Do material weaknesses in information technology-related internal controls affect firms' 8-K filing timeliness and compliance?

Anthony Holder, Khondkar Karim, Lin, Karen (Jingrong) and Robert Pinsker

International Journal of Accounting Information Systems, 2016, vol. 22, issue C, 26-43

Abstract: Form 8-K reporting represents a different (and relatively unknown) information environment than annual 10-K filings. The current study takes advantage of a unique, comprehensive sample of 118,863 8-K filing event observations to investigate the association between firms' Form 8-K reporting timeliness/compliance with required reporting deadlines and their internal control weaknesses. In addition, the study investigates the association between firms' 8-K reporting and their information technology (IT) related internal control weaknesses. Overall, we find strong and robust evidence of a negative relation between the likelihood of the firm reporting a material internal control weakness and the timeliness and compliance of the firms' 8-K filings. We also find distinguishing effects of weaknesses involving IT-related controls. Given recent interest in IT-related controls and far-reaching reforms with stated objectives of improving disclosure timeliness, increasing the quality of internal controls and improving the quality of accounting information, we believe our results provide insights to accounting information systems academics, regulators, accounting standard setters and other interested observers.

Keywords: Form 8-K filing timeliness; Internal controls; Information technology; Regulation (search for similar items in EconPapers)
Date: 2016
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (9)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S146708951630080X
Full text for ScienceDirect subscribers only

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:eee:ijoais:v:22:y:2016:i:c:p:26-43

DOI: 10.1016/j.accinf.2016.07.003

Access Statistics for this article

International Journal of Accounting Information Systems is currently edited by S.V. Grabski

More articles in International Journal of Accounting Information Systems from Elsevier
Bibliographic data for series maintained by Catherine Liu ().