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作者：Blum, Emily S.; Hatfield, Richard C.; Houston, Richard W.
作者单位：Texas A&M University System; Texas A&M University College Station; University of Alabama System; University of Alabama Tuscaloosa
摘要：Auditors often face situations in which acting on their professional obligations comes with potential personal costs. Drawing upon the Theory of Reputation in Organizations, we predict that perceived costs associated with these actions are lower for auditors with positive reputations, which, in turn, influences their actions. In our first experiment, participants perceive that auditors with negative reputations face a more constrained choice set when anticipating a budget overage. Further, par...
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作者：Davidson, Robert H.; Pirinsky, Christo
作者单位：Virginia Polytechnic Institute & State University; State University System of Florida; University of Central Florida
摘要：We analyze whether exposure to an SEC insider trading enforcement action affects how insiders trade. We find that following an insider trading enforcement action at one firm, exposed insiders earn significantly lower abnormal profits from their trades at other firms compared to non-exposed insiders. The deterrent effect is stronger when a fellow insider is convicted, and is similarly significant both pre- and post-SOX. Following the enforcement event, exposed insiders do not trade less frequen...
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作者：Gong, Jing; Krishnan, Jayanthi; Liang, Yi
作者单位：Lehigh University; Pennsylvania Commonwealth System of Higher Education (PCSHE); Temple University
摘要：We examine financing outcomes for small businesses seeking to sell public securities in a setting characterized by high information asymmetry, weak requirements for auditor participation, and a complete absence of Big N auditors. Issuers that raise capital from small, unsophisticated investors through crowdfunding, under the Securities and Exchange Commission's Regulation Crowdfunding (RegCF), often need no auditor attestation or need only weak attestation in the form of reviews, not audits, o...
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作者：Lillis, Anne M.; Malina, Mary A.; Mundy, Julia
作者单位：University of Melbourne; University of Colorado System; University of Colorado Denver; University of Greenwich
摘要：We examine how subjectivity in performance measurement and reward systems (PMRS) is used to mitigate incentive contracting risks. Drawing on data from 38 interviews with supervisory and subordinate managers in four firms, we provide a more comprehensive explanation of the role of subjectivity in risk mitigation than is evident in the prior literature. We provide empirical evidence of the importance firms place on the use of subjectivity to mitigate the risk of incentive misalignment and employ...
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作者：Kachelmeier, Steven J.; Rimkus, Dan
作者单位：University of Texas System; University of Texas Austin; State University System of Florida; University of Florida; State University System of Florida; University of Florida
摘要：In two incentivized auditing experiments, participants who choose to acquire evidence adjust for the risk revealed by that evidence to a lesser extent than those who obtain the same evidence without investigative action, controlling for the diagnostic value of evidence. This finding follows from mental accounting and information choice theories that, in combination, predict that choosing to undertake effortful investigation can magnify aversion to costly adjustments. In our first experiment, e...
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作者：Watkins, Jessica
作者单位：University of Notre Dame
摘要：I investigate capital market consequences of an increase in prescribed timeliness of firms' mandatory disclosure of material events. Specifically, I examine an SEC regulatory change that accelerates the Form 8-K filing deadline and classifies 8-Ks as likely to be constrained or unconstrained by the increase in prescribed timeliness. After the regulatory change, firms filing constrained 8-Ks exhibit increases in information asymmetry between investors and investor disagreement at the 8-K filing...
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作者：Baik, Bok; Gunny, Katherine A.; Jung, Boochun; Park, Duri
作者单位：Seoul National University (SNU); Children's Hospital Colorado; University of Colorado System; University of Colorado Anschutz Medical Campus; University of Colorado Denver; University of Hawaii System; University of Hawaii Manoa; Sogang University
摘要：We examine whether income smoothing via R&D management is associated with more informative earnings. While the literature finds earnings smoothing through accruals improves earnings informativeness, it is unclear whether smoothing through R&D management is used to inform investors because R&D management is relatively more difficult to detect and curb. We find that R&D management, which represents a subset of real activities management, is associated with more informative earnings, but the asso...
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作者：Chen, Shuping; Miao, Bin; Valentine, Kristen
作者单位：University of Texas System; University of Texas Austin; The Chinese University of Hong Kong, Shenzhen; University System of Georgia; University of Georgia
摘要：We examine the voluntary disclosure behavior of peer firms of hostile takeover targets. We find that peer firms under control threat use a disclosure strategy that emphasizes bad news: they provide more bad news forecasts, tend to bundle bad news forecasts with earnings announcements, use more negative tone in conference call presentations, and more evenly distribute negative tonal words throughout the presentation to heighten the visibility of bad news. This asymmetric disclosure of bad news ...
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作者：Mendoza, Kim I.; Winn, Amanda
作者单位：University of Illinois System; University of Illinois Urbana-Champaign; University of Kansas; University of Kansas
摘要：Auditing standards vary in their degree of prescriptive language-for example, stating that auditors ''could'' versus ''should'' do certain procedures. We posit that more prescriptive language primes an implemental mindset, thereby creating a feeling of regulatory fit with objective verification tasks and improving auditors' performance on these tasks. In an experiment with audit students, we find that participants who apply a more (versus less) prescriptive auditing standard perform better on ...
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作者：Asay, H. Scott; Guggenmos, Ryan D.; Kadous, Kathryn; Koonce, Lisa; Libby, Robert
作者单位：University of Iowa; Cornell University; Emory University; University of Texas System; University of Texas Austin
摘要：This paper discusses the role of process evidence in accounting research. We define process evidence broadly as data providing insight into how and why cause-effect relationships occur, and we provide a framework to guide the provision and evaluation of process evidence in accounting studies. Our definition allows for an expanded understanding of techniques for gathering process evidence. The framework highlights the importance of the study's goals and theory in choosing how to provide process...
