and reported earnings quality for a sample of Big 4(5) client companies over a period from 2000 to 2005. Design … model. Findings – The paper finds that both expected and unexpected audit fees are associated with an increase in earnings …, are also associated with an increase in earnings quality. The association is, in some analyses, significant for the post …

. The data and the relevant literature are used to examine the roles of companies, auditing firms, and the Security and … earnings restatements are driven by a variety of forces, the most often studied and discussed being deceptive accounting … significant piece of legislation that impacts financial reporting by firms. Research limitations/implications – Data on US …

). The findings also have implications for the (Belgian) auditing profession. For example, the fact that significant …

‐based measures of earnings quality and cost of capital. Design/methodology/approach – The paper uses empirical data to determine … measures for the market's perception of earnings quality and the ex‐ante cost of capital. The measures for 2001 (pre‐SOX) are …'s perception of earnings quality has improved, while the firms' cost of equity capital has decreased. Research limitations …