 The art of conversation: the expanded audit reportMiguel Minutti-Meza Accounting and Business Research, 2021, vol. 51, issue 5, 548-581 Abstract: The new generation of expanded audit reports includes disclosures about significant matters in a company’s financial reporting and its audit. These disclosures are a landmark change in auditors’ responsibility to provide information to the public. I examine expanded reports in various jurisdictions, why they became mandatory, what the evidence from their implementation is, and whether they have fulfilled the expectations of regulators and other stakeholders. Expanded reports are intended to increase the information content and usefulness of audit opinions, to increase external monitoring of auditors and management, and to foster a more open conversation between auditors and users of financial reporting. However, existing regulatory requirements, conflicting auditors’ incentives to provide new information, and evidence from the expanded reports’ implementation call into question whether these objectives have been met. It is my hope that expanded reports are only a first step towards enhanced auditor reporting. Date: 2021 Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:taf:acctbr:v:51:y:2021:i:5:p:548-581 Ordering information: This journal article can be ordered from DOI: 10.1080/00014788.2021.1932264 Access Statistics for this article Accounting and Business Research is currently edited by Vivien Beattie More articles in Accounting and Business Research from Taylor & Francis Journals |
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