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CAQ to Fund 4 Auditing Research Projects

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By Michael Cohn
May 21, 2014

The Center for Audit Quality plans to fund four new academic research projects after requesting proposals last December.

The CAQ received 36 proposals in response and its Research Advisory Board chose the following four projects:

• “Audit Committee Quality and Financial Reporting in Merger and Acquisition Transactions,” by Tom Adams and Jayanthi Krishnan, Temple University

Cindy Fornelli

• “Management Bias and Accounting Estimates: When do Auditors Assimilate Management’s Bias and When Do They Correct for It?” by Brian Fitzgerald, Texas A&M University (accepted a position at Northeastern), Kecia Smith and Christopher Wolfe, Texas A&M University

• “Does Disclosing Critical Audit Matters in the Audit Report Increase Perceived Auditor Responsibility for Misstatements?” by Steven J. Kachelmeier, Jamie J. Schmidt, and Kristen Valentine, University of Texas at Austin

• “The Way Forward on Professional Skepticism: Conceptualizing Professional Skepticism as an Attitude,” by Christine Nolder, Suffolk University and Kathryn Kadous, Emory University

“The CAQ is pleased to provide ongoing support for independent research that aims to address critical auditing issues,” said CAQ executive director Cindy Fornelli in a statement. “I applaud our Research Advisory Board members for their dedication to identifying projects that will inform the profession’s efforts to continuously improve audit quality.”

Through the RAB, the CAQ has provided 25 grants to fund academic research since 2009.

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