Literature to date reveals relatively little about the role of expertise in auditor selection beyond basic preferences for Big 4 and industry specialist auditors. We hypothesize that audit committees whose members have no Big 4 auditing experience are likely to struggle when interviewing...

Although prior research has claimed that audit committees with more expertise secure better auditors and enjoy higher quality earnings, a deeper understanding of this premise compels consideration of the factors that less-expert audit committees consider when choosing auditors if indeed they are...

This study investigates factors associated with restatement-related litigation against U.S. audit committee members. Using a sample of restatement-related litigation in the U.S. over the period 1999-2012, we find that the likelihood of audit committee litigation is higher in the post-SOX time...

Prior research finds that companies committing fraud exhibit large inconsistencies between reported revenue growth and growth in revenue-related nonfinancial measures (e.g., number of stores, employees, patents). However, prior research also suggests that auditors, on average, are not adept at...

Using information accompanying the audit committee (AC) member voting recommendations of a proxy advisory service, we examine the circumstances that condition when and why ineffective AC members experience subsequent turnover from the board of directors. We broadly classify the sources of...

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 investigates (1) whether legitimacy management motivates audit committees to voluntarily disclose their financial reporting oversight activities in the audit committee report and if so, (2) whether such legitimacy management disclosure strategy is effective. The answer is important...

Prior research finds that companies committing fraud exhibit large inconsistencies between reported revenue growth and growth in revenue-related nonfinancial measures (e.g., number of stores, employees, patents). However, prior research also suggests that auditors, on average, are not adept at...