International and U.S. accounting and auditing standard setters have focused considerable attention and rule making around group audits and in particular the reporting quality of subsidiary entities. We examine how membership in a consolidated group and the related group audit affects the...

Both U.S. and international standard setters have recently proposed changes to the standard audit report, including a requirement to include a critical audit matter (CAM) paragraph. We examine how nonprofessional investors react to an audit report's CAM paragraph that is centered on the audit of...

Several regulatory actions and professional standard setting changes occurring since the turn of the century have resulted in a fundamental change to the information captured by the audit report date. Whereas the audit report date previously captured substantial completion of audit fieldwork,...