Tzur, Joseph; Yaari, Varda - In: Review of Quantitative Finance and Accounting 13 (1999) 4, pp. 367-91
Because of imperfections in auditing technology, firms can successfully misrepresent financial reports. We offer a new mechanism, a "sunshine rule," by which firms are required to publicize a management draft prior to the audited reports. If the final reports are materially different from the...
