Auditing: A Journal of Practice & Theory articles from March 2001

Auditing: A Journal of Practice & Theory archives from March 2001

Further Evidence on the Auditor's Going-Concern Report: The Influence of Management Plans.(Statistical Data Included)
March 1, 2001... SAS No. 59 provides auditors with professional guidance concerning the assessment of a client's ability to continue as a going concern. Prior studies have found that auditor's going-concern decisions are related to financial condition, company...

How Effective Is Joint Public and Private Monitoring? The Case of the AICPA Auditor Change Notification Letter.(Statistical Data Included)
March 1, 2001... The AICPA SEC Practice Section (SECPS) requires a member firm to notify its former client and the Chief Accountant of the SEC in writing within five business days of the date the auditor resigns or is dismissed. During 1993-1995, the SECPS...

An Examination of Auditors' Reporting Intentions when Another Auditor is Offered Client Employment.
March 1, 2001... Recently, the Independence Standards Board (ISB) expressed concern over the independence issues that surface when audit professionals seek or are offered employment with clients. This is a common occurrence that may have a negative impact on...

Factors Affecting Internal Auditors' Consideration of Fraudulent Financial Reporting during Analytical Procedures.(Statistical Data Included)
March 1, 2001... Internal auditors serve a vital function in corporate financial reporting. One area where internal auditors play an important role is in the prevention and detection of fraudulent financial reporting. The Standards for the Professional Practice...

An Experimental Assessment of Recent Professional Developments in Nonstatistical Audit Sampling Guidance.(Statistical Data Included)
March 1, 2001... In 1999, the American Institute of Certified Public Accountants issued an Auditing Practice Release (APR) entitled Audit Sampling. The new APR updates sampling guidance to reflect current terminology and auditing standards. It also provides...

Board Independence and Audit-Firm Type.(Statistical Data Included)
March 1, 2001... This paper examines the association between the composition of an entity's board of directors and the type of external auditor responsible for auditing the entity's annual financial statements. Prior studies generally assume that management...

Long-Term Trends in Audit Fees.
March 1, 2001... There is little evidence on long-term trends in audit fees. While there have been many studies, their focus has generally been limited to a few years. This study examines audit fee trends over an 18-year period (1980-1997). The study involves...

Additional Evidence on Audit Report Lag.(Statistical Data Included)
March 1, 2001... Investors in today's markets are looking to accountants to provide greater information on a more timely basis. At the same time, information technology is dramatically reducing the time it takes to close a company's books and prepare financial...

Task Experience as a Predictor of Superior Loan Loss Judgments.(Statistical Data Included)
March 1, 2001... When auditing financial institutions, auditors conclude on the collectibility of existing commercial loans as of the date of the balance sheet. These judgments are extrapolated to the client's loan portfolio to estimate the loan loss allowance...

The Effects of Small Monetary Incentives on Response Quality and Rates in the Positive Confirmation of Account Receivable Balances.(Statistical Data Included)
March 1, 2001... The AICPA Professional Standards (AICPA 1997, AU330) considers the confirmation of accounts receivable balances to be a generally accepted auditing procedure. A major drawback to the procedure is that auditors are often confronted with high...

The Effectiveness of Increasing Sample Size to Mitigate the Influence of Population Characteristics in Haphazard Sampling.(Statistical Data Included)
March 1, 2001... A recent survey of auditors found that the majority of audit samples are selected using haphazard sampling, i.e., selecting items using professional judgment. Yet, over 40 years ago experts in audit sampling expressed concerns that samples...

Bankruptcies, Audit Reports, and the Reform Act.(Statistical Data Included)
March 1, 2001... In 1995 the Private Securities Litigation Reform Act codified into law the audit reporting requirements under SAS No. 59 relating to going concern. This study examines auditor reporting before and after the enactment of the Reform Act to assess...

On Audit Committee Appointments.(Statistical Data Included)
March 1, 2001... Policy makers have recently drawn emphasis to the independence of audit committee members as a prime determinant of financial-reporting quality. Yet, ability and willingness to perform well in an audit committee are probably related to other...