AMERICAN ACCOUNTING ASSOCIATION

1999 NORTHEAST REGIONAL MEETING

PROCEEDINGS

 

April 22-24, 1999

Hyatt Regency Hotel, Rochester, NY

 

HOSTED BY

College of Business

ROCHESTER INSTITUTE OF TECHNOLOGY

BRUCE L. OLIVER, Program Chair

 

 

The Proceedings of the 1999 Northeast Regional Meeting, American Accounting Association, are published in electronic form. The program for the meeting follows. Papers for which an abstract (or, at the authors' discretion, a full text) is available are highlighted. Click on the paper title to access the proceedings.

 

 

FRIDAY, APRIL 23, 1999 

 

8:45 - 10:15 Introduction and Plenary Session

Opening Remarks and Plenary Session:

Presiding: Bruce L. Oliver, Rochester Institute of Technology

Welcome: Albert J. Simone, President, Rochester Institute of Technology

 

Current Financial Reporting Issues Affecting SEC Registrants

Introduction: Thomas D. Hopkins, Interim Dean, Rochester Institute of Technology

Speaker: Craig Olinger, Deputy Chief Accountant of the Securities and Exchange Commission, Division of Corporate Finance

  

10:45 - 12:00 Concurrent Sessions:

Session #1

Plenary Session Follow-up Discussion with Craig Olinger 

Moderator: Francis E. Kearns, Rochester Institute of Technology

 

Session #2

Vendor Presentation: Incorporating Interactive Accounting Lab Multimedia Into Your Classroom, McGraw-Hill. Hands on training with Interactive Lab 2.0

 

Session #3  

Presentation: NYSSCPA & CPA Journal: Professional Issues Update

Moderator: James L. Craig, Jr., Managing Editor, The CPA Journal

Speakers: Louis Grumet, Executive Director for NYSSCPA, James L. Craig, Jr., Managing Editor, The CPA Journal, James Woehlke, Counsel and Director of Technical Services, NYSSCPA 

 

Session #4

Papers: Behavioral Issues in Accounting 

Moderator: D. Donald Kent, Jr., SUNY at Brockport

Presenters:

Rational and Irrational Antecedents of Corporate Fraud, Natalia Kotchetova, Georgia State University

Mentoring as a Learning Forum for Tax Accounting Professionals, Philip H. Siegel , Long Island University, Charles A. Barragato, Long Island University, and Sally A. Wahrmann, Long Island University

Reputation Without Repeated Interaction: The Role of Public Disclosures, Steven Schwartz, SUNY at Binghamton, Richard A. Young, Ohio State University, and Connie S. Butler, Ohio State University

Discussants: Thomas Clausen, University of Connecticut, Thomas Porter, FASB, Paul Hoppe, Golden Gate University

 

Session #5

Panel: The Auditing Standards Board Horizons Project: Setting the Standards for the Next Century

Moderator: Dennis Hanno, University of Massachusetts-Amherst

Panelists: AICPA Audit and Attest Standard Team Members

 

Session #6

Papers: Behavioral Issues Related to Taxation

Moderator: Peter Westort, University of Massachusetts

Presenters:

The Effects of Client Advocacy and Staff Accountant Objectivity in the Review and Decision Process: A Tax Planning Setting, Richard C. Hatfield, Drexel University

The Effect of Experience on Tax Professionals’ External Information Search Performance: Implications for Knowledge Structure, John A. Barrick, Northeastern University

Audit Versus Detection Probabilities: A Conceptual and Empirical Investigation of Taxpayers’ Perceptions, Carol M. Fischer, St. Bonaventure University

Discussants: Maureen Donnelly, Brock University, Allister Young, Brock University, Patricia Nodoushani, University of Hartford

 

Session #7  

Papers: Miscellaneous Issues in Teaching and Curriculum

Moderator: Gail Sergenian, Suffolk University

Presenters:

Student Perceptions: Effect on Choice of Major Among Business Students, Dennis Bline, Bryant College, Dana Lowe, Bryant College, Wilda Meixner, Southwest Texas State University, Hossein Nouri, The College of New Jersey

The User Approach Versus the Traditional Approach: A Comparison of the Effects of Introductory Accounting Course Work on Student Success in the Introductory Finance Course, William H. Dresnack, SUNY at Brockport, Charles Callahan III, SUNY at Brockport

Grade Inflation: Some Causes and Cures, Kiridaran Kanagaretnam, Syracuse University, Alex Thevaranjan, Syracuse University

 Discussants: Ray Pfeiffer, University of Massachusetts, Susan Hass, Simmons College, Roger Martin, Keene State College

 

1:45 – 3:00 Concurrent Sessions:

Session #8

Vendor Presentation - Cancelled

 

Session #9  

Panel: Semi-formal Debate on "Auditors Maintain their Independence When Providing Non-Audit Services to the Same Client"

Moderator: Michael W. Fedoryshyn, St. John Fisher College

Debaters: Donald Arnold (Pro Position) and Richard Vangermeersch (Con Position)

 

Session #10

Papers: Instructional Cases and Projects (Teaching and Curriculum)

Moderator: Leonard Stokes, Siena College

 Presenters:

Helping Students See the Whole Picture: A Practice Set for Intermediate Accounting, Thomas J. Vogel, Western New England College

Instructional Case: The St. John's School Fish Fry, Charles J. Coate, SUNY at Geneseo, Michael Yaghmour, Harvard Law School

Teaching Business Decision Making Using an Integrated Project, William St. John Jr., Rensselaer Polytechnic Institute

Discussants: Francis Kearns, Rochester Institute of Technology, Wallace Wood, University of Cincinnati, Eleanor Henry, SUNY at Oswego

 

Session #11  

Vendor Presentation: Incorporating Multimedia Into Your Lecture, McGraw-Hill, Hands-on Exploration of Presentation Manager CD-ROM

 

Session #12

Panel: Understanding Social Security: The Issues and the Alternatives

 Speakers: Judyth Swingen, Florida Gulf Coast University, Carol Ferguson, AICPA Tax Section - Washington, DC

 

Session #13  

Papers: Financial Reporting

Moderator: Arthur F. Hintz, St. John Fisher College

 Presenters:

Do Financial Analysts Contribute to the Mis-pricing of Accrual Components of Annual Earnings?, May H. Lo, Western New England College, Pieter T. Elgers, University of Massachusetts-Amherst, Ray J. Pfeiffer, University of Massachusetts-Amherst

The Influence of Proprietary Costs on Commodity Derivative Disclosure, Gary Peters, University of Georgia

Investigation of Signaling and Income Smoothing Through Loan Loss Provisions, Kiridaran Kanagaretnam, Syracuse University, Gerald L. Lobo, Syracuse University, Dong-Hoon Yang, Syracuse University

Discussants: Seong-Yeon Cho, SUNY at Buffalo, Glen Hansen, Penn State University, William Brown, University of Massachusetts

 

Session #14

Joint Session of the Administrators of Accounting Programs Leadership Group (APLG) and NYSSCPA Committee on Higher Education

Moderator: Steven B. Lilien, Baruch College-CUNY

Panelists: James A. Woehlke, NYSSCPA Counsel and Director of Technical Services, Gerry Golub, GGK, Thomas E. Riley, Shareholder, the Fagliarone Group, PC

 

3:30 - 4:45 Concurrent Sessions:

Session #15

Papers: The Audit Market and Environment

 Moderator: Peter Battelle, University of Vermont

 Presenters:

Pricing and Competition: Fee Premia in the Market for Audit Services, Larry R. Davis, University of Wisconsin-Oshkosh, Daniel T. Simon, University of Notre Dame, Greg Trompeter, Boston College

The Influence of Industry-Specific and Geographic Variables on Mutual Fund Audit Fees, Charles P. Cullinan, Bryant College

Discussants: Walter O. Baggett, Manhatten College, Mary Collins, LeMoyne College

 

 Session #16  

Topic: The Uniform CPA Examination: The Next Generation

 Speaker: James Blum, AICPA, Director of Examinations

 

Session #17  

Papers: Issues in Management Accounting

 Moderator: William St. John, Jr., Rensellaer Polytechnic Institute

 Presenters:

ISO 9000 and the Corporate Controller, Roberta J. Cable, Pace University, Patricia Healy, Pace University

Using Earnings Capitalization in the Valuation of Growing Firms, Eric E. Lewis, Skidmore College, Jeffrey W. Lippitt, Siena College, Susan Hurley, Siena College

Discussants: Susan Hughes, Butler University, Alex Thevaranjan, Syracuse University

 

Session #18  

Papers: Issues in Public Interest

Moderator: John Ribezzo, Community College of Rhode Island

Presenters:

Arbitrariness and Optimization in Accounting Standard-Setting, Bairj Donabedian, Pace University

A Preliminary Database for Stuart Chase (1888-1985): A Posthumous Nominee for the Accounting Exemplar Award, Richard Vangermeersch, University of Rhode Island

Lobbying the FASB on Accounting Investments, Sally M. Schultz, SUNY at New Paltz

Discussants: Joan Hollister, Quinnipiac College, Karen Cascini, Sacred Heart University, Judyth Swingen, Florida Gulf Coast University

 

Session #19

Joint Session of the Administrators of Accounting Programs Leadership Group (APLG) and NYSSCPA Committee on Higher Education

Moderator: Steven B. Lilien, Baruch College- CUNY

Panelists: Vergil Webb, AICPA Deputy Counsel, Fong Chan, NYSSCPA Director of Governmental Affairs, Jean Fealey, Assistant in Professional Education, NYS Department of Education, Louis Grumet, NYSSCPA Executive Director

 

5:00 – 5:45 FASB Update

 Speaker: Thomas Porter, FASB

 

 

SATURDAY, APRIL 24

 

 

7:45 - 9:00 Breakfast, Business Meeting, and Hall of Fame Awards

Hall of Fame Inductees: Phil Jagolinzer, University of Southern Maine, Paul Mihalek, University of Hartford

Speaker: Jan R. Williams, AAA President-Elect, University of Tennessee

 

9:15 – 10:30 Concurrent Sessions:

 

Session #20  

Papers: The Audit Process

Moderator: Robert Warth, Rochester Institute of Technology

Presenters:

Modeling Going-Concern Opinion Expectations in Accounting Research, Charlotte Pryor, Clark University

The Use of Neural Networks as an Audit Tool in Fraud Risk Assessment, Thomas G. Calderon, University of Akron, Brian Patrick Green, University of Michigan-Dearborn

Discussants: Larry Orsini, St. Bonaventure University, Bruce Bradford, Fairfield University

 

Session #21  

Papers: Miscellaneous Topics I

Moderator: Sally Wahrmann, Long Island University

Presenters:

A Lab Experiment on the Effects of Gender and Vignettes on Student Ethical Choices, Hema Rao, SUNY Institute of Technology at Utica/Rome, Ali Daneshfar, Concordia University, Robert Yeh, SUNY Institute of Technology at Utica/Rome

Targeting Appeals to Fairness: An Examination of Horizontal Equity and Alternative Explanations, James J. Maroney, Northeastern University, Timothy J. Rupert, Northeastern University, Martha L. Wartick, University of Northern Iowa

The Natural Environment: Providing a Focus for an Integrated Course in Accounting, D. Jacque Grinnell, University of Vermont, Herbert G. Hunt III, University of Vermont

Discussants: Daniel Tinkelman, Pace University, Roberta Klein, Rochester Institute of Technology, William Cotton, SUNY at Geneseo

Session #22  

Panel: Technology, Curriculum, and Teaching

Moderator: Gail Sergenian, Suffolk University

Speakers: Dorothy Feldman, Bentley College, Mawdurdur Rahman, Suffolk University, Philip Jagolinzer, University of South Maine

 

Session #23

Papers: Disclosure Issues in Financial Reporting

Moderator: Hossein Noorian, Wentworth Institute

Presenters:

Earnings Management Associated with Management Earnings Forecast Disclosure: A Signaling Perspective, Minwoo Lee, Western Kentucky University

Corporate Disclosure Policy and Earnings Management Behavior, Gerald Lobo, Syracuse University, Jian Zhou, Syracuse University

Restructuring, Accounting Measurement and Firm Valuation, Robert Halsey, Babson College, Frank Heflin, Yale University, Terry Warefield, University of Wisconsin

 Discussants: Dean Crawford, SUNY at Oswego, Margaret O'Reilly-Allen, Rider University, Jeffrey Lippitt, Siena College

 

 Session #24

Presentation: Building an Internet Accounting Principles Course

 Speaker: Richard Fern, Eastern Kentucky University

 

Session #25

Papers: Accounting History

Moderator: Gerald Walsh, Roberts Wesleyan College

Presenters:

History of the Peruzzi Company of Florence as Revealed in its Account Books (1335-1343), Alvaro Martinelli, Appalachian State University

An IRS Audit in 1917, Versus One 80 Years Later, Lawrence Waterbury, Quinnipiac College

An Introduction to Confederate Accounting Systems, Darwin King, St. Bonaventure University

 Discussants: Thomas N. Tyson, St. John Fisher College, Beth Hawes Brown, Keene State College, Ronald J. Huefner, SUNY at Buffalo

 

10:45 – 12:00 Concurrent Sessions:

 

Session #26

Panel: Financial Planning - Opportunities for Accountants

Moderator: Beth Hawes Brown, Keene State College

Speakers: Sara Phelan, AICPA, Barry Broden, University of Hartford, William Andersen, Institute of Management Accountants, J. Jeffery Lambert, CFP, Board of Directors, Institute of Financial Planners

 

Session #27

Papers: Miscellaneous Topics II

Moderator: Paul Buck, Plymouth State College

Presenters:

Open-Book Management: A Value-Added Service for CPA's, Thomas Tyson, St. John Fisher College

Factors Affecting the Relation Between Donations to Not-For-Profit Organizations and an Efficiency Ratio, Daniel Tinkelman, Pace University

Discussants: A. Scott Keating, University of Rochester, Harry Howe, SUNY at Geneseo

Session #28

Papers: Characteristics of Curricula and Programs

Moderator: Richard Silkoff, University of New Haven

Presenters:

Accounting Education 1998: A Descriptive Summary, Leonard Stokes, Siena College

The Model Tax Curriculum: An Analysis of the Issues, Relevant Literature, and Implications for Future Research, Brett Long, University of Southern Indiana, Thomas Davies, University of South Dakota

Selected Characteristics of New York State Registered Accounting Programs, D. Donald Kent, Jr., SUNY at Brockport, William H. Dresnack, SUNY at Brockport

Discussants: Thomas Vogel, Western New England College, Phil Jagolinzer, University of Southern Maine, Robert Yeh, SUNY Institute of Technology at Utica/Rome

 

Session #29

Papers: Issues in Management Accounting II

Moderator: William Cotton, SUNY at Geneseo

Presenters:

Incentives and Job Redesign: The Case of the Personal Selling Function, Alex Thevaranjan, Syracuse University, Kissan Joseph, University of Kansas

Cost Systems and Company Characteristics, Susan Hughes, Butler University

Controlling New Product Development Using Financial and Nonfinancial Performance Measures, Julie H. Hertenstein, Northeastern University, Marjorie B. Platt, Northeastern University

Discussants: Joan K. Myers, LeMoyne College, Jeffrey Shields, Suffolk University, Robert MacDonald, University of New Haven

 

Session #30

Papers: Issues in International Accounting

Moderator: Edward R. Shoenthal, CUNY at Brooklyn College

Presenters:

The Value-Relevance of Inflation-Adjusted and Historical Cost Earnings During Hyperinflation, Ran Barniv, Kent State University

An International Investigation of Market Efficiency with Regard to Cash Flow and Accrual Information, Joan Hollister, Quinnipiac College

Practical Difficulties in Harmonizing International Accounting Standards for Less Developed Countries: The Case of the Middle East, Wagdy Abdallah, Seton Hall University

Discussants: Bruce Oliver, Rochester Institute of Technology, Kurt Wojdat, Syracuse University, Patricia Poli, Fairfield University

 

Session #31

Papers: Measurement Methodology Issues in Financial Reporting

Moderator: Jerold Zimmerman, University of Rochester

Presenters:

Bias and Measurement Error in Discretionary Accrual Models, Glen A. Hansen, Penn State University

Use of Fuller's Technique to Reduce Measurement Error in the Returns/Earnings Association, Susan Machuga, University of Massachusetts-Boston

Measuring Company Size in Empirical Research: The Use of Three Suggested Composite Measures, Patricia Lee Huff, California State University-Fresno, Barry Laiss, California State University-Fresno, Eric F. Lane, California State University-Fresno

Discussants: Sudro Brown, Kings College, Daniel Tessoni, Rochester Institute of Technology, Minwoo Lee, Western Kentucky University

 

Session #32

Papers: Policy Issues Related to Taxation

Moderator: Ingrid Fisher, SUNY at Albany

Presenters:

Using Income Tax Expenditures to Finance the Rising Costs of Higher Education: A Comparison of Recent Canadian and American Initiatives, Maureen E. Donnelly, Brock University, Allister W. Young, Brock University

Ethical Issues Raised by Extension of Attorney-Client Privilege to Persons Authorized to Practice Before IRS, Patricia Nodoushani, University of Hartford

Substantial Authority, Neutralization, and the Practitioner's Ethic, Geoffrey Gurka, Southern Connecticut State University

Discussants: Darwin King, St. Bonaventure University, John Rossi III, Moravian College, Ingrid Fisher, SUNY at Albany