Mechanical correlation bias is inherent in audit pricing studies when independent variables (X) are derived from firm level audit fees (Y); a form of endogeneity which appears not to have been addressed fully in the extant literature. Such variables are endogenous by construction leading to...

In recent years, regulators have exempted an increasing number of companies from the requirement to appoint auditors, yet little is known about the role of the accounting profession in preparing and validating the financial statements of unaudited companies. In this paper, we examine empirically...

Recent studies determining the effect of audit market competition on firm level audit fees have developed novel measures of an audit firm’s relative competitive position. Numan and Willekens (2012) find a relationship between audit fees and the ‘industry market share distance to the closest...

There is a dearth of evidence regarding the potential costs incurred by small private companies that opt to publish only an unaudited abbreviated balance sheet. This paper provides new evidence regarding whether UK companies that publish reduced balance sheet information in micro-entity annual...

This paper investigates the effects of both regulation and economic demand on the timeliness of UK private companies' accounting information. We study companies' response to a one-month shortening of the statutory filing deadline and hypothesise that companies using accounting to communicate...

This note explains the minimum-biased estimator (MBE), which accounting researchers can use to analyze the robustness of regression or propensity score-matched treatment estimates to unobserved selection (endogeneity) bias. Based on the principles of the Heckman treatment model, the MBE entails...