American Accounting Association Auditing Section 2007 Midyear Conference January 11-13, 2007 Francis Marion Hotel Charleston, South Carolina

Registration Information | Hotel Information | Preliminary Program | Doctoral Consortium

Preliminary Program

Note: The CPE Fields of Study curriculum is divided into twenty three subject matter areas. These fields represent the primary knowledge and skill areas needed by accounting licensees to perform professional services in all fields of employment. Sessions that offer CPE credit have the Field of Study in red.

Thursday, January 11
7:00 AM – 8:00 AM	Continental Breakfast
8:00 AM – 5:00 PM	Registration
8:00 AM – 5:30 PM	Doctoral Consortium Auditing
1:00 pm – 5:00 PM	CPE Session: "Guidance for Section 404 Assessments," Auditing Parveen Gupta (SEC Academic Fellow) and Dave Richards (IIA President)
5:30 PM – 7:00 PM	Reception for Auditing Doctoral Consortium Attendees
6:30 PM – 8:30 PM	Midyear Conference Welcome Reception
Friday, January 12
7:00 AM – 5:00 PM	Registration
7:00 AM – 8:30 AM	Continental Breakfast
8:30 AM – 9:45 AM	Welcome and Plenary Session "Investors' Stake in Strengthening the Audit Profession" Damon Silvers, Associate General Counsel for the AFL-CIO
9:45 AM – 10:15 AM	Break
10:15 AM –11:45 AM	Concurrent Sessions Auditing Session 1 – Auditor Switching Moderator: Gary Peters, University of Arkansas Great Migration: How Recent Events Changed the Switching Behavior of Top-Tier Audit Clients. Mary W. Sullivan, The George Washington University Discussant: Chris Hogan, Michigan State University Auditor Resignations and Auditor Industry Specialization. Albert L. Nagy and William J. Cenker, John Carroll University Discussant: Jonathan Stanley, University of Alabama Examination of Audit Fee Premiums and Auditor Switching Pre and Post the Demise of Arthur Andersen and the Passage of Sarbanes-Oxley Act of 2002. Joanna L. Y. Ho, University of California, Irvine, and Jiuzhou Wang, Norwegian School of Economics and Business Administration Discussant: Brian Carver, University of Tennessee Session 2 – Auditor Litigation Moderator: Jackie Hammersley, University of Georgia The Effects of Type of Accounting Standard and Outcome Knowledge on Juror Evaluations of Auditor Responsibility. Charles P. Becker, Glenville State College, Howard Lawrence, University of Mississippi, and John T. Sennetti, Nova Southeastern University Discussant: Kathryn Kadous, Emory University Is Auditing Litigation Frivolous? Chi-Wen Jevons Lee, Tulane University, Hua Lee, The Chinese University of Hong Kong, and Taychang Wang, National Taiwan University Discussant: Evelyn Patterson, Indiana University Session 3 – Teaching Cases Moderator: Dana Hermanson, Kennesaw State University Europe’s Enron: Royal Ahold, N.V. Michael C. Knapp and Carol A. Knapp, University of Oklahoma Discussant: Nana Amoah, Morgan State University Corporate Governance in Non-Profit Organizations: Sun State Soccer. Oscar Harvin, John Watler, Jeffrey E. Michelman, and Bobby E. Waldrup, University of North Florida Discussant: Stephanie Tate, University of New Hampshire Accounting Fraud at Deercreek Country Club. Linda A. Hong and Jeffrey E. Michelman, University of North Florida Discussant: Michael Knapp, University of Oklahoma Session 4 – Panel Session Sponsored by the Auditing Standards Committee "Standards Setting for Auditors: How Do Multiple Standard Setters Work Together in Today’s Environment?" Chuck Landes (AICPA) Jeanette Franzel (GAO) Tom Ray (PCAOB) Jim Sylph (IAASB) Moderator: Joseph V. Carcello, University of Tennessee
12:00 PM – 1:15 PM	Lunch Presentation of Distinguished Service Award and Outstanding Educator Award
1:30 PM – 3:00 PM	Plenary Session Auditing "An Insider’s Perspective of Recent PCAOB Activities" Bill Gradison, member of Public Company Accounting Oversight Board
3:00 PM – 3:30 PM	Break
3:30 PM – 5:00 PM	Concurrent Sessions Auditing Session 1 –Auditor Tenure Moderator: Kimberly Dunn, Florida Atlantic University Auditor Tenure and Perceived Credibility of Financial Reporting. Masoud Azizkhani, Gary S. Moore, and Greg Shailer, The Australian National University Discussant: Carol Dee, University of Colorado at Denver Auditor Tenure, Auditor Specialization and Earnings Quality. Simon Yu Kit Fung and Ferdinand A. Gul, The Hong Kong Polytechnic University, and Bikki Jaggi, Rutgers University Discussant: Al Nagy, John Carroll University Session 2 – Auditor Independence Moderator: Stephanie Tate, University of New Hampshire Does Client Importance Affect Auditor Independence at the Office Level? Empirical Evidence from Going Concern Opinions. Chan Li, University of Kansas Discussant: Kenneth Reynolds, Indiana University Threats to Auditor Independence: The Impact of Non-Audit Services, Tenure, and Alumni Affiliation. Ping Ye, Elizabeth Carson, and Roger Simnett, University of NSW Discussant: Susan Scholz, University of Kansas Session 3 – Auditor/Client Interactions Moderator: Rich Houston, University of Alabama The Auditor’s Negotiation Strategy Selection: Nature of the Auditor-Client Management Relationship and Flexibility of Initial Accounting Position. Susan McCracken, University of Toronto, Steven Salterio, Queen’s University, and Michael Gibbins, University of Alberta Discussant: Helen Brown, Boston College Exploring Trust and the Auditor-Client Relationship. Morina D. Rennie, University of Regina, Lori S. Kopp, University of Lethbridge, and W. Morley Lemon, University of Waterloo Discussant: Kathy Hurtt, Baylor University Audit Committee Member Investigation of Significant Accounting Policy Decisions. Bradley Pomeroy, University of Alberta Discussant: Jeff Cohen, Boston College Session 4 – Panel Session Sponsored by the Education Committee "The PCAOB Inspection Process: What Your Auditing Students Should Know" Gregory Scates, PCAOB John Gribble, Assurance Quality Leader, PricewaterhouseCoopers LLP Russ Wieman, Managing Partne Assurance & Advisory Services, Grant Thornton LLP Moderator: Jay Thibodeau, Bentley College
6:00 PM – 8:00 PM	Reception
Saturday, January 13
7:30 AM – 3:00 PM	Registration
7:30 AM – 8:30 AM	Continental Breakfast Research and Education Roundtables Auditing Table 1 – Audit Fees Expected Non-audit Fees, Unexpected Non-audit Fees and Auditor Independence. Ling Lei, University of Connecticut Auditor Locality, Audit Quality and Audit Pricing. Jong-Hag Choi, Seoul National University, Jeong-Bon Kim, Concordia University, Aini Qiu, The Hong Kong Polytechnic University, and Yoonseok Zang, Singapore Management University Table 2 – Audit Quality Agency-Based Demand for Audit Quality: The Impact of Disclosure-Imposed Agency Costs on Non-Audit Services. Larry Abbott, University of Memphis, Susan Parker, Santa Clara University, and Gary Peters, University of Arkansas The Effects of Auditing Quality and of Independent Directors and Supervisors on the Interest Cost of Newly Issued Corporate Bonds. Jiu-Young Jian and Yu-Mei Chen, National Yunlin University of Science and Technology Table 3 – Audit Technology and Techniques The Compensatory and Complementary Influence of Individual, Team and Firm Level Factors on Appropriate Audit Support System Use. Carlin Dowling, University of Melbourne An Examination of Audit Information Technology Usage and Perceived Importance. Diane Janvrin, Iowa State University, James Bierstaker, Villanova University, and D. Jordan Lowe, Arizona State University Table 4 – Current Practice Issues Plain Paper Statements: Did We Create a New Expectations Gap? Brian Patrick Green, University of Michigan-Dearborn, Alan Reinstein, Wayne State University, and Cathleen L. Miller, Saginaw Valley State University The World Has Changed: Have Analytical Procedure Practices? Greg Trompeter and Arnie Wright, both at Boston College Table 5 – Earnings Quality Corporate Governance and Earnings Restatements: Evidence from Regulatory Changes. Ken Y. Chen, National Cheng Kung University, Randal J. Elder, Syracuse University, and Yung-Ming Hsieh, Soochow University Earnings Management, Earnings Manipulation: Evidence from Taiwanese Public Corporations. Chia-hui Chen, Providence University The Impact of Audit-Firm level and Individual-Auditor level Industry Expertise on the Asymmetric Timeliness of Earnings. Sue Shu-Hui and Chin Chen-Lung, National Chengchi University Table 6 – Fraud Softnet Systems: Fraud or Expertise. Nana Amoah and Bilal Makkawi, Morgan State University Overvalued Equity and Fraudulent Financial Reporting: An Archival Analysis. Keith L. Jones, George Mason University The Effects of Internal Audit Report Disclosure on Perceived Financial Reporting Reliability. Travis P. Holt and F. Todd DeZoort, The University of Alabama Investigating Fraud Losses: Can Companies Reduce Losses Associated with Fraud By Voluntary Disclosing? Tom Olach, Minnesota State Univesity How Trust Underpins Auditor Fraud Risk Assessments. Jose? R. Hernandez and Tom Groot, Vrije Universiteit Amsterdam Table 7 – Judgment Issues in Auditing The Effect of Performance Feedback and Client Importance on Auditors’ Ethical Judgments. James Lloyd Bierstaker, Villanova University, and Anna M. Cianci, Drexel University An Investigation of the Effects of Outsourcing Internal Audit on Auditors’ Reliance Decisions in a SOX Integrated Audit. Barbara Arel, University of Vermont An Experimental Analysis of Competing Pressures on Auditors’ Professional Judgments. Brian Daugherty, University of Wisconsin-Milwaukee Table 8 – Research Issues/Audit Methods Auditors’ Error Handling, Error Orientation, and Audit Organizations’ Error Climate — Validity and Reliability of a Measurement Instrument. Ulfert Gronewold, University of Potsdam, and Michaela Donle, Stiftung Warentest The Definitions of Materiality: a Revolution or an Evolution? H. Gin Chong, Prairie View A&M University A Summary of Research and Enforcement Release Evidence on Confirmation Use and Effectiveness. Paul Caster, Fairfield University, Randy Elder, Syracuse University, and Diane Janvrin, Iowa State University Analysis of Citation Frequencies to Auditing: A Journal of Practice and Theory: 1985-2005. Gerald Smith, University of Northern Iowa, Jack L. Krogstad and Kristine E. Sigvartsen, Creighton University Table 9 – Independence Auditor Decisions and the Problem of Independence: Informational Asymmetry and the Actions of a Rogue Auditor. Paul Barnes, Northeastern University Knowledge Spillovers and the Independence Doubt in Auditors’ Provision of Nonaudit Services. Chia-Chi Lu and Yu-Lin Chen, both at the National Chenchi University The Role of Corporate Governance on Long-Term Financial Performance and Market Valuation of R&D Investments in the Biotechnology Industry. Ya-Wen Yang, University of Miami, DeWayne L. Searcy, Auburn University, and Kay W. Tatum, University of Miami
8:30 AM – 10:00 AM	Business Meeting
10:00 AM – 10:30 AM	Break
10:30 AM – 12:00 PM	Concurrent Sessions Auditing Session 1 – Internal Control Weaknesses Moderator: Al Nagy, John Carroll University Weak Internal Controls, Auditor Fees, and Shareholder Dissatisfaction. Zhongxia (Shelly) Ye, Kennesaw State University and Jagan Krishnan, Temple University Discussant: Scott Bronson, Michigan State University Regulatory Intent and Political Reality: Evidence on Corporate Governance and Internal Controls in the Post-SOX World. Jean C. Bedard, Bentley College, Rani Hoitash, Suffolk University and Udi Hoitash, Rutgers University Discussant: April Klein, New York University Internal Control Weaknesses and Client Risk Management. Randal Elder, Syracuse University, Yan Zhang, SUNY at Binghamton, Jian Zhou, Syracuse University and SUNY at Binghamton, and Nan Zhou, SUNY at Binghamton Discussant: Denise Dickins, East Carolina University Session 2 – Non-Audit Service Issues Moderator: Carol Dee, University of Colorado at Denver Auditor-provided Tax Services and 'Last-chance' Earnings Management: The Importance of Audit Committees Ling Lei, University of Connecticut Discussant: Larry Abbott, University of Memphis Evidence on the Impact of Auditor Provided Non-Audit Services and Audit-Firm Tenure on Audit Efficiency. Divesh Sharma, Auckland University of Technology Discussant: Jeff Payne, University of Kentucky Do Nonaudit Services Enhance Value? Evidence from the Capital Markets. Seong-Yeon Cho, Drexel University, Jongsoo Han, Ewha University at Seoul, and Kevin F. Brown, Wright State University Discussant: Daniel Cohen, New York University Session 3 – Effects of Audit Oversight Moderator: Alan Reinstein, Wayne State University Regulatory Commitment to Auditing and Pay-Performance Sensitivity. Hui Chen, Vanderbilt University, Debra Jeter, Vanderbilt University, Ya-Wen Yang, University of Miami Discussant: Martin Wu, University of Illinois Nonprofessional Investors’ Expectations of the Improvement in the Credibility of Audit Opinions Following PCAOB Inspection Reports. Jesse Robertson, University of Alabama Discussant: Pennie Bagley, University of Georgia Session 4 – Panel Session Sponsored by the Practice Advisory Council "Routine Forensic Audits: Recommendations from Practice" Moderator: Trevor Stewart, Deloitte LLP
12:15 PM – 1:30 PM	Lunch Presentation of Notable Contributions to Literature, Doctoral Dissertation, and Innovation in Auditing and Assurance Education Awards
1:45 PM – 3:15 PM	Concurrent Sessions Auditing Session 1 – Fraud Moderator: Randy Elder, Syracuse University Using Nonfinancial Measures to Assess Fraud Risk. Joseph Brazel, North Carolina State University, Keith Jones, George Mason University, and Mark F. Zimbelman, Brigham Young University Discussant: Andrew Felo, Pennsylvania State University The Role of Related Party Transactions in Fraudulent Financial Reporting. Elaine Henry, University of Miami, Elizabeth A. Gordon, Rutgers Business School-Newark and New Brunswick, Brad Reed, Southern Illinois University-Edwardsville, and Tim Louwers, James Madison University Discussant: Dana Hermanson, Kennesaw State University Ethnographic Analysis Yields Fraud Insights For Auditors of Financial Institutions. Iris Noblet and Carol M. Jessup, University of Illinois at Springfield Discussant: Brad Schafer, University of South Florida Session 2 – Specialization and Risk Moderator: Eileen Taylor, North Carolina State University Do Industry Specialists and Business Risk Auditors Enhance Audit Reporting Accuracy? Liesbeth Bruynseels, Tilburg University, W. Robert Knechel, University of Florida, Marleen Willekens, Tilburg University Discussant: Pamela Murphy, University of Wisconsin The Impact of Judgment Enhancement Strategies on Audit Quality and Firm Risk When Clients Have Correlated Business Risks. Paul J. Beck and Martin G.H. Wu, University of Illinois Discussant: Reed Smith, Indiana University Session 3 – International Audit Setting Moderator: Sally Wright, University of Massachusetts The Choice between Private and Public Capital Markets: The Importance of Disclosure Standards and Auditor Discipline to Countries Divesting State-owned Enterprises. Omrane Guedhami, Memorial University of Newfoundland, and Jeffrey A. Pittman, Hong Kong University of Science and Technology Discussant: Michael Stein, Old Dominion University Assessing France’s Joint Audit Requirement: Are Two Heads Better Than One? Jere R. Francis, University of Missouri-Columbia, Chrystelle Richard, Universite? Paris Dauphine, and Ann Vanstraelen, Universiteit Antwerpen and Universiteit Maastricht Discussant: Debra Jeter, Vanderbilt University Assurance on General Purpose Non-Financial Reports: An International Comparison. Roger Simnett, University of New South Wales, Ann Vanstraelen, Universiteit Antwerpen and Universiteit Maastricht, and Wai Fong Chua, University of New South Wales Discussant: Sundaresh Ramnath, Georgetown University Session 4 – Panel Session Sponsored by the Research Committee "PCAOB Research Synthesis Projects--Past Experiences and Future Directions" Gary Holstrum, PCAOB – Director of Research Jean C. Bedard, Audit Firm Quality Control Chris Hogan, Financial Fraud Bob Allen, Risk Assessment Moderator: Christine Earley
3:15 PM – 3:30 PM	Break
3:30 PM – 5:00 PM	Concurrent Sessions Auditing Session 1 – Internal Audit Moderator: Brian Carver, University of Tennessee The Importance of Internal Audit in Fraud Detection. Paul Coram and Colin Ferguson, The University of Melbourne, and Robyn Moroney, Monash University Discussant: Carl Hollingsworth, University of Tennessee Whose Internal Audit Department Is It? The Impact of Audit Committee Dominion on the Nature of Internal Audit Department Activities. Larry Abbott, University of Memphis, Susan Parker, Santa Clara University, and Gary Peters, University of Arkansas Discussant: Audrey Gramling, Kennesaw State University Session 2 – Control Weakness Evaluations Moderator: Stacy Mastrolia, University of Tennessee Audit Quality Differences in Audits of Federal Programs. Dennis Lopez, University of Texas Discussant: Steve Buchheit, Texas Tech University Concede or Deny: Do Management Persuasion Tactics Affect Auditor Evaluation of Internal Control Exceptions? Christopher J. Wolfe, Texas A&M University, Elaine Mauldin, University of Missouri-Columbia, and Michelle Chandler Diaz, Louisiana State University Discussant: Lisa Gaynor, University of South Florida Session 3 – Misstatement Judgment Moderator: Jonathan Grenier, University of Illinois Auditor Industry Specialization and Accounting Restatements. Robin N. Romanus and John J. Maher, Virginia Tech, and Damon M. Fleming, San Diego State University Discussant: Keith Jones, George Mason University The Influence of Business Risk Assessments on Audit Planning Decisions: A Descriptive Model with Experimental Evidence. Natalia Kotchetova, University of Waterloo, Ed O’Donnell, University of Kansas, and Alan Webb, University of Waterloo Discussant: Brian Ballou, Miami University (Ohio) Session 4 – Improving Audit Judgments Moderator: Robert Ramsay, University of Kentucky When Auditors Err: How Mistake Significance and Professional Image Influence Staff Auditors’ Likelihood to Admit a Mistake. Chad Stefaniak, The University of Alabama Discussant: Ann Magro, University of Oklahoma The Effects of In-Group Bias and Decision Aid Use on Auditors’ Evidence Evaluation. Eileen Z. Taylor, North Carolina State University Discussant: Tina Carpenter, University of Georgia
5:00 PM – 6:30 PM	Closing Reception

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The American Accounting Association program levels offered during the meeting will include basic, intermediate, advanced, overview and update. A number of NASBA Fields of Study will be offered and provided on the CPE verification form, along with CPE credit hours earned.

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