Purpose – Companies vary in their attitudes toward regulatory (ethics) risk. The purpose of this study is to assess how regulatory risk-averse, risk neutral and risk seeking companies employ distinct managerial risk and slack accumulation strategies and differ in their auditor scores and...

Purpose – Companies vary in their attitudes toward regulatory (ethics) risk. The purpose of this study is to assess how regulatory risk‐averse, risk neutral and risk seeking companies employ distinct managerial risk and slack accumulation strategies and differ in their auditor scores and...