skip to main content
Language:
Search Limited to: Search Limited to: Resource type Show Results with: Show Results with: Search type Index

Public Equity and Audit Pricing in the United States

Journal of accounting research, 2014-05, Vol.52 (2), p.303-339 [Peer Reviewed Journal]

2014 The Accounting Research Center at the University of Chicago Booth School of Business ;Copyright ©, University of Chicago on behalf of the Accounting Research Center, 2014 ;ISSN: 0021-8456 ;EISSN: 1475-679X ;DOI: 10.1111/1475-679X.12041 ;CODEN: JACRBR

Full text available

Citations Cited by
  • Title:
    Public Equity and Audit Pricing in the United States
  • Author: BADERTSCHER, BRAD ; JORGENSEN, BJORN ; KATZ, SHARON ; KINNEY, WILLIAM
  • Subjects: Accounting ; Analysis ; Audit fees ; Audit requirements ; Auditing ; Audits ; Business audits ; Cross-sectional analysis ; Equity ; Fees ; Fees & charges ; Financial audits ; Internal audits ; Litigation ; Ownership ; Private equity ; Private life ; Public debt ; Securities industry ; Stock exchange ; Studies ; Tax audits ; U.S.A
  • Is Part Of: Journal of accounting research, 2014-05, Vol.52 (2), p.303-339
  • Description: To what degree are audit fees for U.S. firms with publicly traded equity higher than fees for otherwise similar firms with private equity? The answer is potentially important for evaluating regulatory regime design efficiency and for understanding audit demand and production economics. For U.S. firms with publicly traded debt, we hold constant the regulatory regime, including mandated issuer reporting and auditor responsibilities. We vary equity ownership and thus public securities market contextual factors, including any related public firm audit fees from increased audit effort to reduce audit litigation risk and/or pure litigation risk premium (litigation channel effects). In cross-section, we find that audit fees for public equity firms are 20–22% higher than fees for otherwise similar private equity firms. Time-series comparisons for firms that change ownership status yield larger percentage fee increases (decreases) for those going public (private). Results are consistent with litigation channel effects giving rise to substantial incremental audit fees for U.S. firms with public equity ownership.
  • Publisher: Chicago: Blackwell Publishing Ltd
  • Language: English
  • Identifier: ISSN: 0021-8456
    EISSN: 1475-679X
    DOI: 10.1111/1475-679X.12041
    CODEN: JACRBR
  • Source: Alma/SFX Local Collection
Back to results list
INSPIRE LIBRARY - TON DUC THANG UNIVERSITY (84-028) 37 755 057 Feedback
19 Nguyen Huu Tho St. Dist.7, HCM thuvien@tdtu.edu.vn

Copyright © 2017 INSPIRE LIBRARY - TON DUC THANG UNIVERSITY

Searching Remote Databases, Please Wait