Clive S. Lennox

TL;DR: In this article, the authors show that unfavourable audit reports cause significant falls in executive compensation, and that the effects are larger than accounting and market performance measures, and are particularly strong when: reports are modified for issues other than going-concern uncertainties; or, reports are newly modified.

TL;DR: Li et al. as mentioned in this paper argue that tax aggressive firms are eager to avoid the oversight of the tax authorities and so they are less likely to submit claims for R&D tax deductions compared with non-tax aggressive firms.

TL;DR: In this article, the authors examine whether companies that use their own stock to finance acquisitions have incentives to increase their market values prior to the acquisition and whether such companies mislead investors by issuing overly optimistic forecasts of future earnings or by withholding bad news about future earnings.

TL;DR: In this article, the authors investigated information disclosures made by the chairpersons of boards of directors in 120 failing UK companies and found that almost half of the chairs do not candidly disclose problems that are apparent when they write their statements.

TL;DR: In this article, the authors investigated whether auditor switching can help explain why auditors frequently fail to warn about impending bankruptcy and showed that managers use the switch decision to avoid receiving qualified reports and a switch exogenously reduces the accuracy of audit reports by replacing established incumbent auditors with less well informed new auditors.