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作者：Masli, Adi; Peters, Gary F.; Richardson, Vernon J.; Sanchez, Juan Manuel
作者单位：University of Arkansas System; University of Arkansas Fayetteville
摘要：We analyze the potential benefits that firms can realize from implementing technology specifically aimed at monitoring the effectiveness of their internal control systems. The Committee of Sponsoring Organizations of the Treadway Commission asserts that effective internal control monitoring should enhance the efficiency of internal control processes, and, in turn, the assurance over such processes (COSO 2009a). We develop hypotheses to test the realization of these potential benefits. Specific...
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作者：Tayler, William B.
作者单位：Emory University
摘要：Using an experiment, I examine whether involvement in scorecard implementation can mitigate the effects of motivated reasoning that occur when the scorecard is framed as a causal chain rather than merely as a balanced set of measures. Psychological research on motivated reasoning suggests that managers will evaluate and interpret data in ways consistent with preferences, increasing their tendency to arrive at conclusions that are consistent with their desired conclusions (Kunda 1990). Consiste...
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作者：Gul, Ferdinand A.; Goodwin, John
作者单位：Hong Kong Polytechnic University
摘要：Short-term debt and credit ratings have benefits for financial reporting quality that may be associated with lower audit fees. Using U. S. data for 2003 through 2006, we find that short-term debt is negatively related to audit fees for firms rated by Standard & Poor's, consistent with more monitoring and better governance mechanisms in firms with higher short-term debt. Credit ratings quality is negatively related to audit fees, consistent with ratings quality reflecting a firm's liquidity ris...
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作者：Shaw, Kenneth W.; Zhang, May H.
作者单位：University of Missouri System; University of Missouri Columbia
摘要：Leone et al. (2006) conclude that CEO cash compensation is more sensitive to negative stock returns than to positive stock returns, due to Boards of Directors enforcing an ex post settling up on CEOs. Dechow (2006) conjectures that Leone et al.'s (2006) results might be due to the sign of stock returns misclassifying firm performance. Using three-way performance partitions, we find no asymmetry in CEO cash compensation for firms with low stock returns. Further, we find that CEO cash compensati...
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作者：Koonce, Lisa; Williamson, Michael G.; Winchel, Jennifer
作者单位：University of Texas System; University of Texas Austin; University of South Carolina System; University of South Carolina Columbia
摘要：To curb opportunism in financial reporting, researchers and regulators have proposed that firms be required to report reconciliations of prior year estimates. We provide experimental evidence that such disclosures are not sufficient for nonprofessional investors to identify firms that are opportunistic in their estimates. We also offer evidence suggesting that the value of these disclosures can be enhanced when nonprofessional investors seek out information about the estimate accuracy of other...
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作者：Blouin, Jennifer L.; Gleason, Cristi A.; Mills, Lillian F.; Sikes, Stephanie A.
作者单位：University of Pennsylvania; University of Iowa; University of Texas System; University of Texas Austin
摘要：FIN No. 48, Accounting for Uncertainty in Income Taxes (FASB 2006), requires firms to disclose tax reserves and to record changes in tax reserves at adoption of FIN No. 48 as cumulative effect adjustments in stockholders' equity. We predict that between the enactment and adoption of FIN No. 48, relative to historical levels, firms settle disputes more often to potentially decrease visibility to the IRS and release reserves more often to reduce scrutiny and increase earnings (as opposed to reta...
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作者：Kim, Dongcheol; Qi, Yaxuan
作者单位：Korea University; Concordia University - Canada
摘要：This study examines whether and how earnings quality, measured as accruals quality (AQ), affects the cost of equity capital. Using two-stage cross-sectional regression tests, we find that the AQ risk factor is significantly priced, after controlling for low-priced stocks. This result is robust in tests using individual stocks, various portfolio formations, and different beta estimations. Furthermore, we show that AQ and its pricing effect systematically vary with business cycles and macroecono...
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作者：Hunton, James E.; Gold, Anna
作者单位：Bentley University; Erasmus University Rotterdam; Erasmus University Rotterdam - Excl Erasmus MC
摘要：The current study examines the outcomes of three fraud brainstorming procedures-nominal group, round robin, and open discussion-via a randomized between-participant field experiment involving 150 audit clients and 2,614 auditors who participated in natural, hierarchical audit teams. The results indicate that nominal group and round robin brainstorming resulted in equivalent numbers of unique fraud risks and comparable increases in planned audit hours, while open discussion brainstorming yielde...
