Corporate accounting failures and regulatory proceedings that led to the enactment of the Sarbanes-Oxley Act of 2002 (SOX) increased the scrutiny of auditors. We investigate whether these events resulted in a change in auditor behavior with respect to going concern reporting. Generally speaking,...

In this study, we use a survey instrument to obtain perspectives from over 700 auditors about present-day audit workloads and the relationship between audit workloads, audit quality, and job satisfaction. Our findings indicate that auditors are working, on average, five hours per week above the...

This study investigates whether auditor quality and audit committee expertise are associated with improved financial disclosure timeliness as measured by the duration of a financial statement restatement's “dark period.” The restatement dark period represents the length of time between a...

This study examines the extent to which audit clients successfully engage in internal control opinion shopping activities and whether audit market competition appears to facilitate those activities. Regulators have long been concerned about the impact of both audit market competition and opinion...

This case requires students to apply accounting and ethical decision-making within the context of a potential land impairment decision. Students are required to research the relevant professional literature and provide appropriate FASB Codification references and IAS cites as they investigate...

This paper examines the occurrence and outcome of auditor litigation related to financial statement misstatements and the effect of auditor misstatement-based litigation on subsequent auditor behavior. The study is motivated by recent calls to limit auditor legal liability and the need to...

Building on recent theory, we find strong and robust evidence that external labor market incentives motivate CEOs to adopt more aggressive tax policies in order to improve firm performance and their own labor market value. In addition, we find that the tax aggressiveness-labor market incentives...

Theory and recent empirical literature suggest that social and professional connections may influence corporate policy. However, inference may be biased by the possibility that firms who share peers also share unobserved characteristics that are correlated with observed policy. Using a novel...

We analyze stock price reactions to the announcement of the United States Supreme Court decision in South Dakota v. Wayfair, Inc., Overstock.com, Inc., and Newegg, Inc. (hereafter Wayfair), which overturned over 25 years of judicial doctrine related to sales tax nexus. Wayfair's precedent...

We exploit pension funding relief enacted in 2012 to estimate the effects of a positive shock to internal liquidity on market prices and investment. Measuring unexpected increases in internal liquidity using a priori expected pension contributions disclosed under FAS132R, we report positive...