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作者：Gold, Anna; Kadous, Kathryn; Leiby, Justin
作者单位：Vrije Universiteit Amsterdam; Emory University; University of Illinois System; University of Illinois Urbana-Champaign
摘要：Auditing standards require that auditors' reliance on a specialist is commensurate with the specialist's competence. In assessing competence, auditors encounter cues diagnostic of the specialist's social status but less so of competence. In an experiment, we manipulate specialist status and find that auditors mistake status for competence unless they are prompted to separate the constructs. This raises the possibility that auditors could over- rely on high-status specialists. However, auditors...
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作者：Huang, Ying; Li, Ningzhong; Zhang, Jieying; Zhou, Xiaolu
作者单位：University of Texas System; University of Texas Dallas; Chinese University of Hong Kong
摘要：Using a Supreme Court ruling that rejected the use of bright-line rules previously relied upon in evaluating materiality claims, this study examines how heightened materiality uncertainty impacts audit pricing. We expect the heightened uncertainty to make it more difficult for auditors and clients to assess materiality and to reach a consensus on materiality assessment, which increases audit effort and engagement risk, leading to higher audit fees. Consistent with this prediction, we find that...
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作者：McClure, Charles G.; Zakolyukina, Anastasia A.
作者单位：University of Chicago
摘要：The wide-spread reporting of non-GAAP earnings suggests efficiency gains from doing so. Byestimating a dynamic investment model, we examine the real implications of investors using both GAAP and non-GAAP earnings to valuefirms. When investors use thefirm's GAAP earnings only, thefirm's manager-who caresabout current stock prices-underinvests, and his investment is sensitive to transitory earnings. Non-GAAP earningscan improve investment efficiency by adjusting for these transitory earnings, bu...
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作者：Ferguson, Andrew; Hu, Cecilia Wei; Lam, Peter
作者单位：University of Technology Sydney; Deakin University
摘要：This study investigates the economic consequences of the IFRS 3 (2008) requirement for fair valuing earnouts. Using a hand -collected sample of earnout fair value estimates in acquisitions completed by Australian firms, we find that a significant portion of acquirers overstate initial earnout liabilities and strategically reverse them as operating gains to boost post-M&A earnings. These overstatements are more pronounced when acquirers face investment- and performance -related pressure but att...
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作者：Li, Yinghua; Lin, Yupeng; Wang, Xiaoqiao; Yang, Shijie
作者单位：Arizona State University; Arizona State University-Tempe; National University of Singapore; The Chinese University of Hong Kong, Shenzhen; Southern University of Science & Technology
摘要：We investigate the role of financial analysts in product quality failures. Relying on information about product recalls, we first show that analyst coverage on average reduces product quality, particularly when managers face greater short-term pressure from institutional investors. However, after identifying a subgroup of analysts who raise questions on product-related issues in earnings conference calls, we find that coverage by these product analysts enhances rather than compromises product ...
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作者：Nakhmurina, Anya
作者单位：Yale University
摘要：This paper examines the effect of state-level monitoring on municipal governance, focusing on outcomes in financial reporting quality, local corruption, political entrenchment, and municipal financial soundness. I exploit the staggered adoption of fiscal monitoring policies that entail a regular review of municipal financial reports for signs of fiscal distress. I find that introducing these monitoring policies is associated with an increase in the proxies for reporting quality, a decrease in ...
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作者：McVay, Sarah E.; Rodriguez-Vazquez, Edgar A.; Toynbee, Sara M.
作者单位：University of Washington; University of Washington Seattle; City University of New York (CUNY) System; Baruch College (CUNY); University of Texas System; University of Texas Austin
摘要：Although the increase in non-GAAP earnings metrics has drawn unfavorable attention from regulators and standard setters, it can provide valuable experience for investors. We investigate whether experience with nonGAAP earnings metrics influences investors' pricing of non-GAAP exclusions. We measure experience as the frequency with which managers or analysts provide non-GAAP earnings over the prior eight quarters and find that experience aids in the pricing of non-GAAP exclusions. Absent prior ...
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作者：Aobdia, Daniel; Choudhary, Preeti; Newberger, Noah
作者单位：Pennsylvania Commonwealth System of Higher Education (PCSHE); Pennsylvania State University; Pennsylvania State University - University Park; University of Arizona
摘要：As audits of public companies are labor intensive, require a variety of team members, and involve yearround work, practitioners and academics have increasingly focused on identifying audit production factors that drive audit quality. Using proprietary data, we analyze the cost -benefit tradeoffs of two audit production characteristics, client expertise and the relative amount of auditing done during the early phases of the audit, and find that both are associated with more effective audits and...
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作者：Merkoulova, Yulia; Paisey, Catriona
作者单位：Monash University; University of Strathclyde
摘要：This paper examines the prevalence and benefits of upward social mobility in the early accountancy profession by analyzing the lifespan of chartered accountants admitted to membership in Scotland between 1853 and 1940. We find that 76 percent of the chartered accountants in our sample experienced upward social mobility, a greater percentage than found in previous studies. The chartered accountants in our sample experienced an average life expectancy premium of approximately three years over th...
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作者：[Anonymous]
