The Interrelation between Audit Quality and Managerial Reporting Choices and Its Effects on Financial Reporting Quality

Two distinct lines of research have been dedicated to empirically testing how financial reporting quality (measured as the earnings response coefficient or ERC) is associated with management's choice of reporting bias and with audit quality. However, researchers have yet to consider how ERCs are affected by either the auditor's reaction to changes in the manager's reporting bias or the manager's reaction to changes in audit quality. Our study provides theoretical guidance on these interrelations and how changes in the manager's or the auditor's incentives affect both reporting bias and audit quality. Specifically, when the manager's cost (benefit) of reporting bias increases (decreases), we find that expected bias decreases, inducing the auditor to react by reducing audit quality. Because we also find that the association between expected audit quality and ERCs is always positive, changes in managerial incentives for biased reporting lead to a positive association between ERCs and expected reporting bias. When the cost of auditing decreases or the cost of auditor liability increases, we find that expected audit quality increases, inducing the manager to react by decreasing reporting bias. In this case, changes in the costs of audit quality lead to a negative association between ERCs and expected reporting bias. Finally, we demonstrate the impact of our theoretical findings by focusing on the empirical observations documented in the extant literature on managerial ownership and accounting expertise on the audit committee. In light of our framework, we provide new interpretations of these empirical observations and new predictions for future research

The Effects of Auditor Tenure on Fraud and Its Detection

We examine the strategic effects of auditor tenure on the auditor's testing strategy and the manager's inclination to commit fraud. Most empirical studies conclude that longer tenure improves audit quality. Proponents of restricting tenure argue that longer tenure impairs auditor independence and a "fresh look" from a new auditor results in higher audit quality. Validating this argument requires testing whether the observed difference in audit quality between a continuing auditor and a change in auditors is less than the theoretically expected difference in audit quality without impairment. Our findings provide the guidance necessary for developing such tests. Our results show that audit risk (the probability that fraud exists and goes undetected) is lower in both periods for the continuing auditor than with a change in auditors. More importantly, we show that across both periods, expected undetected fraud is lower for the continuing auditor than with a change in auditors

Sympathy for Oswald Mosley : politics of immersion and historical resemblance in the moral imagination of an English literary society

Received funding from the European Research Council (ERC) under the European Union’s Horizon 2020 Research and Innovation Programme (Grant agreement 683033).The mid-twentieth-century English novelist, Henry Williamson, wrote nature stories but also romantic and historical fiction, including a fifteen-volume saga that contains a largely favorable characterization of Oswald Mosley, the leader of the British Union of Fascists. This essay considers the challenge of such a fascist character through the prism of the literary imagination of Williamson readers, and more specifically through my longstanding ethnographic work with an English literary society constituted in the author’s name. I am centrally concerned with how literary society members deal with the positive depiction of the Mosley-based character through the stages of the reading process that they identify and describe. Do the immersive values commonly attached to their solitary reading culture, for instance, assist or further problematize that engagement? What role does their subsequent, shared practice of character evaluation play? As well as considering the treatment of characters as objects of sympathy, I explore the vital sympathies that for literary society members tie characters together with historical persons. Across the essay I dialogue with anthropological literature on exemplars, historical commentaries on the fascist cult of leadership, and finally with the philosophical claims that Nussbaum makes for the moral and political consequences of fiction reading.Publisher PDFPeer reviewe

City of purposes : free life and libertarian activism in London

This essay looks at the ideas and practice of right-libertarian activists in London. It focuses on the value placed on purposefulness, and on the city as the terrain for a free life. Their activism is explored through an engagement with the centrality of ‘freedom’ in the emergent anthropology of ethics, and by reference to alternative theories of power or action. In particular, attention falls on the challenge of representing subjects who seem to embody and profess overly familiar theories of individual freedom and responsibility. The essay is meant as a contribution to political and urban anthropology, and the ethnography of Britain.PostprintPeer reviewe

Program for Seven-Year-Olds: In a Suburban School, In a City School; New Books for Children

Volume 2 Number 3, December, 1935 School life and activities for seven-year-olds in the suburbs and the city. Also includes publications relevant to children between six and ten years old obtainable at 69 Bank Street.https://educate.bankstreet.edu/sixty-nine-bank-street/1010/thumbnail.jp

Promoting VCU Community Solutions

This promotional project focuses on VCU Community Solutions — the new interdisciplinary initiative for education, research, and service. Since this initiative demonstrates the synergy that students, faculty, and community members can create by working together, the promotional video captures their perspectives. Through interviews and footage of community programs, the video shows how VCU Community Solutions engages university and community partners in addressing critical social issues — creating more imovative approaches by working together

How Changes in Expectations of Earnings Affect the Associations of Earnings Overstatements and Audit Effort with Audit Risk and Market Price

In this study, we provide theoretical guidance for both analytical research and empirical research by considering how changing expectations of earnings affect a dishonest manager's strategy to overstate earnings and an auditor's strategy to exert effort in a two-period setting. We expect our study's insights on changing economic conditions to help shape future research. We model the manager type as either honest or dishonest, which allows us to differentiate audit risk from audit effort. The key takeaways for future research are the insights on how changes in payoffs and expected earnings affect the associations that involve earnings overstatements and audit effort with audit risk and market price. For instance, researchers typically assume audit effort and audit risk are negatively associated, but we find the association can be positive when, for example, the auditor chooses a period 2 strategy based on the changes in period 1 game parameters. The results of our study provide two additional key insights on the design of future empirical tests. First, by dichotomizing, we show the importance of estimating the intercept in the market pricing equation when studying earnings quality, because market price also adjusts for expected bias through changes in the intercept. Second, our multiperiod setting demonstrates that the effects from a change in the manager's or auditor's incentives in period 1 may reverse in period 2. Empirical studies typically examine the contemporaneous effects of these changes on market price and/or audit risk but fail to identify the cross-temporal effects we document in our study

An investigation of minimisation criteria

Minimisation can be used within treatment trials to ensure that prognostic factors are evenly distributed between treatment groups. The technique is relatively straightforward to apply but does require running tallies of patient recruitments to be made and some simple calculations to be performed prior to each allocation. As computing facilities have become more widely available, minimisation has become a more feasible option for many. Although the technique has increased in popularity, the mode of application is often poorly reported and the choice of input parameters not justified in any logical way

Nurses\u27 Alumnae Association Bulletin, June 1970

Alumnae President\u27s Message Congratulations Alumni Association Portrait of Samuel D. Gross Officers and Chairmen of Committees Financial Report Progress of Jefferson 1969-1970 School of Nursing Annual Report School of Practical Nursing Report Emergency Department Patient Services Department Annual Luncheon Pictures Committee Reports Progress of the Alumnae Association Crossword Puzzle Missing Graduates Resume of Alumnae Meetings Minutes Class News Student Nurses Section Crossword Puzzle Answers Notice