Do Personnel Stability, Family Business and Auditor Influence Financial Restatement?

Kai-Ling Chen, Shen-Ho Chang and Teng-Shih Wang
Additional contact information
Kai-Ling Chen: Department of Leisure Recreation and Travel Management, Toko University, Taiwan
Shen-Ho Chang: Department of Accounting, Feng Chia University, Taiwan
Teng-Shih Wang: Executive Officer, Finance Division, Taoyuan Metro Corporation, Taiwan

International Journal of Economics and Financial Issues, 2016, vol. 6, issue 1, 245-251

Abstract: This paper explores how the interaction of four conditions (chief director stability, top management stability, family business and firms with Big4 auditor) results in restatements. This paper uses qualitative comparative analysis, which is a relatively new method applied in accounting research to examine the cause of the restatements systematically. The results show firms not audited by Big4 and family business are more possible to restate the financial reports due to accounting type errors. The results also imply that non family business audited by Big4 or family controlled firms not audited by Big4 have more chance to restate the financial reports due to material accounting errors. Last family business not audited by Big4 has more chance to restate the financial reports voluntarily.

Keywords: Personnel Stability; Qualitative Comparative Analysis; Restatement (search for similar items in EconPapers)
JEL-codes: M40 M41 (search for similar items in EconPapers)
Date: 2016
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.econjournals.com/index.php/ijefi/article/download/1570/pdf (application/pdf)
http://www.econjournals.com/index.php/ijefi/article/view/1570/pdf (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eco:journ1:2016-01-33

Access Statistics for this article

International Journal of Economics and Financial Issues is currently edited by Ilhan Ozturk

More articles in International Journal of Economics and Financial Issues from Econjournals
Bibliographic data for series maintained by Ilhan Ozturk ().