-
作者：Gleason, Cristi A.; Mills, Lillian F.; Nessa, Michelle L.
作者单位：University of Iowa; University of Texas System; University of Texas Austin; Michigan State University
摘要：This paper examines whether the increased accounting guidance and reporting requirements of FIN 48 impact the adequacy and accuracy of tax reserves and the effect of auditor-provided tax services on tax reserves. While we do not find FIN 48 affected the adequacy or accuracy of tax reserves on average, FIN 48 eliminated the differences in the tax reserve adequacy of firms with and without auditor-provided tax services that existed prior to its adoption. We also find evidence of less premature r...
-
作者：Sabac, Florin; Yoo, Junwook
作者单位：University of Alberta; Marshall University
摘要：In multi-task environments, the efficiency of aggregating managerial performance information and the degree of customization/standardization are closely related. Aggregation without information loss (i.e., statistically sufficient) requires at least as many measures as there are effective tasks (which arise through a task aggregation process analogous to that applied to homogeneous activities in activity-based costing) and can be used uniformly for evaluation across similar jobs. Aggregation w...
-
作者：Sunder, Jayanthi; Sunder, Shyam V.; Zhang, Jingjing
作者单位：University of Arizona; McGill University
摘要：We study the role of borrowers' balance sheet conservatism (i.e., conservatism in asset values) in debt contract design. We find that borrowing costs are decreasing in the degree of balance sheet conservatism, and this effect is stronger for firms with lower credit quality. This is consistent with balance sheet conservatism reducing lenders' uncertainty about the liquidation value of assets, thus facilitating the ex ante screening of borrowers. We predict that better ex ante screening also red...
-
作者：Goretzki, Lukas; Strauss, Erik; Wiegmann, Leona
作者单位：University of Innsbruck; WHU - Otto Beisheim School of Management
摘要：This study sheds light on how self-developed local accounting and control systems (so-called vernacular accounting systems; VAS) can influence knowledge integration in development processes of enabling global accounting and control systems. We focus on accounting and control systems as devices that enable local actors to build on codified knowledge to create new knowledge that can facilitate local problem solving. We argue that local actors would evaluate a proposed global system as enabling o...
-
作者：Pawlewicz, Robert
作者单位：University System of Georgia; Georgia State University
摘要：This paper examines the effect of regulations (i.e., the Sarbanes-Oxley Act and Regulation G) on both the timing of earnings announcements and their relative informational role. I find that after the regulation of earnings announcements was instituted, firms began issuing less timely earnings announcements, and those announcements have become more important for shareholders. Ceteris paribus, after the regulations, firms have disclosed their fiscal year-end announcements more than four days lat...
-
作者：Boster, Charles; Majerczyk, Michael; Tian, Yu
作者单位：University System of Maryland; Salisbury University; University System of Georgia; Georgia State University; State University System of Florida; University of Central Florida
摘要：Many organizations offer profit sharing plans to motivate increased effort and goal congruence. However, an unintended consequence of such plans may be to reduce honesty in managerial reporting. We investigate two commonly observed profit sharing plans (individual and pooled) in a laboratory experiment where multiple agents with private cost information submit budget requests to an employer. Consistent with our prediction based on crowding theory, our findings suggest that honesty is reduced i...
-
作者：Wright, Nicole S.; Bhattacharjee, Sudip
作者单位：James Madison University; Virginia Polytechnic Institute & State University
摘要：When subject matter experts are consulted during an audit, the quality of the expert's advice depends upon their ability to fully understand and incorporate client-specific facts into their advice. Public Company Accounting Oversight Board (PCAOB) inspection reports suggest that auditors are neglecting to perform the required work to assess the quality of experts' recommendations. This study examines how characteristics of the audit, notably staffing decisions, can impede auditors' ability to ...
-
作者：Brown, Stephen V.; Tian, Xiaoli (Shaolee); Tucker, Jennifer Wu
作者单位：University of Connecticut; Georgetown University; State University System of Florida; University of Florida
摘要：In this study we use the recently mandated risk factor disclosure to examine the spillover effect of the Securities and Exchange Commission (SEC) review of qualitative corporate disclosure. We find that firms not receiving any comment letter (No-letter Firms) modify their subsequent year's disclosures to a larger extent if the SEC has commented on the risk factor disclosure of (i) the industry leader, (ii) a close rival, or (iii) numerous industry peers. We refer to this effect as spillover. F...
-
作者：Mescall, Devan; Klassen, Kenneth J.
作者单位：University of Saskatchewan; University of Waterloo
摘要：This study investigates how transfer pricing risk affects the premiums in cross-border mergers and acquisitions (M&A). Differences in the rigor of transfer pricing enforcement and the severity and clarity of rules across countries create differential risk of material costs for multinationals as they expand globally. We use 448 country-level transfer pricing risk assessments by global transfer pricing partners and managers from two firms in 33 countries to develop a metric of country-year trans...
-
作者：Defond, Mark L.; Francis, Jere R.; Hallman, Nicholas J.
作者单位：University of Southern California; University of Missouri System; University of Missouri Columbia; University of Technology Sydney; University of Texas System; University of Texas Austin
摘要：We find that non-Big 4 audit offices with greater awareness of SEC enforcement are more likely to issue first-time going-concern reports to distressed clients; where SEC awareness is measured using (i) audit office proximity to SEC regional offices, and (ii) proximity to specific SEC enforcement actions against auditors. We also show that these non-Big 4 audit offices issue more going-concern opinions to clients who do not subsequently fail, indicating a conservative bias that reduces the info...
