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作者：Choy, AK; King, RR
作者单位：University of Alberta; University of Washington; University of Washington Seattle
摘要：The objective of this research is to articulate a decision-making foundation for the systems audit approach. Under this audit approach, the auditor first gains an understanding of the auditee's economic environment, strategy, and business processes and then forms expectations about its performance and financial reporting. Proponents of this audit approach argue that decision making is enhanced because the knowledge of the system allows the auditor to focus on the most important risks. However,...
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作者：Sabac, F; Scott, TW; Wier, HA
作者单位：University of Alberta
摘要：We demonstrate analytically and empirically that valuing a firm with foreign operations in the presence of exchange rate uncertainty requires information on the foreign operating cash flows disaggregated by currency and persistence. In particular, given consolidated earnings, investors need information on the exchange gain or loss on permanent foreign operating cash flows. We extend the model to show how the permanent foreign cash flows can be used to condition the change in the translation ad...
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作者：Johnson, WB; Schwartz, WC
作者单位：University of Iowa; University of Arizona
摘要：This paper uses stock market data to investigate the popular claim that investors are misled by the pro forma earnings numbers conspicuously featured in the press releases of some U.S. firms. We first document the frequency and magnitude of pro forma earnings in press releases issued during June through August 2000, and describe the 433 firms that engaged in this financial disclosure strategy. Our test period predates public expressions of concern by trade associations and regulators that pro ...
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作者：Dhaliwal, DS; Erickson, MM; Li, OZ
作者单位：University of Arizona; University of Auckland; University of Chicago; University of Notre Dame
摘要：The purpose of this study is to investigate whether and how shareholder-level taxes affect earnings response coefficients (ERCs). Our tests indicate that when the tax rate on dividends increases, ERCs decrease for firms with high levels of dividend yield and whose marginal investor is likely to be an individual. For firms with high levels of share repurchase yield and whose marginal investor is likely to be an individual, an increase in dividend tax rate has no discernible effect on ERCs. Thes...
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作者：Libby, T
作者单位：Wilfrid Laurier University
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作者：Haw, IM; Qi, DQ; Wu, DH; Wu, W
作者单位：Texas Christian University; Hong Kong Polytechnic University; Chinese University of Hong Kong
摘要：Under the 1996-98 security regulations in China, the accounting rate of return on equity (ROE) has to be greater than 10 percent for three consecutive years for a firm to qualify for stock rights offers. Despite declining economic conditions during this period, the percentage of firms reporting ROE between 10 and I I percent is about three times that for 1994-95. This unique regulatory environment provides a natural experimental setting for the empirical assessment of earnings-management behav...
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作者：Dearman, DT; Shields, MD
作者单位：University of Arkansas System; University of Arkansas Fort Smith; University of Arkansas Fayetteville; Michigan State University
摘要：Much research over the last 30 years has provided evidence that individuals display accounting fixation; that is, their cognitive process does not appropriately adapt to cross-sectional or temporal differences in an accounting method. This paper presents the results of a quasi-experimental test of the hypothesis that cognitive adaptation to a change in accounting method is an ordinal interactive function of three person characteristics: relevant accounting knowledge, general problem-solving ab...
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作者：Godfrey, JM; Hamilton, J
作者单位：Monash University; University of Technology Sydney
摘要：The audit fee research literature argues that auditors' costs of developing brand name reputations, including top-tier designation and recognition for industry specialization, are compensated through audit fee premiums. Audited firms reduce agency costs by engaging high-quality auditors who monitor the levels and reporting of discretionary expenditures and accruals. In this study we examine whether specialist auditor choice is associated with a particular discretionary expenditure - research a...
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作者：Arora, A; Alam, P
作者单位：University of Wisconsin System; University System of Ohio; Kent State University; Kent State University Salem; Kent State University Kent
摘要：The traditional view that a corporation exists solely to serve the interests of the firm's shareholders has given way to a changing view that recognizes the importance of corporate constituents in addition to shareholders. Prior studies demonstrate a significant association between the sensitivity of CEO compensation and a firm's stock prices. However, the association between CEO compensation and the claim of other primary stakeholders (customers, employees, suppliers) has not been examined. T...
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作者：Lennox, C
作者单位：Hong Kong University of Science & Technology
摘要：The finance literature identifies two agency problems between managers and outside shareholders. First, there is a divergence-of-interests problem as management ownership falls. Second, there is an offsetting entrenchment problem when management ownership increases within intermediate regions of ownership. Agency problems are mitigated through contracting, but contracts are often based on accounting numbers prepared by management. Because accounting numbers must be reliable for contracts to be...
