This paper investigates remediation of Sarbanes-Oxley Section 404 material weaknesses (MWs). Prior research examines full remediation of all MWs or broad categories thereof. We build on these studies by investigating remediation of specific types of MW, thus measuring progress in improving...

We interview thirty-one experienced secondees (i.e., auditors on an international rotation from one member firm to another member firm in a specified role for a fixed period of time), and three practice leaders with the objective of understanding public accounting secondments and how secondments...

This study addresses auditors' role in determining the quality of their client's fair value classification judgments for investment securities under ASC 820. The standard requires companies to classify fair value assets into one of three levels (i.e., Level 1, 2, or 3) and there is often...

Recent regulatory and professional developments have increased the frequency with which public accountants work and interact with professionals from other accounting firms. We posit that competitive pressures are particularly salient when clients retain accountants from different firms to...

We investigate how audit partners of non-global network firms (NGNFs) (i.e., firms other than the “Global 7”) shape the audit technologies through the lens of institutional theory. A paradigm within institutional theory, institutional work, suggests partners are positioned as empowered...

This study examines public accounting firms' “tone at the top” with respect to audit quality initiatives from the perspectives of both firm leaders (those who set the tone) and engagement level auditors (non-leaders). Specifically, we (1) solicit the perceptions of audit firm culture and...

Auditors often receive summary information or conclusions from management about account balances or internal controls. They must then gather evidence to assess whether this information is fairly stated. In such situations, management can be considered the first mover and the auditor the second...

This paper extends prior research on audit risk adjustment by examining the association of audit pricing with internal control problems disclosed under Sections 404 and 302 of the Sarbanes-Oxley Act. While studies of auditors' responses to internal control risk provide mixed evidence, it is...

This paper investigates factors associated with high quality Enterprise Risk Management (ERM) programs in financial services firms, and whether ERM quality enhances performance and signals credibility to the financial markets. ERM, developed with the assistance of the accounting profession,...

Prior research shows that the Sarbanes Oxley (SOX) Section 404(b) integrated audit is associated with lower incidence of misstatements. We predict that under 404(b), the auditor's ability to detect misstatements increases relative to other internal control regimes when greater resources are...