This paper uses a laboratory experiment to examine the effect of accountability pressure as a monitoring control tool to mitigate subordinates' propensity to create budgetary slack. The results suggest that budgetary slack is (lowest) highest when accountability pressure is (present) absent...

Despite the pervasive use of ethics training by companies, research in management accounting has not considered the effectiveness of such training in curtailing managers' misreporting. This study examines the effect of ethics training on misreporting as a reminder to raise the awareness of...

In March 1995, the APB in the UK issued its Statements of Auditing Standards 300 (SAS 300): 'Accounting and Internal Control Systems and Audit Risk Assessment'. The standard identifies inherent risk as one of the three components of audit risk; inherent risk being defined as 'the susceptibility...

The equity wealth effects of method of payment in takeover bids for privately held firms In takeover bids for unlisted firms, the typically more closely knit target shareholders have the bargaining power and incentive to force the bidder's managers to disclose their private information about the...