Topics concerning government contracts have recently attracted much attention from researchers and the public because of the U.S. government’s significant spending on goods and services. In this study, we investigate whether audit fees are associated with audit clients’ government contracts....

This study examines how auditors react to clients’ engagement in classification shifting which refers to the intentional misallocation of line items within the income statement. We find that classification shifting is positively associated with audit fees, audit report lags, the issuance of a...

In this study, we investigate whether trade credit is associated with internal control effectiveness. Using a sample of U.S. publicly listed firms over the period 2006-2018, we find robust evidence that internal control effectiveness firms have a lower level of trade credit. Our additional...

Research Question/Issue: The objective of this study is to examine whether the effectiveness of internal governance is associated with internal control material weaknesses. We employ the concept of internal governance as the checks-and-balances mechanism that subordinate executives apply to the...