Accounting Commons^™

Voluntary Changes In Accounting Principle: Literature Review, Descriptive Data, And Opportunities For Future Research, Marsha B. Keune, Timothy M. Keune, Linda C. Quick

Accounting Faculty Publications

Voluntary changes in accounting principle represent explicit and fundamental decisions by managers to exercise accounting discretion. This paper develops an organizing framework to review prior literature on voluntary changes, provides descriptive insights on contemporary changes, and identifies opportunities for future research on voluntary changes. The voluntary change literature is robust and has examined many questions using data prior to the Sarbanes-Oxley Act of 2002 (SOX). We find that contemporary voluntary changes often vary across the pre-SOX, post-SOX, and post-SFAS No. 154 periods by the materiality of their income effect, issue type, and justifications provided by managers, suggesting that manager use …

Are Csr Activities Associated With Shareholder Voting In Director Elections And Say-On-Pay Votes?, Charles Cullinan, Lois S. Mahoney, Pamela B. Roush

Accounting Department Faculty Journal Articles

When making investment decisions, many investors now regularly consider a company’s CSR activities along with traditional financial performance measures (Elliott et al., 2014). Our study considers whether shareholders may also consider CSR activities when voting in director elections and say-on-pay votes. We find that CSR performance is associated with shareholder support in both director elections and say-on-pay votes. In particular, we find higher support for both director elections and executive compensation when there are more CSR strengths. Additionally, we find that the social strength aspect of CSR is the most important component in the relationships between CSR and director elections …

Eva: An Indicator Of Corporate Bankruptcy?, Amanda (Jinxian) Lu

Honors College Theses

Economic value added (EVA) analysis is one of the most common methods to evaluate company’s performance in terms of value creation, which involves ROIC (Return on Invested Capital) and WACC (Weighted Average Cost of Capital) as key drivers. Past studies evaluate the superiority of EVA over other measures of performance and relationship between EVA and stock returns. This paper analyzes the relationship between EVA and bankruptcy on 373 public traded companies in U.S. of which 178 companies filed for bankruptcy between the year of 2015 to October 2017. We present descriptive statistics, conduct univariae grouping tests and correlation between ROIC, …

Principles Of Accounting I, Acc 1101, Course Outline, Rachel Raskin

Open Educational Resources

Principles of Accounting I will introduce the fundamental concepts underlying financial accounting. It will explore the accounting cycle and demonstrate how the financial reporting process is impacted by accounting standards. You will learn to read and understand the financial statements and how proper internal controls are vital for the preparation of accurate and reliable financial information.

The Equity-Financing Channel, The Catering Channel, And Corporate Investment: International Evidence, Yuanto Kusnadi, John K. C. Wei

Research Collection School Of Accountancy

We examine how stock market mispricing affects corporate investment in an internationalsetting. We find that investment is more sensitive to stock prices for equity-dependent firms thanfor non-equity-dependent firms in our international sample. Investment is also more sensitive tostock prices for firms located in countries with more developed capital markets (i.e., lower costsof raising capital), higher share turnover (i.e., shorter shareholder horizons), and higher R&Dintensity (i.e., more opaque assets). More importantly, the positive relation between equitydependence and the sensitivity of investment to stock prices is more pronounced for firmslocated in these same countries. These findings are consistent with the equity-financinghypothesis and …

How Do Accounting Practices Spread? An Examination Of Law Firm Networks And Stock Option Backdating, Teck Meng Junior Tan, Patricia M. Dechow

Research Collection School Of Accountancy

We hypothesize that one way that accounting practices spread is through law firm connections. We investigate this prediction by examining companies that avoided reporting compensation expense by engaging in stock option backdating. We hypothesize that executives engaged in backdating because they were desensitized to its inappropriateness when they learned through their legal counsel that other companies were engaging in this practice. We identify backdating companies through backdating-related restatements of earnings. Using network analysis, we document that backdating companies are more highly connected with other backdating companies via shared law firms. Logistic regressions indicate that the odds of a company backdating …

Pcaob Standards And Related Rules As Of December 2017, Public Company Accounting Oversight Board, American Institute Of Certified Public Accountants (Aicpa)

AICPA Professional Standards

No abstract provided.

Commentary: Wanted - A New Generation Of Accountants, Poh Sun Seow, Gary Pan, Clarence Goh

Research Collection School Of Accountancy

Facing a new wave of automation, young accountants must redefine their role and their value-add to their company, say three Singapore Management University observers.

Blockchain Technology: An Analysis Of Potential Applications And Uses, Jeffrey Kogon

Honors College Theses

This paper will focus on explaining what blockchain technology is, the fundamentals of how it works, and applications of it. By utilizing sophisticated cryptography, a distributed network, a specified order of events the technology is able to create a ledger that cannot be altered due to its existence on many computers that able to detect if the data has been changed or tampered with. To help illustrate the uses of blockchain technology the technical explanation is complemented with real and hypothetical ways that the technology it being used. The use of blockchain technology originated with financial application and has expanded …

Revenue Accrual Quality As An Indicator Of Financial Statement Fraud, Meredith Potts Jackson

Doctoral Dissertations and Projects

This study was conducted to address the need for additional financial statement fraud detection techniques. Accruals were chosen as the focus of this study due to the high likelihood of financial statement manipulation using accruals. Using the Dechow/Dichev accrual quality model, this study tested whether or not accrual quality can be used as an indicator of financial statement fraud. The study concluded that the Dechow/Dichev model found non-fraudulent financial statements to have higher quality accruals than fraudulent financial statements. In addition, accrual quality of non-fraudulent financial statements was found to be significantly different from the accrual quality of fraudulent financial …

A Quantitative Examination Of The Relationship Between Perceived Burnout And Job Satisfaction In Certified Public Accountants, Tanya Haddad

Doctoral Dissertations and Projects

Burnout in accounting is a significant problem that has numerous impacts on organizational effectiveness. Job burnout is the result of prolonged exposure to workload pressure and excessive job demands. As accounting professionals work in a fast-paced and regulated environment, it is important to better understand whether burnout is related to job dissatisfaction within the industry. Employee dissatisfaction can adversely affect organizational change, impacting job performance, turnover intentions, and work attitudes. Organizations need to recognize the negative impacts of burnout in accounting and address ways to increase job satisfaction and workplace productivity. The purpose of this quantitative research was to investigate …

Continuing Professional Education For Licensed Accountants In Tennessee, Brian J. Lucas

Electronic Theses and Dissertations

Accounting is a professional occupation that is continually evolving and requires a dedication to continuing education to meet the legal demands of new regulations and to maintain professional competency. Continuing Professional Education (CPE) is required by state boards for certified public accountants (CPA) to meet these requirements and to maintain professional competence. CPAs are responsible for complying with all applicable CPE requirements, rules, and regulations of state boards of accountancy, as well as those of other professional organizations.

The purpose of this study was to determine the opinions of CPAs about the current requirements for CPE and to determine their …

Measuring Eq Of Chinese Accounting Students, Michael D. Akers, Don E. Giacomino, Sin Li, Joseph Wall

Accounting Faculty Research and Publications

While prior literature has examined the EQ of accounting students and Chinese business student limited research has examined both. This paper examines the self-reported emotional intelligence scores of accounting majors, undergraduate and graduate, at a Chinese university and compares these scores with their parents’ assessment. Our findings suggest that Chinese accounting students have high EQ. Further, the parents’ perceptions of EQ is significant in the determination of the EQ score. This finding is consistent with Goleman’s (1998) comments and has implications for any organization that uses an emotional intelligence instrument as part of the evaluation process.

Statutory Interpretation After Hively: Where Will The Seventh Circuit Go?, Douglas O. Smith

Accounting Faculty Research and Publications

Fifty years ago, when Title VII was passed, no one thought that sexual orientation discrimination was unlawful sex discrimination. The Seventh Circuit’s decision to re-interpret Title VII challenges traditional approaches to statutory interpretation that should put Seventh Circuit litigants on notice of future uncertainty.

Proposed Statement On Auditing Standards, The Auditor’S Responsibilities Relating To Other Information Included In Annual Reports, November 28, 2017, Comments Are Requested By May 15, 2018; Exposure Draft (American Institute Of Certified Public Accountants), 2017, November 28, American Institute Of Certified Public Accountants. Auditing Standards Board

Exposure Drafts, Comment Letters, and Statements of Position

No abstract provided.

Proposed Statement On Auditing Standards, Omnibus Statement On Auditing Standards—2018, November 28, 2017, Comments Are Requested By May 15, 2018; Exposure Draft (American Institute Of Certified Public Accountants), 2017, November 28, American Institute Of Certified Public Accountants. Auditing Standards Board

Exposure Drafts, Comment Letters, and Statements of Position

No abstract provided.

Comment Letters On Proposed Statement On Auditing Standards, Omnibus Statement On Auditing Standards—2018, November 28, 2017, American Institute Of Certified Public Accountants. Auditing Standards Board

Exposure Drafts, Comment Letters, and Statements of Position

No abstract provided.

Proposed Statements On Auditing Standards—Auditor Reporting: Forming An Opinion And Reporting On Financial Statements, Communicating Key Audit Matters In The Independent Auditor’S Report, Modifications To The Opinion In The Independent Auditor’S Report, Emphasis-Of-Matter Paragraphs And Other-Matter Paragraphs In The Independent Auditor’S Report, Proposed Amendments—Addressing Disclosures In The Audit Of Financial Statements, November 28, 2017,Comments Are Requested By May 15, 2018; Exposure Draft (American Institute Of Certified Public Accountants), 2017, November 28, American Institute Of Certified Public Accountants. Auditing Standards Board

Exposure Drafts, Comment Letters, and Statements of Position

No abstract provided.

Comment Letters On Proposed Statement On Auditing Standards, The Auditor’S Responsibilities Relating To Other Information Included In Annual Reports, November 28, 2017, American Institute Of Certified Public Accountants. Auditing Standards Board

Exposure Drafts, Comment Letters, and Statements of Position

No abstract provided.

Comment Letters On Proposed Statements On Auditing Standards—Auditor Reporting: Forming An Opinion And Reporting On Financial Statements, Communicating Key Audit Matters In The Independent Auditor’S Report, Modifications To The Opinion In The Independent Auditor’S Report, Emphasis-Of-Matter Paragraphs And Other-Matter Paragraphs In The Independent Auditor’S Report, Proposed Amendments—Addressing Disclosures In The Audit Of Financial Statements, November 28, 2017, American Institute Of Certified Public Accountants. Auditing Standards Board

Exposure Drafts, Comment Letters, and Statements of Position

No abstract provided.