...Myojung Cho; Feiqi Huang; Xin Luo ABSTRACT Using a recently developed proxy for retail investor attention to 10-K filings on EDGAR, we investigate the relationship between retail investor attention and audit fees. We find that retail investor attention is positively related to audit fees...

... with cybersecurity-breached clients, ceteris paribus, charge higher audit fees from nonbreach clients. Additionally, the increased audit fees conditional on auditors’ cybersecurity experience are negatively associated with nonbreach clients’ future breach incidents. Such associations are found only...

... lower audit fees after the incident. Furthermore, Deloitte’s audit clients suffered significant negative market reactions postbreach. Our results suggest pervasive implications of cyberattacks on auditor reputation and support recent congressional efforts to expand regulation in this area. This study...

...Ju-Chun Yen ABSTRACT This study investigates whether a client's use of a Legal Entity Identifier (LEI) is associated with audit fee changes. An LEI uniquely identifies different legal entities worldwide, making audit clients' transactions and related parties more transparent and traceable...

..., our study examines whether auditors price breach risk into their fees and if a firm's internal governance can mitigate the potential increases in audit fees. Using a sample of breached firms ranging from 2005–2014, we adapt the Houston, Peters, and Pratt (2005) model to explore how auditors view...

... and detecting accounting irregularities. Thus, the relationship between clients' IT investments and audit risk deserves research attention. Using IT data of U.S. firms from 2000 to 2009, we find that IT investments are positively related to audit fees (and abnormal audit fees), the probability of auditors...

... relevant to the audit. Specifically, IT capability directly mitigates audit fee increases, but not audit delay increases, indicating high IT capability signals lower business risks associated with the use of IT and reduces the auditor's risk premium. Further, IT capability has pervasive impacts on both...