Examining #us #bank holding companies, this research analyzes how #audit committee oversight influences financial reporting quality. Leveraging Section 165 h of the Dodd–Frank Act, which mandates separate #audit and #risk committees for large bank holding firms, the study employs a difference-in-differences approach. The separation leads to enhanced reporting quality due to improved audit committee focus stemming from reduced task complexity post-Section 165 h.
This study, based on #cdc data, investigates the relationship between #influenza-like illnesses (ILIs) and #audit outcomes in public companies. The study explores whether the overlap between #fluseason and the audit busy season affects #auditquality, as the demanding nature of audits may lead to employees going to work sick. The study finds that audit offices at highest risk of ILIs experience delayed audit report filings and lower audit quality due to impaired cognitive functioning resulting from #presenteeism. These findings have broad implications for workplaces and the audit profession, highlighting the impact of #health impairments on company outputs.
#audit is increasingly being called upon to provide assurance on #esg#claims made by their clients, in addition to assessing the accuracy of financial numbers. The concept of #doublemateriality, which involves assessing materiality from both financial and non-financial aspects, is becoming increasingly important in audits. This paper proposes an audit approach that incorporates a “double materiality” lens of financial and ESG data to evaluate the #compliancerisk of ESG #disclosure.
"This study proposes a comprehensive method (with representative AI-Technologies as a data basis) for the structured and targeted categorization and classification of AI under the risk-based audit approach. Initial feedback received by AI-Experts regarding the design and development of the artifact is collected. With the developed method, the study contributes to the descriptive and prescriptive knowledge base regarding the categorization and classification of AI within the auditing and accounting profession."
"Our evidence also implies that client firms that share the same audit office as breached firms increase their disclosure of cybersecurity risk and their demand for cybersecurity human capital. Reconciling with the Bayesian learning theory, these effects only manifest for auditors located in states that have been only sporadically exposed to data breaches."
"This study is the first to comprehensively investigate the five lines of accountability as opposed to single lines in the theoretical context of institutional theory. It provides several implications for practice."
"… auditors increase audit fees, provide higher audit quality, and are more likely to resign from suspected clients, suggesting that auditors proactively manage risk in response to regulatory scrutiny."