Accounting Commons^™

The Media And Mispricing: The Role Of The Business Press In The Pricing Of Accounting Information, Michael S. Drake, Nicholas M. Guest, Brady J. Twedt

Faculty Publications

This study investigates the role of the business press in the pricing of accounting information. Using a comprehensive dataset of more than 111,000 earnings-related business press articles published from 2000–2010, we find that press coverage of the annual earnings announcement mitigates cash flow mispricing, but has a negligible effect on accrual mispricing. We provide evidence that this impact is driven primarily by the press disseminating the information more broadly, rather than by the creation of new content that helps investors understand the implications of accounting information. Our results suggest that the business press plays an important role in facilitating the …

The Reputational Costs Of Tax Avoidance*, John Gallemore, Edward L. Maydew, Jacob Thornock

Faculty Publications

This study investigates whether firms and their top executives bear reputational costs from engaging in aggressive tax avoidance activities. At least two decades of empirical tax research has shown that firms engage in a wide range of strategies for tax avoidance purposes. 1 Recent studies suggest that for many firms, tax avoidance appears to be highly effective at reducing the firms’ tax payments and increasing their after-tax earnings. For example, Dyreng, Hanlon, and Maydew (2008) find that more than a quarter of publicly traded U.S. firms are able to reduce their taxes to less than 20 percent of their pre-tax …

Trust And Financial Reporting Quality, Jace Garrett, Rani Hoitash, Douglas F. Prawitt

Faculty Publications

Using unique survey data from Great Place to Work R Institute, we investigate the association of intraorganizational trust (i.e., employees’ trust in management) with three aspects of financial reporting: accruals quality, misstatements, and internal control quality. We find that trust is associated with better accrual quality, lower likelihood of financial statement misstatements, and lower likelihood of internal control material weakness disclosures. However, these effects are not uniform across all companies. Consistent with trust improving financial reporting quality through improved information production and information sharing, we find that trust is significantly associated with financial reporting quality in relatively decentralized firms, but …

Political Rights And Reported Accounting Numbers: An International Study, Chu Chen

Open Access Theses & Dissertations

I examine how managers' behaviors, including earnings management and conservatism, are influenced by the political environments in 38 countries. The results indicate that greater political rights are associated with better earnings quality and more conservative reporting. I find that political institutions substitute for legal institutions in terms of managers' discretional behaviors. Specifically, a marginal increase in political rights will produce a smaller reduction in earnings management behaviors in a country with better investor protection. Similarly, a marginal increase in political rights will encourage a less improvement on accounting conservatism in a country with better investor protection.

Subordinate Accountants' Perceptions Of Their Superiors' Leadership And Performance: The Study Of Moderating Variables In The Accounting Profession, Raul Tapia, Jr.

Open Access Theses & Dissertations

The purpose of this Dissertation was to examine whether or not the self-monitoring component of adaptive self-regulation and perceptions of organizational politics moderate an accountant's interpersonal traits (interpersonal power and interpersonal trust) of how they perceived their superiors' performance and leadership ability. Accounting is a very diverse field in which individuals must work closely with their superiors to accomplish given tasks. With regulations and high principles that must be followed in daily work, accountants must act in large part to the expectations of others to complete their tasks correctly. Accountants who trust their superiors and have more confidence in his/her …

Essays In Corporate Finance, Shofiqur Rahman

Open Access Theses & Dissertations

This doctoral Dissertation examines the impact of firms' geographic location and labor market friction, both based on the states in which firms are headquartered, on corporate policies. The first essay examines the impact of the geographical location of the firm on the use of operating leases. The main idea of this essay is that, because obtaining information and monitoring is costly for potential lessors, especially when a lessee is relatively far away from financial centers, rural firms are less likely to use operating leases in comparison to their urban counterparts. Consistent with this hypothesis, I show that rural firms tend …

Three Essays On Auditor Industry Specialization, Ankita Singhvi

Open Access Theses & Dissertations

This Dissertation consists of three separate but related essays examining auditor changes, auditor industry specialization and audit fee premiums.

The first essay investigates whether audit committee characteristics affect the types of auditor changes from an industry specialist auditor to a non-industry specialist auditor or the reverse. I examine whether selection of an external auditor is affected by audit committee characteristics such as: 1) number of meetings, 2) number of members on the audit committee, 3) proportion of auditing experts and, 4) proportion of financial experts. The findings show that a greater proportion of auditing experts on the audit committee positively …

A Theoretical Analysis Of Iso9000 Suppliers, Chiaho Chang

Department of Accounting and Finance Faculty Scholarship and Creative Works

This paper looks at the economic behavior of suppliers under different ISO9000 standards, especially that of ISO9001 and ISO9002. Considering the information asymmetry, given the same quality provided, the cost-reducing efforts of the ISO9001 SUPPLIER and ISO9002 SUPPLIER under a fixed, cost-plus contract are investigated. The result shows that the cost-reducing effort of the ISO9002 SUPPLIER is in line with the main manufacturer's expectations while the ISO9001 SUPPLIER is able to keep some of the information rent and exerts less effort. The bargaining power of the ISO9001 SUPPLIER is also stronger relative to that of the ISO9002 SUPPLIER. It is …

Berbagi Pengetahuan Sebagai Alternatif Penciptaanpengetahuan Untuk Staf Pengajar Vokasi Ui, Dyah Safitri

Jurnal Vokasi Indonesia

The process of knowledge sharing becomes important processes for an organization in creating new knowledge and innovation. Tacit and explicit knowledge can be moved through several processes to knowledge sharing. Culture an important part of the process, especially an appreciation of the sources of knowledge that is willing to share the knowledge. In educational organizations especially recently established such as Vocational Program UI should institutionalization of knowledge as a knowledge center will be beneficial in the process of knowledge sharing.

Praktik Governance Perbankan Indonesia Ditinjau Dari Aspek Risiko, Erwin Harinurdin, Asti Setiawati, Wahyu Nofiantoro

Jurnal Vokasi Indonesia

Performance -based banking structures Indonesia does not have a normal life characters banking and still largely determined by the ideological and political policies of the government. Banking recovery by using a very protective manner, such as from the purchase of government bonds with limited or margin lending and guaranteed withdrawal. Various indicators such as bank loan-deposit ratio ( LDR ) and the structure of third-party funds that are still dominated by short-term funds such as checking and savings shows that the bank has not been able to carry out its primary function in the economic system, intermediation. In the framework …

Industri Perbankan Yang Terkonsentrasiapakah Tetap Dapat Berkompetisi?Kasus Perbankan Syariah, Sancoko Sancoko

Jurnal Vokasi Indonesia

This paperdiscusses theconditions ofcompetitionbankingindustryin Indonesia, especiallyIslamic Bankingentity. Islamic Bankbecame the objectof research because significant growth in industrial banking.This studyuses a quantitative approachwith adescriptivedesign. Source ofdata used fromindividualbank's annual reporton the websiteof BankIndonesia fromthe period 2008-2011. Tomeasureaspects ofcompetition Islamic Bankingusing Panzar&Rosestatisticmethods. Results of studyshowed thatIslamic banking came into condition of monopolisticcompetitition structure.

Analisis Sistem Akuntansi Pemerintah Pusat (Sapp) Di Kantor Akuntansi Regional Jakarta, Titis Wahyuni

Jurnal Vokasi Indonesia

This research is intended to describe Central Government Accounting System (SAPP) implemented by the State Financial Accounting Agency (BAKUN) through The Regional Accounting Office (KAR) and the expected outcomes of Central Government Accounting System. In a accounting system, financial statements generated rely on the accuracy and validity of data input transactions. The accuracy and validity of the Government's financial statements generated will depend on the quality of the work done by KARs in managing the Government's financial transaction data input. The method usedin this research isby analyzing the problems/obstaclesfaced by KAR Jakarta and also analyzing the process performed by KAR …

Analisis Rasio Lancar Rumah Sakit X, Marsdenia Marsdenia

Jurnal Vokasi Indonesia

Increasing the efficiency of hospital management sustainability is an ongoing financial management guidelines that absolutely must be adopted by any hospital. This study aims at obtaining information about the components that contribute to the fluctuations of the current ratio Hospital X between 2000, 2001 and 2002. This study used quantitative and qualitative approaches, with the primary data source (in-depth interviews to the relevant parties ie Hospital Director, Chief Financial Officer and Vice Director Adiministrasi Finance) and the secondary data source include financial statements. The research shows that RS X’s current ratio are still in a normal range except in the …

Peningkatan Keterlibatan Mahasiswa Dalampembelajaran Biostatistik Dengan Metode Kooperatifmelalui Media Lembar Kerja Mahasiswa (Lkm) Di Program Studi Perumahsakitan, Nia Murniati, Supriadi Supriadi, Tri Gunadi

Jurnal Vokasi Indonesia

This research is motivated by the lack of passionate students of the Program Studi Perumahsakitan Vokasi in the following study courses Biostatistics, because the teaching method does not make the students become active and participate. Consequently Biostatistics courses often leave some students are forced to repeat the due credit limit does not reach the threshold value eventually pass (C) and of course is very detrimental to the student having to repeat the course credit until they intern (last semester). This study is a class act with the entire student subjects RS1 50 people Academic Year 2012/2013 in the University of …

Catching Companies Who Refuse To Go Green Red-Handed, Wylee Mcgreevy

Honors Theses

Recycling, planting trees, and bringing your own bags to the grocery store are some of the activities people regularly think about when it comes to sustainability. In the grand scheme of life, how much difference can one person make? What if there were stricter standards for corporations which accounted for their emission of pollutants? Environmental Accounting is a branch of accounting that is progressively gaining popularity and has the potential to redefine the standards of sustainability for companies. With integration of past proposals for a carbon tax and a cap and trade system, a new proposal could be formed that …

Management Fee Provisions And Performance In The U.S. Mutual Fund Industry, Brett Anthony Averso

Honors Scholar Theses

This paper examines the extent to which generous portfolio management compensation is commensurate to long-term mutual fund performance, over the course of five to ten years. If the relationship between the compensation provision and historical performance exists, the maximum percent management fees as disclosed on the fund prospectuses could be employed as a covariance factor for a model of portfolio pricing. The results indicate that there is relationship between portfolio net assets and this compensation provision. The results do not support the hypothesis that a relationship exists between the size of the maximum percent management fee and long term fund …

The Sentencing Structure Of White-Collar Crime, Catherine Reeves

Mahurin Honors College Capstone Experience/Thesis Projects

Corporate fraud is an all-too-common element in our society today. Unfortunately, many of those convicted of fraud end up with a seemingly light jail sentence. A possible explanation for this is that the judges could have many subconscious reasons to give lighter sentences in these cases than they do with other more violent cases. Since there are no strict guidelines for the sentencing of these “white-collar criminals,” the judge’s personal views can play a significant role. Many of the laws and guidelines for determining the sentence in fraud cases have stemmed from the corporate scandals of the early 2000’s, but …

Escaping Entity-Centrism In Financial Services Regulation, Anita Krug

All Faculty Scholarship

In the ongoing discussions about financial services regulation, one critically important topic has not been recognized, let alone addressed. That topic is what this Article calls the “entity-centrism” of financial services regulation. Laws and rules are entity-centric when they assume that a financial services firm is a stand-alone entity, operating separately from and independently of any other entity. They are entitycentric, therefore, when the specific requirements and obligations they comprise are addressed only to an abstract and solitary “firm,” with little or no contemplation of affiliates, parent companies, subsidiaries, or multi-entity enterprises. Regulatory entity-centrism is not an isolated phenomenon, as …

Think Your Business Is Ready For Internationalization?, Michael Lee, Michael Wright

Accountancy Faculty Publications and Presentations

Many small and medium-size enterprises that reach a relative saturation point in their domestic market look toward the global stage as a way to grow into a multinational corporation. This is known as internationalization, the process of increasing business involvement in international operations. Internationalization requires considerable resources and coordination, and it is fraught with business risks.

Economic Effects Of Sox Section 404 Compliance: A Corporate Insider Perspective, Cindy Alexander, Scott Bauguess, Gennaro Bernile, Alex Lee, Jennifer Marietta-Westberg

Research Collection Lee Kong Chian School Of Business

We use survey responses from 2,901 corporate insiders to assess the costs and benefits of compliance with Section 404 of the Sarbanes-Oxley Act. The majority of respondents recognize compliance benefits, but they do not perceive these benefits to outweigh the costs, on average. This is particularly true among smaller companies where the start-up costs are proportionately larger. However, the perceived efficiency of compliance increases with auditor attestations, years of compliance experience, and after the remediation of a material weakness. Notably, the perceived effects of compliance depend largely on firm complexity, but are mostly unrelated to firm governance structure.