Document Type
Article
Publication Title
Advances in Accounting, Finance and Economics
ISSN
1930-9139
Volume
1
Issue
1
First Page
1
Last Page
11
Publication Date
Summer 1-1-2008
Abstract
Several reports during 2005 -2007 questioned how over one-hundred pub-licly-traded companies had apparently backdated stock-option grants beginning in the 1990s. An analysis of the external audit firms affiliated with these companies revealed that these firms are dis-proportionally represented as compared to relative audit-market shares of all public companies. After controlling for industry-adjusted audit-market shares, statistically fewer backdating companies than expected used Arthur Andersen as their auditors. Overall, the results argue against the notion of audit firm involvement as a conduit for these transactions.
Recommended Citation
Wheeler, S.,
Post, G.,
&
Typpo, E. W.
(2008).
Audit Firm Affiliations with Companies Backdating Executive Stock Options.
Advances in Accounting, Finance and Economics, 1(1), 1–11.
https://scholarlycommons.pacific.edu/esob-facarticles/271
