Download or read book Accounting Restatements and Key Audit Matters disclosure e Book written by MATOZZA FELICE and published by G Giappichelli Editore. This book was released on 2022-07-15 with total page 209 pages. Available in PDF, EPUB and Kindle. Book excerpt: This monograph is one of the few books to investigate the understudied but fascinating topic of accounting restatement in the European context. In the first chapter, substantial changes over time in treatments for correction of errors under the International Financial Reporting Standards and Italian generally accepted accounting principles are examined. Following that, a brief overview of the literature, mainly concerning the United States environment, and characteristics of and trends in accounting issues drawn from restatements announced by a sample of firms listed in European countries from 2016 to 2020 are presented. After a review of multi-country empirical research, chapter 3 presents an assessment of the frequency and severity of restatements at the country, industry and year levels. Finally, chapter 4 considers the forewarning effect of topics communicated in the key audit matters in relation to subsequently revealed account-specific misstatements by proposing a new matching procedure. Throughout the work, the author provides frequent comparisons with findings obtained by United States scholars.

Download or read book Accounting Restatements and Key Audit Matters disclosure written by MATOZZA FELICE and published by G Giappichelli Editore. This book was released on 2022-07-15 with total page 19 pages. Available in PDF, EPUB and Kindle. Book excerpt: This monograph is one of the few books to investigate the understudied but fascinating topic of accounting restatement in the European context. In the first chapter, substantial changes over time in treatments for correction of errors under the International Financial Reporting Standards and Italian generally accepted accounting principles are examined. Following that, a brief overview of the literature, mainly concerning the United States environment, and characteristics of and trends in accounting issues drawn from restatements announced by a sample of firms listed in European countries from 2016 to 2020 are presented. After a review of multi-country empirical research, chapter 3 presents an assessment of the frequency and severity of restatements at the country, industry and year levels. Finally, chapter 4 considers the forewarning effect of topics communicated in the key audit matters in relation to subsequently revealed account-specific misstatements by proposing a new matching procedure. Throughout the work, the author provides frequent comparisons with findings obtained by United States scholars.

Download or read book Financial Statement Restatements written by United States. General Accounting Office and published by . This book was released on 2002 with total page 276 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Financial Reporting Handbook written by Michael R. Young and published by Aspen Publishers Online. This book was released on 2003 with total page 1824 pages. Available in PDF, EPUB and Kindle. Book excerpt: Never before has a single reference provided such quick access to every critical aspect of financial reporting. In addition to covering the new Sarbanes-Oxley legislation, SEC rules and regulations, and corporate governance standards promulgated by the Independence Standards Board and the AICPA at institutions such as New York Stock Exchange, NASDAQ, and the American Stock Exchange, the Financial Reporting Handbook tackles important underlying themes such as the centrality of the audit committee, the individual responsibility of executives, and the integrity of the outside auditor. Best of all, the Financial Reporting Handbook will be updated every quarter with the relevant laws and regulations that are developed and implemented.

Download or read book The Effects of Critical Audit Matter Paragraphs and Accounting Standard Precision on Auditor Liability written by Christine Gimbar and published by . This book was released on 2016 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: The Public Company Accounting Oversight Board recently proposed amendments to the standard audit report that would require the disclosure of critical audit matters (CAMs), and the Securities and Exchange Commission continues to evaluate the use of principles-based (imprecise) accounting standards within U.S. generally accepted accounting principles. We assert that precise accounting standards are perceived by jurors to constrain auditors' control over financial reporting outcomes, resulting in a lower propensity for negligence verdicts when the accounting treatment conforms to the precise standard. However, we hypothesize that the use of either imprecise standards or CAMs removes this constraint, leading to increased auditor liability. We present experimental evidence, including a mediation analysis, supporting this argument. Our results highlight the similarities between the effects of imprecise accounting standards and CAMs on negligence assessments. The results provide insight for regulators and the profession about the potential interactive consequences of the proposed regulatory changes.

Download or read book Reaching Key Financial Reporting Decisions written by Stella Fearnley and published by Wiley. This book was released on 2011-04-18 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: The regulatory framework for financial reporting, auditing and governance has changed radically in recent years, as a result of problems identified from the Enron scandal and more recently from the drive to implement global standards. In a key regulatory change, a company audit committee is now expected to play a significant role in agreeing the contents of the financial statements and overseeing the activities of the auditors. Finance Directors, Audit Committee Chairs and Audit Engagement Partners are required to discuss and negotiate financial reporting and auditing issues, a significant process leading to the agreement of the published numbers and disclosures, and to the issuing of the auditor's report which accompanies them, but which is entirely unobservable by third parties. Reaching Key Financial Reporting Decisions: How Directors and Auditors Interact is a fascinating, behind-the-scenes examination of this closed process. The authors draw on the results of face to face interviews, and an extensive survey of finance directors, audit committee chairs and audit partners, and present nine company case studies highlighting the process of discussion and negotiation and the methods by which the agreed financial reporting outcome was reached. Detailed analysis of the case studies: Allows those involved in the process to benchmark their behaviours against those of others Enables a comparison between the previous and current regulatory environments to see what has changed, and sheds light on the sorts of behaviours the current regulatory framework encourages Evaluates the effectiveness of the changed regulatory regime, providing evidence relevant to current policy debates concerning the value of audit, IFRS and the relative merit of rules-based versus principles-based accounting standards in relation to professional judgement and compliance The unprecedented access and unique insights offered by this book make it invaluable for audit firm staff and partners, audit committee chairs and company directors involved in agreeing the published financial statements, as well as those who have an interest in the financial statements, but do not have access to the negotiation process.

Download or read book The Timing of Accounting Restatements written by Yuezhu Li and published by . This book was released on 2016 with total page 128 pages. Available in PDF, EPUB and Kindle. Book excerpt: Financial disclosure, playing an important role in communicating business situations with external users, is always under strict standards and regulation rules in relation to treatments, contents and presence. Timing of these public announcements then become a popular firms’ disclosure strategy. Using U.S. financial market data over ten years from 2005 to 2015, this study examines the strategic intra-week timing of companies’ restatements disclosure with relation to the news contained. Different from previous studies on highly visible annual earnings announcements or on purely voluntary management forecast announcements, this research uses restatements whose disclosure are mandatory from regulator but the timings are unscheduled. In addition, the market reaction of these restatements in relation to the disclosure timing is examined, showing whether such distraction is a successful strategy in mitigating negative market reactions. This research contributes to both restatements studies and limited attention studies.

Download or read book Accounting restatement a European perspective e Book written by MAFROLLA ELISABETTA and published by G Giappichelli Editore. This book was released on 2021-03-02 with total page 128 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book is motivated by the long-lasting, although still recent, discussion on how to ensure that accounting numbers, while supported by auditors’ favourable opinions, are definitely reliable and eliminate any suspicion that accounting reports could be affected by opportunism, which is documented by the discovery of frequent accounting mistakes. The book analyses and discusses restatements from both the theoretical and the practical perspective, considering the complex environment in which they may occur and focusing particularly on accounting restatements that have affected European corporations for over a decade since the mandatory adoption of the International Financial Reporting Standards.

Download or read book The Routledge Companion to Auditing written by David Hay and published by Routledge. This book was released on 2014-09-15 with total page 387 pages. Available in PDF, EPUB and Kindle. Book excerpt: Auditing has been a subject of some controversy, and there have been repeated attempts at reforming its practice globally. This comprehensive companion surveys the state of the discipline, including emerging and cutting-edge trends. It covers the most important and controversial issues, including auditing ethics, auditor independence, social and environmental accounting as well as the future of the field. This handbook is vital reading for legislators, regulators, professionals, commentators, students and researchers involved with auditing and accounting. The collection will also prove an ideal starting place for researchers from other fields looking to break into this vital subject.

Download or read book Research in Accounting Regulation written by Gary Previts and published by Elsevier. This book was released on 2004-09-17 with total page 347 pages. Available in PDF, EPUB and Kindle. Book excerpt: The scope of service provided by professional accountants is influenced by legislation and case law as well as the dictates of a variety of government and private sector agencies: including State Boards of Accountancy, Academic Accreditation Bodies, the United States Securities and Exchange Commission, the Public Company Accounting Oversight Board, independent standard setting bodies such as the Federal Accounting Standards Advisory Board (US), the Financial Accounting Standards Board (US), the International Accounting Standards Board and self-regulatory organizations such as State Societies of CPA and the American Institute of Certified Public Accountants. There are equivalent and emerging local international bodies that exist in most developed countries. It is important for academics, students, practitioners, regulators and researchers to consider, study and understand the role and relationship of such bodies with the practice and content of our discipline. Research in Accounting Regulation is a refereed annual serial that seeks to publish high quality manuscripts, which address regulatory issues and policy affecting the practice of accountancy, broadly defined. Topics of interest include research based on: 1) Self-regulatory activities. 2) Case law and litigation. 3) Governmental and quasi-governmental regulation. 4) The economics of regulation, including modelling. This research series aims to encourage the submission of original empirical, behavioural or applied research manuscripts that consider strategic and policy implications for regulation, regulatory models and markets. It is intended for individual researchers, practitioners, regulators and students of accountancy who desire to increase their understanding of the regulation of accountancy.

Download or read book UK Financial Statements Presentation and Disclosure Requirements written by Steve Collings and published by Bloomsbury Publishing. This book was released on 2016-10-28 with total page 789 pages. Available in PDF, EPUB and Kindle. Book excerpt: Accounting standards in the UK and Republic of Ireland are going through a radical change. This book outlines the changes concerned, how they affect companies, what differences exist between the new and the old rules and what practitioners and directors should be aware of in producing financial statements for statutory purposes. To aid this theory, numerous worked examples and illustrative model accounts are included to help preparers understand how these changes should be implemented.Practitioners and preparers of accounts need to be fully versed in the changes to accounting practice and the stumbling blocks to avoid under the new rules. Each chapter contains a 'Pitfalls to avoid' section as well as a 'Chapter summary' to help preparers to understand the key differences. Invariably, if the accounts themselves are incorrect due to a misunderstanding of the new treatments, the resulting tax will be incorrect.UK Financial Statements: Presentation and Disclosure Requirements provides a comprehensive overview of the new reporting regimes in the UK and Republic of Ireland. Written by an expert in UK company financial reporting issues, it includes illustrative financial statements, model disclosures and the structure of the primary statements under new UK GAAP andEU-adopted IFRS. The appendices also contain useful disclosure checklists.The book is ideal for: Practitioners dealing with all types of companies Tax advisers Company directors Students studying for professional examinationsCoverage includes:Introduction;Overview of the revised Companies Act 2006;Summary of new UK GAAP and emerging issues and how to deal with them;Overview of small and micro-entity reporting requirements;Sample micro-entity financial statements;Sample small company financial statements;Sample medium-sized company financial statements;Sample large (unlisted) company financial statements;Sample EU-adopted IFRS financial statements;Abridged and adapted financial statements;Consolidated financial statements - overview of the requirements;Sample consolidated financial statements prepared to UK GAAP;Sample consolidated financial statements prepared to EU-adopted IFRS;Auditing financial statement disclosures.Appendices include: Disclosure checklists for micro-entities, small companies, medium-sized companies, large companies and EU-endorsed IFRS.

Download or read book Following the Money written by George Benston and published by Brookings Institution Press. This book was released on 2004-05-13 with total page 154 pages. Available in PDF, EPUB and Kindle. Book excerpt: A Brookings Institution Press and American Enterprise Institute publication A few years ago, Americans held out their systems of corporate governance and financial disclosure as models to be emulated by the rest of the world. But in late 2001 U.S. policymakers and corporate leaders found themselves facing the largest corporate accounting scandals in American history. The spectacular collapses of Enron and Worldcom—as well as the discovery of accounting irregularities at other large U.S. companies—seemed to call into question the efficacy of the entire system of corporate governance in the United States. In response, Congress quickly enacted a comprehensive package of reform measures in what has come to be known as the Sarbanes-Oxley Act. The New York Stock Exchange and the NASDAQ followed by making fundamental changes to their listing requirements. The private sector acted as well. Accounting firms—watching in horror as one of their largest, Arthur Andersen, collapsed after a criminal conviction for document shredding—tightened their auditing procedures. Stock analysts and ratings agencies, hit hard by a series of disclosures about their failings, changed their practices as well. Will these reforms be enough? Are some counterproductive? Are other shortcomings in the disclosure system still in need of correction? These are among the questions that George Benston, Michael Bromwich, Robert E. Litan, and Alfred Wagenhofer address in Following the Money. While the authors agree that the U.S. system of corporate disclosure and governance is in need of change, they are concerned that policymakers may be overreacting in some areas and taking actions in others that may prove to be ineffective or even counterproductive. Using the Enron case as a point of departure, the authors argue that the major problem lies not in the accounting and auditing standards themselves, but in the system of enforcing those standards.

Download or read book Disclosure Checklists written by American Institute of Certified Public Accountants. Technical Information Division and published by . This book was released on 1981 with total page 438 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Financial Reporting Fraud written by Charles R. Lundelius and published by American Institute of Certified Public Accountants (AICPA). This book was released on 2003 with total page 324 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Variability of Accounting Restatement Measurement in Audit Quality Research written by R. Drew Sellers and published by . This book was released on 2018 with total page 37 pages. Available in PDF, EPUB and Kindle. Book excerpt: In this research note, we examine the application of three methods used to operationalize the financial restatement variable in empirical archival accounting literature. Research exploring financial reporting and audit quality often employs financial restatements as a proxy for low audit quality. A review of recent articles reveals three distinct variations in operationalizing the restatement variable: announcement date, first occurrence and all occurrences. Using a typical audit quality model and restatement data from 2003-2014 we find statistically distinct results from each of the three measurement choices evaluated. The results suggest an incorrect choice may subject research findings to reductions in explanatory power, risk of type 1 and type 2 errors, and altered direction (sign) of coefficients. Suggestions for applying the findings to select an appropriate measurement approach for a given research question are discussed.

Download or read book Sarbanes Oxley Institute written by and published by . This book was released on 2003 with total page 384 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Audit Committee Indices Firm Value and Accounting Outcomes written by Wael Almaqoushi and published by . This book was released on 2017 with total page 59 pages. Available in PDF, EPUB and Kindle. Book excerpt: We investigate the relation between audit committee (AC, hereafter) quality indices derived from a principal component analysis (PCA) and firm value using a sample of 12,301 firms over the period 2002 to 2012. We also examine the usefulness of the indices in predicting the quality of a firm's internal controls, financial reporting, and audit quality. We report a significant positive (negative) relation between 'high' ('low') AC quality firms and future firm value, measured as industry-adjusted Tobin's q, supporting the view that AC characteristics have a significant impact on firm value. We show that low AC quality firms are significantly more likely to have internal control concerns disclosed by predecessor auditors, including accounting standard issues, financial restatements, audit opinion concerns, and deficiencies that undermine internal control effectiveness. We also show that low AC quality firms are more likely to manage earnings, be external auditor dependent with respect to non-audit tax services, and switch to a lower quality auditor. Further, they are also more likely to receive an audit report containing additional explanatory notes, consistent with a higher likelihood of future financial misstatements. Conversely, high AC quality firms are less likely to have accounting issues, dismiss an auditor after disagreements, have adverse restatements, and receive an audit report containing additional explanatory notes. Taken together, our findings support the view that the AC plays an important role in monitoring the financial reporting process. The results are robust to several econometric concerns primarily related to endogeneity, and to controls that capture broader firm-level governance characteristics, suggesting that AC quality has incremental value in driving better financial reporting, and internal control outcomes and, more importantly, firm value.