving activities. I predict that because CEOs' self-serving activities hurt the subordinates through the subordinates' stakes in the firms, the subordinates who observe these activities will take actions that negatively affect the CEOs, and that in anticipation of such reactions by subordinates, the CEOs will limit their own misbehaviors. This disciplinary mechanism will become more...
