Date of Award
2014
Document Type
Dissertation
Degree Name
Ph.D. in Accountancy
Department
Accountancy
First Advisor
Karl Wang
Second Advisor
Richard Gentry
Third Advisor
Victoria Dickinson
Relational Format
dissertation/thesis
Abstract
In this study, I examine whether and how the frequency of internal audits (continuous vs. periodic), functional independence (separate vs. combined internal audit assurance and consulting functions), and the type of earnings management (accrual-based vs. real) affect internal auditors' perception of the likelihood managers will manipulate earnings. I find that earnings management is less likely when the internal audit function uses continuous auditing, regardless of the level of independence. However, the effect of independence is context-dependent such that internal auditors expect that real (accrual-based) earnings management is less likely when the internal audit function is independent (not independent), regardless of audit frequency. The findings of this study could be of importance to regulators, accounting researchers, and audit practice.
Recommended Citation
Barr, Dereck D., "The Role Of Independence In The Effectiveness Of Continuous Auditing" (2014). Electronic Theses and Dissertations. 354.
https://egrove.olemiss.edu/etd/354