CEO cultural heritage and the pricing of audit services

Title: CEO cultural heritage and the pricing of audit services
Creator: Pham, Anh Viet; Pham, Mia Hang; Truong, Cameron
Relation: Journal of Business Finance & Accounting Vol. 49, Issue 1-2, p. 181-214
Publisher Link: http://dx.doi.org/10.1111/jbfa.12550
Publisher: Wiley-Blackwell
Resource Type: journal article
Date: 2021
Description: We construct preferences toward risk and uncertainty as reflected in the cultural heritage of chief executive officers (CEOs) managing public firms in the United States. We demonstrate that auditors take into account the cultural traits of CEOs in the pricing of their audit services. We also show that CEO cultural heritage is associated with a firm's misreporting, internal control weakness, and accounting conservatism. The results are robust to controlling for other known attributes of CEOs, firm characteristics, and corporate governance. Our study contributes to research on corporate risk culture, CEO characteristics, and determinants of the pricing of audit services and financial reporting quality.
Subject: adult pricing; CEOs; corporate culture; cultural heritage; reporting quality; risk preference
Identifier: http://hdl.handle.net/1959.13/1459360
Identifier: uon:45651
Identifier: ISSN:0306-686X
Language: eng
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