Showing papers in "Journal of Accounting and Public Policy in 2007"

TL;DR: In this paper, the authors investigate the relation between audit committee quality, auditor independence, and the disclosure of internal control weaknesses after the enactment of the Sarbanes-Oxley Act.

TL;DR: Li et al. as mentioned in this paper examined how ownership, two-tier board structure, and auditor affect the informativeness of earnings for companies listed in China and found that the type of dominant shareholders, the size of the supervisory board, and the percentage of independent directors have an impact on the frequency of modified audit opinions.

TL;DR: In this paper, the authors analyzed determinants and effects of differences between domestic accounting standards (DAS) and International Accounting Standards (IAS) and created two indices, absence and divergence, to measure the extent to which certain accounting issues are missing in DAS but are covered in IAS.

TL;DR: The authors examined the determinants of the variability in corporate effective tax rates in Australia spanning the Ralph Review of Business Taxation reform and found that corporate effective rates are associated with several major firm-specific characteristics, including firm size, capital structure (leverage) and asset mix (capital intensity, inventory intensity and R&D intensity).

TL;DR: In this paper, the authors investigated the relation between audit firm tenure and clients' financial restatements by assessing restatement-based reporting failures using dimensions of auditor expertise and independence previously assumed to underlie short and long audit tenure problems.

TL;DR: In this paper, the authors examined the relationship between the quality of corporate governance and information asymmetry in the equity market around quarterly earnings announcements, using the change in market liquidity (i.e., bid-ask spreads and depths) around the announcements as a proxy for information asymmetric.

TL;DR: In this article, the authors classify institutional investors into transient or long-term by their investment horizons to examine the association between institutional investor type and firms' discretionary earnings management strategies in two mutually exclusive settings.

TL;DR: This article found that audit firm specialization is positively associated with perceived audit quality but not with audit fees, and they also found that Big 5 auditors, often used as a proxy for higher audit quality, consistently charge higher audit fees.

TL;DR: Hausken et al. as mentioned in this paper investigated information sharing among firms and cyber attacks in the context of accounting and public policy, and found that information sharing can improve the security of firms.

TL;DR: In this article, the authors examine the effect of the trade-off between economic dependence and reputation protection on the link between client size and the audit reporting decisions of non-Big 5 auditors.

TL;DR: In this article, the authors investigate the link between information asymmetry, measured by bid-ask spread, and increased accounting disclosures following the adoption of new auditing standards in China, an environment in which disclosure hitherto was relatively low.

TL;DR: Li et al. as discussed by the authors examine the national tax regulation in China and explore how tax rules influence company decisions and show that non-tax incentives, such as local economic development, may also influence company decision.

TL;DR: In this paper, the authors examined whether the likelihood of becoming involuntarily delisted from the NYSE is associated with a firm's board of directors and ownership characteristics and found that the likelihood is related to the board's governance characteristics.

TL;DR: In this article, the authors evaluate the experimental designs of selected studies with respect to the controls essential for effective research and show that the most distinctive element of effective design in these studies is the control for institutional, cultural, and structural differences between countries.

TL;DR: This paper examined the relation between CEO compensation and the non-financial risk associated with environmental exposure, and how use of environmental performance as an explicit determinant of compensation affects this relation, finding evidence that CEOs are compensated for exposure to environmental risk, even after controlling for financial risk.

TL;DR: Han et al. as mentioned in this paper examined earnings management by US-based oil companies in the period immediately after the impact of hurricanes Katrina and Rita and found that large petroleum refining firms, but not the smaller crude oil and natural gas production companies, recorded significant abnormal income-decreasing accruals.

TL;DR: Siegel et al. as discussed by the authors investigated the strategy, investor relations, accounting transparency and corporate governance of Ahold and provided insights and implications into these relationships that present theory and empirical studies have not fully addressed.

TL;DR: This article examined the impact of FRS3 on classificatory smoothing by UK firms and found a significant rise in this practice post-FRS3 and found that this increase was due mainly to deviations of net income from expected earnings inducing a significantly higher level of classification smoothing.

TL;DR: In this article, the authors examine the effects of mandated disclosure on the design of contracts and induced behavior in the presence of career concerns and show conditions under which the agent's effort (and the firm's output) and the pay-for-performance weight critically depend on these two properties.

TL;DR: In this article, the same economic event (i.e., an impairment in oil and gas assets) in the extractive petroleum industry was accounted for by “full cost” firms under a SEC standard (Regulation SX 4-10) which provides extensive implementation guidance, and by successful efforts firms under FASB standard (SFAS No 121) that provided relatively little guidance for implementing the standard.

TL;DR: In this paper, the authors examined the association between quarterly stock returns and total earnings news conditional on the timing in which earnings information is revealed to the market and found that investors do not always assign more weight to earnings surprises than to analyst forecast revisions.

TL;DR: The authors investigated the effect of changes in Japanese consolidated reporting practices to better align with international standards on financial analysts' perceptions of the persistence of subsidiary earnings in the Japanese capital market and found that financial analysts no longer underestimate the persistency of subsidiary profits.

TL;DR: In this article, the authors re-examine the electric utility market value-book value relation in light of the changing regulatory climate and compare the market-to-book ratio in the post-regulatory period to the regulatory period.

TL;DR: The authors analyzes the existing asymmetry in the US corporate tax law governing the determination of foreign tax credits earned by US firms with foreign subsidiaries and analyzes its potential effect on the timing of foreign source income repatriation.

TL;DR: In this paper, the authors proposed an efficient algorithm in terms of long term cost for counting and periodic strategies of continuous auditing as suggested by Pathak et al. study, which contribute to accounting literature in general and continuous audit in particular.

TL;DR: The authors argue that theory and refined proxies can alleviate many of the control issues that have surfaced in the literature, and remove some misconceptions about effective experimental controls that have been discussed in the debate.