Audit report is the primary means of communication for auditors. To reduce the phenomenon of agency conflict, auditors work as agents for shareholders and report to them after reviewing the financial statements. In la...Audit report is the primary means of communication for auditors. To reduce the phenomenon of agency conflict, auditors work as agents for shareholders and report to them after reviewing the financial statements. In last 15 years, Australia has witnessed some major changes in Australian economy which have affected Australian business and its auditors＇ opinions. This paper examines the trend of audit opinions issued to Australian listed companies during this period. In total, 20,473 audit opinions were sited over the 15-year period, i.e., from 1996 to 2010. This research found that over the period, unqualified report was the most common type of audit reports issued in Australia with an average of 96.4%. The average rate at which the Big 4 audit firms issue unqualified reports is 88% compared with 76% issued by the non-Big 4 firms. It is also evidenced that the rate at which modified reports were issued during and after global financial crisis （GFC） （2007-2009） has increased across all industries, while the most noticeable increase occurred in the financial services, materials, and industrial sectors.展开更多
The purpose of this research is to examine the impact of financial distress status and corporate governance structures on the level of voluntary disclosure. We apply six independent variables, including the firm＇s fi...The purpose of this research is to examine the impact of financial distress status and corporate governance structures on the level of voluntary disclosure. We apply six independent variables, including the firm＇s financial distress status and five components of corporate governance structures, such as board independence, audit committee independence, institutional ownership, board meeting frequency, and audit committee meeting frequency. This research is carried out by examining the annual reports of 114 non-financial firms listed at the Indonesian Stock Exchange over the period of 2009-2011. To test hypotheses, we undergo two different analyses, including independent samples t-test and Multiple Linear Regression. We find that： （1） The audit committee independence and the audit committee meeting frequency have significant positive impacts on the level of voluntary disclosure; （2） The financial distress status is negatively related to the level of disclosure at various levels of significance; and （3） All the independent variables are simultaneously related to voluntary disclosure.展开更多
This paper presents an in-depth analysis of financially distressed listed companies in China between 1998 and 2002. We compare the predictive power of multiple discriminant analysis （MDA）, logistic regression, and n...This paper presents an in-depth analysis of financially distressed listed companies in China between 1998 and 2002. We compare the predictive power of multiple discriminant analysis （MDA）, logistic regression, and neural network models. We design and implement 126 different forecasting models using different predictive methods, different sample proportions, and different initial independent variables. The aim is to determine which model（s） and variables are best applicable for the short-term prediction of financial distress in China. We find that logistic regression models are superior to multiple discriminant analysis models in terms of prediction accuracy rate, restriction of sample distribution or prediction cost, but the neural network models show promise in their low Type I and Type II errors. The paper also inherently tests the applicability of variables traditionally used for bankruptcy prediction to the purpose of financial distress prediction in China.展开更多
文摘Audit report is the primary means of communication for auditors. To reduce the phenomenon of agency conflict, auditors work as agents for shareholders and report to them after reviewing the financial statements. In last 15 years, Australia has witnessed some major changes in Australian economy which have affected Australian business and its auditors＇ opinions. This paper examines the trend of audit opinions issued to Australian listed companies during this period. In total, 20,473 audit opinions were sited over the 15-year period, i.e., from 1996 to 2010. This research found that over the period, unqualified report was the most common type of audit reports issued in Australia with an average of 96.4%. The average rate at which the Big 4 audit firms issue unqualified reports is 88% compared with 76% issued by the non-Big 4 firms. It is also evidenced that the rate at which modified reports were issued during and after global financial crisis （GFC） （2007-2009） has increased across all industries, while the most noticeable increase occurred in the financial services, materials, and industrial sectors.
文摘The purpose of this research is to examine the impact of financial distress status and corporate governance structures on the level of voluntary disclosure. We apply six independent variables, including the firm＇s financial distress status and five components of corporate governance structures, such as board independence, audit committee independence, institutional ownership, board meeting frequency, and audit committee meeting frequency. This research is carried out by examining the annual reports of 114 non-financial firms listed at the Indonesian Stock Exchange over the period of 2009-2011. To test hypotheses, we undergo two different analyses, including independent samples t-test and Multiple Linear Regression. We find that： （1） The audit committee independence and the audit committee meeting frequency have significant positive impacts on the level of voluntary disclosure; （2） The financial distress status is negatively related to the level of disclosure at various levels of significance; and （3） All the independent variables are simultaneously related to voluntary disclosure.
文摘This paper presents an in-depth analysis of financially distressed listed companies in China between 1998 and 2002. We compare the predictive power of multiple discriminant analysis （MDA）, logistic regression, and neural network models. We design and implement 126 different forecasting models using different predictive methods, different sample proportions, and different initial independent variables. The aim is to determine which model（s） and variables are best applicable for the short-term prediction of financial distress in China. We find that logistic regression models are superior to multiple discriminant analysis models in terms of prediction accuracy rate, restriction of sample distribution or prediction cost, but the neural network models show promise in their low Type I and Type II errors. The paper also inherently tests the applicability of variables traditionally used for bankruptcy prediction to the purpose of financial distress prediction in China.
