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作者：Frank, Michele L.; Hoffman, Vicky B.
作者单位：Pennsylvania Commonwealth System of Higher Education (PCSHE); University of Pittsburgh
摘要：Prior research suggests that audit seniors' judgments are sometimes biased by their affect toward (i.e., feeling of personally liking or disliking) client personnel. We examine how experienced audit reviewers respond when reviewing an audit preparer's judgment that appears to be biased by the preparer's affect toward a client's controller. In our experiment, reviewers are provided with a preparer's judgment that appears inconsistent with the audit workpapers. We then examine the effect of prov...
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作者：Rothenberg, Naomi R.
作者单位：University of Alberta
摘要：This paper studies whether dissemination of private, pre-decision signals about productivity is valuable to the principal when agents work sequentially and observe each other's effort. The benefit of dissemination is that when productivity states are correlated, each agent's signal is useful as a performance measure for the other agent and for making efficient production choices. The more informative the signal is about agents' efforts, the greater the benefit of the additional performance mea...
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作者：Waymire, Gregory B.
作者单位：Emory University
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作者：Ege, Matthew S.
作者单位：State University System of Florida; University of Florida
摘要：Standard-setters believe high-quality internal audit functions (IAFs) serve as a key resource to audit committees for monitoring senior management. However, regulators do not enforce IAF quality or require disclosures relating to IAF quality, which is in stark contrast to regulatory requirements placed on boards, audit committees, and external auditors. Using proprietary data, I find that a composite measure of IAF quality is negatively associated with the likelihood of management misconduct e...
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作者：Kubick, Thomas R.; Lynch, Daniel P.; Mayberry, Michael A.; Omer, Thomas C.
作者单位：University of Kansas; University of Wisconsin System; University of Wisconsin Madison; State University System of Florida; University of Florida; University of Nebraska System; University of Nebraska Lincoln
摘要：Product market power provides firms with comparative advantages through more persistent profitability and insulation from competitive threats. These advantages likely provide firms with the ability to engage in greater tax avoidance. We present evidence consistent with this hypothesis. We also show that firms mimic the tax outcomes of their product market leaders. Among firms with greater product market power and comparatively high cash tax avoidance, we find stock prices to be less informativ...
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作者：Rennekamp, Kristina; Rupar, Kathy K.; Seybert, Nicholas
作者单位：Cornell University; State University System of Florida; University of Florida; University System of Maryland; University of Maryland College Park
摘要：This paper examines how the reversibility of the accounting effect of asset impairments affects managers' investment decisions. We conduct two experiments in which participants act as CEO of a multi-division electronics company that suffers a large asset impairment at one of the divisions. Drawing on prior psychology research involving cognitive dissonance and decision reversibility, we predict and find that managers who are responsible for the decision to record the asset impairment invest mo...
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作者：Jha, Anand; Chen, Yu
作者单位：Texas A&M University System; Texas A&M International University
摘要：We examine the impact of social capital on audit fees. We find that firms headquartered in U.S. counties with high social capital pay lower audit fees. Social capital measures the level of mutual trust in a region. Our results suggest that auditors judge the trustworthiness of their clients based on where the firm is headquartered and charge a premium when they trust the firm less. The basis of our results is the examination of more than 28,000 audit fees for more than 5,000 firms spanning the...
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作者：Jack, Lisa
作者单位：University of Portsmouth
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作者：Boone, Jeff P.; Khurana, Inder K.; Raman, K. K.
作者单位：University of Texas System; University of Texas at San Antonio; University of Missouri System; University of Missouri Columbia
摘要：We examine whether the December 2007 PCAOB disciplinary order against Deloitte affected Deloitte's switching risk, audit fees, and audit quality relative to the other Big 4 firms over a three-year period following the censure. Our findings suggest that the PCAOB censure was associated with a decrease in Deloitte's ability to retain clients and attract new clients, and a decrease in Deloitte's audit fee growth rates. However, methodologies used in extant archival studies yield little or no evid...
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作者：Rajgopal, Shivaram
作者单位：Emory University
