This study examines the extent to which providing a course that emphasizes forensic accounting influences students skepticism and fraud-related judgments. We follow a cohort of students (trained students) who have enrolled in a forensic accounting course and examine their fraud judgments at...

Individuals judge audit quality, in part, based on adverse outcome information. Assuming that individuals over-rely on outcomes, prior accounting research attempts to improve their judgments by reducing their reliance on outcome information. Logically, however, individuals could either over-rely...

We examine the effect of non-mandatory corporate governance practices on a comprehensive set of audit judgments. We provide initial evidence on how auditors respond to corporate governance in an institutional environment where corporate governance is not mandated by law. Based on the agency and...

This study investigates a method for measuring knowledge structure development in novice accountants by extending Bonner and Walker (1994), which examined the effects of instruction and experience on the acquisition of declarative and procedural knowledge. We employ Pathfinder network scaling, a...

This study examined whether providing tax services to an audit client affects auditors' fraud-risk assessment. A case was administered to audit partners and senior managers of small and medium-sized firms that provide both audit and tax services. Participants were asked to assess the risk of...

I investigate how the trend in audit practice of including face-to-face discussions between the preparer and the reviewer affects audit team performance. Specifically, I focus on the timing of reviewer/preparer discussion and explore whether performance of the audit team in a task involving a...

This paper provides results of an experiment designed to investigate how mandatory rotation or retention of auditors may affect auditor reporting. Repeat audit engagements are believed to be a source of economic rents to auditors, and as such they are believed to pose a threat to auditor...

This research investigates the relationship between reputation and two types of agency costs, namely those associated with auditing and those associated with value-reducing activities of management resulting from their capitalizing on asymmetric information by misreporting income. A...

The trend toward continuous monitoring of automated business transactions by the internal audit function is growing as organizations seek to improve internal control. In this study, we demonstrate that continuous monitoring and the time horizon over which performance-contingent incentives are...

Auditors are routinely exposed to preliminary audit evidence that is subsequently found to be erroneous. In an experiment with auditors as participants, we show that subsequently invalidated evidence relating to a tender award to a client continues to influence auditors' interpretation of this...