Download or read book The Effects of Auditor Interaction on Going concern Judgments written by Inshik Seol and published by . This book was released on 1996 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Effects of Performing Other Audit Tasks on Going Concern Judgments written by Stephen E. Rau and published by . This book was released on 1997 with total page 106 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Effects of Performing Other Audit Tasks on Going Concern Judgements written by Stephen E. Rau and published by . This book was released on 1997 with total page 212 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Predecisional Distortion of Evidence as a Consequence of Real time Audit Review written by Thomas Jeffrey Wilks and published by . This book was released on 2000 with total page 164 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Auditor Going Concern Reporting written by Marshall A. Geiger and published by Routledge. This book was released on 2021-06-09 with total page 160 pages. Available in PDF, EPUB and Kindle. Book excerpt: Auditor reporting on going-concern-related uncertainties remains one of the most challenging issues faced by external auditors. Business owners, market participants and audit regulators want an early warning of impending business failure. However, companies typically do not welcome audit opinions indicating uncertainty regarding their future viability. Thus, the auditor’s decision to issue a "going concern opinion" (GCO) is a complex and multi-layered one, facing a great deal of tension. Given such a rich context, academic researchers have examined many facets related to an auditor’s decision to issue a GCO. This monograph reviews and synthesizes 182 recent GCO studies that have appeared since the last significant review published in 2013 through the end of 2019. The authors categorize studies into the three broad areas of GCO: (1) determinants, (2) accuracy and (3) consequences. As an integral part of their synthesis, they summarize the details of each study in several user-friendly tables. After discussing and synthesizing the research, they present a discussion of opportunities for future research, including issues created or exacerbated as a result of the global COVID-19 pandemic. This monograph will be of assistance to researchers interested in exploring this area of auditor responsibility. It will also be of interest to auditing firms and individual practitioners wanting to learn what academic research has examined and found regarding this challenging aspect of audit practice. Auditing standard-setters and regulators will find it of interest as the authors review numerous studies examining issues related to audit policy and regulation, and their effects on GCO decisions. The examination of GCO research is extremely timely given the financial and business disruption caused by the worldwide COVID-19 pandemic. This unprecedented global event has caused companies, auditors and professional bodies to revisit and reassess their approach to going concern, and to think even more deeply about this fundamental business imperative.
Download or read book Auditor Going Concern Reporting written by Marshall A. Geiger and published by Routledge. This book was released on 2021 with total page 168 pages. Available in PDF, EPUB and Kindle. Book excerpt: "Auditor reporting on going-concern-related uncertainties remains one of the most challenging issues faced by external auditors. Business owners, market participants and audit regulators want an early warning of impending business failure. However, companies typically do not welcome audit opinions indicating uncertainty regarding their future viability. Thus, the auditor's decision to issue a "going concern opinion" (GCO) is a complex and multi-layered one, facing a great deal of tension. Given such a rich context, academic researchers have examined many facets related to an auditor's decision to issue a GCO. This monograph reviews and synthesizes 182 recent GCO studies that have appeared since the last significant review published in 2013 through the end of 2019. The authors categorize studies into the three broad areas of GCO 1) determinants, 2) accuracy, and 3) consequences. As an integral part of their synthesis, they summarize the details of each study in several user-friendly tables. After discussing and synthesizing the research, they present a discussion of opportunities for future research, including issues created or exacerbated as a result of the global COVID-19 pandemic. This monograph will be of assistance to researchers interested in exploring this area of auditor responsibility. It will also be of interest to auditing firms and individual practitioners wanting to learn what academic research has examined and found regarding this challenging aspect of audit practice. Auditing standard-setters and regulators will find it of interest as the authors review numerous studies examining issues related to audit policy and regulation, and their effects on GCO decisions. The examination of GCO research is extremely timely given the financial and business disruption caused by the worldwide COVID-19 pandemic. This unprecedented global event has caused companies, auditors and professional bodies to revisit and reassess their approach to going concern, and to think even more deeply about this fundamental business imperative"--
Download or read book Judgment and Decision Making Research in Accounting and Auditing written by Robert H. Ashton and published by Cambridge University Press. This book was released on 1995-09-29 with total page 311 pages. Available in PDF, EPUB and Kindle. Book excerpt: A timely and comprehensive study on behavioural decision-making within the field of accounting.
Download or read book Auditor Judgments written by Christine E. L. Tan and published by . This book was released on 1996 with total page 37 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Effect of Stage of Development and Financial Health on Auditor Decision Behavior in the Going Concern Task written by Andrew J. Rosman and published by . This book was released on 1999 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: The effect of different task settings within an industry on auditor behavior is examined for the going-concern task. Using an interactive computer process-tracing method, experienced auditors from four Big 6 accounting firms examined cases based on real data that differed on two dimensions of task settings: stage of organizational development (start-up and mature) and financial health (bankrupt and nonbankrupt). Auditors made judgments about each entity?s ability to continue as a going concern and, if they had substantial doubt about continued existence, they listed evidence they would seek as mitigating factors. There are seven principal results. First, information acquisition and, by inference, problem representations were sensitive to differences in task settings. Second, financial mitigating factors dominated nonfinancial mitigating factors in both start-up and mature settings. Third, auditors? behavior reflected configural processing. Fourth, categorizing information into financial and nonfinancial dimensions was critical to understanding how auditors? information acquisition and, by inference, problem representations differed across settings. Fifth, Type I errors (determining that a healthy company is a going-concern problem) differed from correct judgments in terms of information acquisition, although Type II errors (determining that a problem company is viable) did not. This may indicate that Type II errors are primarily due to deficiencies in other stages of processing, such as evaluation. Sixth, auditors who were more accurate tended to follow flexible strategies for financial information acquisition. Finally, accurate performance in the going-concern task was found to be related to acquiring (1) fewer information cues, (2) proportionately more liquidity information and (3) nonfinancial information earlier in the process.
Download or read book The Effect of Experience on the Use of Irrelevant Evidence in Auditor Judgment written by Sandra Waller Shelton and published by . This book was released on 1999 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: Auditors encounter both relevant and irrelevant information during the performance of audit tasks. Prior studies have shown that the presence of irrelevant information weakens the impact of relevant information on auditors' judgments. Such studies, however, have not considered whether experience moderates the diluting effect of irrelevant information on auditors' judgments. This study reports the results of an experiment in which the effect of irrelevant information on the going-concern judgments of less experienced auditors -- audit seniors -- is compared to the effect of irrelevant information on the going-concern judgments of more experienced auditors -- audit managers and partners. The experiment re-affirms that irrelevant information does have a diluting effect on the judgments of audit seniors but provides new evidence that irrelevant information does not have a diluting effect on the judgments of audit managers and partners.
Download or read book Does Performing Other Audit Tasks Affect Going Concern Judgments written by Stephen E. Rau and published by . This book was released on 2000 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: This study examines whether personally performing other audit tasks can bias supervising seniors? going-concern judgments. During an audit, the senior performs some audit tasks him/herself and delegates other tasks to staff members. When personally performing an audit task, the senior would focus on the evidence related to that task. We predict that such evidence will have greater influence on the senior?s subsequent going-concern judgment. The results of our experiment are consistent with our predictions. When provided with an identical set of information, seniors who performed another audit task for which the underlying facts of the case reflected positively (negatively) on the company?s viability, subsequently made going-concern judgments that were relatively more positive (negative). Our results also demonstrate that the well-documented tendency of auditors to attend more to negative information does not always dominate auditors? information processing. Subjects who performed the task for which the underlying facts reflected positively on the company?s viability directed their attention to such positive information and, consequently, both their memory and judgements were more positive than those of subjects in the other conditions. Recent findings indicating that biases in seniors? going-concern judgments may not be fully offset in the review process are discussed along with other potential implications of our results.
Download or read book The Effect of Nondiagnostic Evidence and Accountability on Auditor Judgment written by Sandra W. Shelton and published by . This book was released on 1994 with total page 294 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Going Concern Judgments written by Robert R. Tucker and published by . This book was released on 2004 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Statement on Auditing Standards No. 59 requires auditors to assess whether substantial doubt exists about a client's ability to remain a going concern. This study reports an experimental economic test of a game-theoretic model of that judgment. Competing behavioral predictions are based on loss avoidance, risk seeking, altruism, and adversarial play. We also examine how strategic dependence affects auditors' and clients' propensity to depart from equilibrium. The auditor conveys to the client a forecast on business survival and the intention to express a clean or going-concern opinion. The client can attempt to avoid a going-concern opinion and its potential self-fulfilling prophecy effect by switching auditors. Several subjects played pure strategies consistent with loss avoidance, adversarial play, and risk seeking. Nevertheless, the experimental results support the model's prediction that the first treatment variable, self-fulfilling prophecy, leads auditors to express fewer going-concern opinions and leads clients to switch auditors more frequently, particularly when the audit evidence has low forecast accuracy. The second treatment variable, forecast accuracy, also has a significant effect on subject behavior. However, in contrast to the model's predictions, inaccurate forecasts did not lead auditors to express more clean opinions but led clients to switch auditors more frequently.
Download or read book Locus of Control and Going concern Judgements the Mediating Effect of Nondiagnostic Information and Decision Aid Availability written by and published by . This book was released on 1998 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Strategic Auditor Behavior and Going Concern Decisions written by Ella Mae Matsumura and published by . This book was released on 2002 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper analyzes a game theoretic model in which a client can potentially avoid a going concern opinion and its self fulfilling prophecy by switching auditors. Incumbent auditors are less willing to express a going concern opinion the more credible the client's threat of dismissal and the stronger the self fulfilling prophecy effect. Similarly, the client is more willing to switch auditors the more likely it is that auditors' reporting judgments will differ and the stronger the self fulfilling prophecy effect. Further, with greater noise in the auditor's forecast of client viability, the auditor tends to express fewer going concern opinions.
Download or read book The Influence of Information Order Effects and Trait Professional Skepticism on Auditors Belief Revisions written by Kristina Yankova and published by Springer. This book was released on 2015-02-10 with total page 321 pages. Available in PDF, EPUB and Kindle. Book excerpt: Kristina Yankova addresses the question of what role professional skepticism plays in the context of cognitive biases (the so-called information order effects) in auditor judgment. Professional skepticism is a fundamental concept in auditing. Despite its immense importance to audit practice and the voluminous literature on this issue, professional skepticism is a topic which still involves more questions than answers. The work provides important theoretical and empirical insights into the behavioral implications of professional skepticism in auditing.
Download or read book Audit Reporting for Going Concern Uncertainty written by Sandro Brunelli and published by Springer. This book was released on 2018-02-07 with total page 105 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book employs a narrative analytical approach to explore all aspects of the debate surrounding auditor reporting on going concern uncertainty worldwide. In-depth analysis of significant academic studies and of regulatory perspectives is combined with an illuminating empirical study in the Italian context. The book opens by discussing the assessment of going concern for accounting and auditing purposes. It is examined how going concern is considered in the FASB and IASB accounting standards and how auditors in the PCAOB and IAASB environments should verify its presence in financial statements and report on it in the audit report. Accounting and auditing in relation to going concern in other jurisdictions are also addressed. Research into the determinants, accuracy, and consequences of going concern opinions (GCO) is then thoroughly reviewed, with separate examination of studies and trends in the United States, Europe, and the rest of the world. In the third part of the book, interesting evidence from the Italian Stock Market, including investor reactions to GCOs during the period 2008–2014, is presented and evaluated. The book will be of interest to academics, regulators, and practitioners alike.
