Psychology and neuroscience studies document that facial trustworthiness perceptions may affect observers' decision-making process. Our study examines whether auditors' perceptions of client executives' facial trustworthiness are associated with their audit fee decisions. We employ a...

In this study, we examine whether Chinese CPA firms with more partners available to perform audit engagements deliver higher quality services. Based on a sample of 2,990 company-year observations over the period 2002–2015, we find that CPA firms with smaller staff-partner ratios are associated...

Regulators have expressed concerns about the “revolving door” between auditors and clients, whereby audit employees move directly from audit firms to audit clients (i.e., “direct alumni hires”). Regulators are concerned that these direct hires could compromise audit quality, partly...

We review the literature on corporate sustainability and provide directions for future research. Our review focuses on three actions: measuring, managing and communicating corporate sustainability performance. Measurement is the least developed of the three and represents promising opportunities...

We propose a new methodology to identify non-compliance with FASB guidance with respect to the dividend yield and the volatility rate for stock option valuation disclosures. The FASB gives firms some flexibility in choosing these parameters. Accordingly, we take into account a number of...

This study tests whether an association exists between the geographic location of industry sector leaders in an auditing firm and differences in audit pricing for that same auditing firm's industry clients. Using organizational learning theory and human capital theory, we predict that the...

Regulators have expressed concerns about the “revolving door” between auditors and clients, whereby audit employees move directly from audit firms to audit clients (i.e., “direct alumni hires”). Regulators are concerned that these direct hires could compromise audit quality, partly...

In this paper, we examine how CEO succession and succession planning affect perceptions of financial reporting risk among stakeholders who are responsible for and oversee firms' financial reporting (e.g., auditors, management, and audit committees). Management succession introduces uncertainty...

In light of the growing importance of internal audit functions (IAF) and the limited archival evidence on internal audit quality, we examine an interactive model of IAF quality (comprised of competence and independence) to better understand the determinants of IAF effectiveness as financial...

We present empirical evidence on the temporal graduation trends in managerial, financial and tax accounting as well as audit and (corporate) finance in Germany. Overall, we observe a positive trend, which reverses as of lately. Accounting and finance lag behind the positive trend of business...