Showing 1 - 10 of 223
We study whether managerial ownership and analyst coverage relate to audit fee. To the extent that these corporate governance factors relate to auditor assessment of the firm's agency costs and hence various risks the auditor must consider in the development of an audit program, they will affect...
Persistent link: https://www.econbiz.de/10013134681
We consider a setting in which insiders have information about income that outside shareholders do not, but property rights ensure that outside shareholders can enforce a fair payout. To avoid intervention, insiders report income consistent with outsiders' expectations based on publicly...
Persistent link: https://www.econbiz.de/10013109095
We develop a theory of income and payout smoothing by firms when insiders know more about income than outside shareholders, but property rights ensure that outsiders can enforce a fair payout. Insiders set payout to meet outsiders' expectations and underproduce to manage downward future...
Persistent link: https://www.econbiz.de/10013066995
Leeson/Barings scandal (involving the fraud that brought down Barings bank) to illustrate how inattentional blindness can … occur in a real-life fraud situation. We also provide additional material showing the relevance of inattentional blindness …
Persistent link: https://www.econbiz.de/10013072468
This study examines the impact of gender and ethnicity of CEO and audit committee directors on audit fees and audit delay in the U.S. firms. Audit related corporate governance literature has extensively examined the determinants of audit fees and audit delay by focusing on board characteristics,...
Persistent link: https://www.econbiz.de/10013015915
This paper takes a closer look at sustainable management compensation and the impact on environmental, social and governance (ESG) performance in the German two tier system. The empirical quantitative study covers a sample selection of German companies listed on the Prime Standard of the...
Persistent link: https://www.econbiz.de/10012963057
CEO power can influence a CEO's incentives to disclose information, in turn affecting the information environment. Audit committees can also affect the information environment, because they serve as the watchdog for financial reporting quality and the audit process. Thus, our research explores...
Persistent link: https://www.econbiz.de/10012964360
In this study, we examine the effect of accrual-based earnings management on the association between managers' earnings forecast errors and accruals, which we label “managers' accrual-related forecast bias.” We build on extensive research which finds that managers engage in accrual-based...
Persistent link: https://www.econbiz.de/10012955306
earnings conference calls as case materials. We randomly assign narratives of fraud and non-fraud companies to auditors as well … deception. We predict this instruction will weaken auditors' learned tendency to overlook fraud cues. We find that auditors …' deception judgments are less accurate for fraud companies than for non-fraud companies, unless they receive this instruction. We …
Persistent link: https://www.econbiz.de/10012958765
We insert an automated high-quality (HQ) auditor into established experimental audit markets to test the impact on the supply and demand for audit quality. Our approach allows us to investigate manager demand for audit quality and how other auditors respond to the increased competition from the...
Persistent link: https://www.econbiz.de/10012905359