The main goal of this paper is to analyze the factors that influence the auditor's decision to disclose goodwill impairment as a key audit matter (KAM). For this analysis, we use a logit model to determine the factors that influence auditors' disclosure of a goodwill impairment as a KAM. Our...

We analyze interviews with valuation specialists (specialists) employed by audit firms (in the Asia-Pacific region, Europe, and the U.S.) to understand how they work with auditors to evaluate the reasonableness of fair value measurements (FVMs) for financial instruments. The rapid growth of FVMs...

We examine how an accounting firm’s attempt to circumvent the PCAOB inspection process influences non-professional investors’ judgments about auditor credibility and willingness to continue investing in a company the firm audits. In an experiment using 198 non-professional investors, we...