This study provides evidence that binary signals in audit reports are unable to fully communicate underlying risks that are inherently continuous in nature. Specifically, we find that companies whose audit reports signal an improvement in internal control effectiveness relative to the prior year...

This study provides evidence that binary signals in audit reports are unable to fully communicate underlying risks that are inherently continuous in nature. Specifically, we find that companies whose audit reports signal an improvement in internal control effectiveness relative to the prior year...

We extend research on the effects of local audit practice office characteristics on audit quality by investigating whether audit offices in highly religious U.S. Metropolitan Statistical Areas (MSAs) exhibit going concern decisions that reflect heightened professional skepticism relative to...

This study investigates whether auditors use information in accounting estimates when making going concern assessments and whether the usefulness of information in accounting estimates to auditors depends on whether the estimate is prepared following a rule-based standard or a principle-based...

This study examines whether audit firm knowledge and resources affect the likelihood a company receives consecutive going concern opinions. We also consider whether consecutive going concern opinions are useful to financial statement users. Recent comments from the FASB and PCAOB question the...

We extend research on the effects of local audit office characteristics on audit quality by investigating whether audit offices in highly religious U.S. Metropolitan Statistical Areas (MSAs) exhibit going concern decisions that reflect heightened professional skepticism relative to audit offices...