The purpose of this paper is to examine the contribution made by the internal control systems and working capital management on financial performance of supermarkets. This study is cross-sectional and correlational, and it uses firm-level data that were collected by means of a questionnaire...

This study investigates the effect of characteristics of board of directors and audit committee strength on audit fees internal control quality. In this study, 84 companies listed on the Tehran Stock Exchange were evaluated from 2014 to 2016. Panel regres sion model and panel logistic regression...

We propose reduced investment as a potential explanation for why firms with internal control weakness (ICW) exhibit lower valuation relative to non-ICW firms. We show that ICW firms significantly reduce investment around ICW disclosure and also have poor stock performance. Additional evidence...

We examine why many firms disclose internal control weaknesses (ICW) under section 404 of Sarbanes-Oxley Act after previously reporting effective internal control (IC). We find that about half of the cross-sectional ICW determinant variables either do not change significantly from Year T-1 to...

The triangle model of responsibility (Schlenker, Britt, Pennington, Murphy, and Doherty 1994) predicts that the extent that investors hold management responsible for an adverse event is jointly determined by the links among three elements—management, the adverse event, and the relevant...