Litigation Risk and Abnormal Accruals

In this paper, we examine the relation between auditor litigation risk and abnormal accruals over the 1989-2007 time period. We address potential endogeneity in prior studies by jointly modeling abnormal accruals and litigation risk in a simultaneous equation system. Our findings suggest that client-specific litigation risk affects auditor incentives to acquiesce to client demands for earnings management, i.e., the higher the risk of auditor litigation, the greater the auditor’s restraining influence on the abnormal accruals reported by the client. We also find evidence that abnormal accruals increase the likelihood of auditor litigation. We also document that the 1995 Public Securities Litigation Reform Act (PSLRA) lowered the client-specific risk of auditor litigation. Litigation reform remains a topic of ongoing interest. Our findings contribute to a better understanding of the effects of litigation reform (and related changes in legal exposure) on auditor incentives and earnings management.: Litigation risk, abnormal accruals, auditor incentives

The Current Standing and Future Prospects of ARTS and Culture in Ethiopia

This research article explores the current state of affairs of arts and culture sector in Ethiopia. An in-depth analysis of various dimensions of art and culture highlights where the country is presently lacking in governance and socio-economic progress in the sector. A qualitative research was carried out to collect primary data. 52 respondents were chosen to be interviewed from Bahir Dar University by the method of quota sampling and the results were analyzed. Secondary data was also analyzed through academic literature from universities in Ethiopia, reports from government and development organizations. Survey results and existing academic literature have guided to single out major hindrances to this sector. In this research it can be confirmed, that the arts and culture sector needs a major intervention in terms of governance and marketing. This research gives out a very structural strategy, based on cultural governance, cultural economics and strategies of new business development as it pillars to support the prosperity of this sector in Ethiopia. The existing academic research provides data on different arts and culture and problems which are specific to a particular region of the country. Whereas this article goes a step further in enforcing the ordinance of cultural governance to the responsible government bodies both locally and nationally and simultaneously highlights how economic progress can be achieved through this sector. Cultural governance as a directive has never been implemented in transition economies and this article will serve as a directive for the future. This article shall be very beneficial for further research in this sector and structuring the work of government bodies, stake holders and the people involved in the sector within Ethiopia

Impact of Job Complexity and Performance on CFO Compensation

Prior research suggests that Big 4 auditors provide higher quality audits by virtue of their large size. Still, the recent reforms mandated by the Sarbanes Oxley Act – by increasing client and auditor incentives for accurate reporting – may have narrowed audit quality differences across auditor groups. In this paper, we examine audit quality for Big 4 and Mid-tier auditors during 2003-06 and include clients of other smaller audit firms for comparison purposes. We examine actual audit quality (as proxied by earnings management metrics) as well as perceived audit quality (as proxied by the client- and year-specific eloading and ex ante equity risk premium metrics). We include in our analysis only those Big 4 clients for whom the Mid-tier firms are potentially viable as auditors. Relative to other smaller audit firm clients, we find Big 4 and Mid-tier audit clients to have (1) lower levels of accrual management, (2) higher levels of real earnings management, and (3) higher levels of investor-perceived accruals quality. In each case, we were unable to reject the null that Big 4 and Mid-tier audits are similar. However, we find Big 4 audit clients to have a lower client-specific ex ante equity risk premium relative to both Mid-tier and other smaller audit firm clients. Collectively, our findings indicate that in situations where a Mid-tier auditor is potentially viable, Big 4 clients could utilize a Mid-tier firm without adversely affecting audit quality. Still, the results suggest that Big 4 clients have a lower ex ante cost of equity capital which is likely related to the insurance considerations (“deep pockets”) – rather than the audit quality -- associated with having a Big 4 auditor.Auditor concentration, Audit quality, Earnings management, Cost of equity capital.

Effect of different marinade treatments on survival and morphology of pathogens in beef jerky

The entire thesis text is included in the research.pdf file; the official abstract appears in the short.pdf file; a non-technical public abstract appears in the public.pdf file.Title from PDF of title page (University of Missouri--Columbia, viewed on December 29, 2009).Thesis advisor: Dr. Andrew D. Clarke.Includes bibliographical references.M.S. University of Missouri--Columbia 2009.Dissertations, Academic -- University of Missouri--Columbia -- Food science.In the early fall of 2003, the Food Safety and Inspection Service (FSIS 2004) found that producers of meat and poultry jerky were not adequately processing the meat to achieve the lethality required to kill or reduce the number of microorganisms. In this project, ground beef jerky was prepared with four different treatments i.e. traditional marinade (TM), modified marinade (MM), acetic acid-traditional marinade (AATM), Tween 20-traditional marinade (TWTM), along with a control. The jerky strips were individually inoculated with four different bacterial strains i.e. E. coli O157:H7, S. Typhimurium, L. monocytogenes and S. aureus and stored at ambient temperature under vacuum packaging for analysis at 7 day intervals up to 28 days. The parameters studied were pH, water activity and enumeration of microbial count. Every marinade used in this study was effective in reducing pathogen survival on inoculated beef jerky when compared to the control, which was evident by low microbial count in treated jerky samples compared to control. In order to reduce the survival of pathogens that are introduced to the surface of beef jerky post-processing, a combination of marinade reformulation, effective thermal processing, and avoidance of cross - contamination is considered ideal for ensuring the safety of beef jerky for consumers

OsIAA1, an Aux/IAA cDNA from rice, and changes in its expression as influenced by auxin and light

The Aux/IAA class of genes are rapidly induced by exogenous auxins and have been characterized extensively from many dicot species like Arabidopsis, Glycine max and Pisum sativum. We report here the isolation and characterization of rice (Oryza sativa L. subsp. Indica) OsIAA1 cDNA as a monocot member of the Aux/IAA gene family. The predicted amino acid sequence of OsIAA1 corresponds to a protein of ca. 26 kDa, which harbors all four characteristic domains known to be conserved in Aux/IAA proteins. The conservation of these Aux/IAA genes indicates that auxins have essentially a similar mode of action in monocots and dicots. Northern blot analysis revealed that the OsIAA1 transcript levels decrease in the excised coleoptile segments on auxin starvation, and the level is restored when auxin is supplemented; the increase in OsIAA1 transcript level was apparent within 15 to 30 min of auxin application. Auxin-induced OsIAA1 expression appears to be correlated with the elongation of excised coleoptile segments. In light-grown rice seedlings, OsIAA1 is preferentially expressed in roots and basal segment of the seedling, whereas in the etiolated rice seedlings, the OsIAA1 transcripts are most abundant in the coleoptile. A comparative analysis in light- and dark-grown seedling tissues indicates that the OsIAA1 transcript levels decrease on illumination

Apomixis: an enigma with potential applications

Apomixis has been the focus of research in plant sciences in recent years with lot of scope for crop improvement. It results in clonal progeny without fertilization, having maternal genetic constitution. The impact of introducing apomixis in crop plants could be significant mainly for its use in fixation of hybrid vigour. Because of epigenetic barriers, introgression of apomixis from a close relative to a sexual crop plant by conventional plant breeding methods could not generate expected results. Recent developments in plant molecular biology and biotechnology can help in developing potential strategies. This article summarizes various aspects of apomixis research that are being followed in India and abroad