News

White receives JAR Award

Author: Lorie Marsh

Hal White, Vincent and Rose Lizzadro Professor of Accountancy, has been selected by the senior editors of the Journal of Accounting Research (JAR) to receive a “2020 Excellence in Refereeing Award.” This honor was presented to 15% - 20% of individuals who completed refereeing work for JAR over the past calendar year. Hal’s name and school affiliation will be listed in the June 2021 JAR

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Ranzilla on SEC

Author: Lorie Marsh

Accountancy's Sam Ranzilla participated in a live broadcast hosted by the Securities and Exchange Commission’s Historical Society on March 2, “Standing up the PCAOB: A Discussion with PCAOB’s Founding Board Members and Audit Profession." Sam presented as part of Panel II: Public Company Audit Firm Representatives.…

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Vera-Munoz Climate Risk Research Shared at SASB Conference

Author: Lorie Marsh

Accountancy's Sandra Vera Muñoz and co-authors presented their paper, "Climate Risk Materiality and Firm Risk," during the inaugural "SASB Alliance: Academic Series,” which took place virtually March 4-5. The global event was attended by academicians as well as practitioners from the Big 4 accounting firms, Moody's, Morningstar, Aon, Glass Lewis and others in the ESG investing and consulting industries.…

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Imdieke Joins Editorial Board

Author: Lorie Marsh

Accountancy's Andy Imdieke was invited to serve a three-year term on the editorial board at Auditing: A Journal of Practice and Theory. Congratulations, Andy!…

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Watkins Paper Accepted by The Accounting Review

Author: Lorie Marsh

Jessie Watkins' “Usefulness of Interest Income Sensitivity Disclosures” was recently accepted by The Accounting Review. The study examines multiple dimensions of usefulness of banks’ interest income sensitivity disclosures. We find these disclosures are predictive of future realized changes in net interest income and appear to be used by a number of market participants, including financial analysts and equity investors. These results suggest that interest income sensitivity disclosures are informative measures of interest rate risk and contradict assertions that these disclosures are useless due to lack of relevance of income sensitivity, poor modeling techniques, and/or redundancy relative to regulatory data.…

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Rivera Milani Trifecta

Author: Lorie Marsh

Juan Rivera and Ken Milani completed a unique trifecta ( i.e., three related articles published in consecutive issues of the same journal). Specifically, Strategic Finance published the following articles:

  • "Managing International Operations in Uncertain Times"  November 2020 issue, pp. 57-64
  • "Budgeting for International Operations"  December 2020 issue, pp. 46-52

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Beardsley and Imdieke paper accepted for publication at the Journal of Accounting and Economics

Author: Lorie Marsh

The distraction effect of non-audit services on audit quality,” coauthored by Erik BeardsleyAndy Imdieke, and Tom Omer (University of Nebraska – Lincoln), has been accepted for publication at the Journal of Accounting and Economics.

From the abstract -  Regulators have expressed concerns that an emphasis on non-audit services (NAS) could distract from the audit function, even for clients with minimal NAS purchases. Motivated by this concern, we examine whether a greater emphasis on providing NAS to audit clients generally (i.e., not to a specific client) can distract from the audit function, thus reducing audit quality. We find evidence of an NAS distraction effect, where a greater emphasis on NAS at the audit office-level results in more client financial statement restatements, even after controlling for client-specific NAS. Further, the association exists among clients that purchase minimal NAS, suggesting that this association relates to distraction effects in addition to independence issues examined in prior research. This study should be of interest to audit firms, audit committees, and regulators because it provides new evidence regarding issues related to a business model that includes both audit and non-audit services.

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White named to Editorial Board of the Journal of Accounting and Economics

Author: Lorie Marsh

Congratulations to Accountancy's Hal White, who accepted an invitation from the Editorial Board of the Journal of Accounting and Economics to serve as Associate Editor starting Jan. 1, 2021. This well-deserved editorial appointment recognizes Hal's high caliber as a JAE referee and his conscientious and thorough referee reports.…

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Murphy Paper Accepted for Publication in the Journal of Legal Studies Education

Author: Lorie Marsh

Tonia Murphy’s paper, “The Name Game: Merging the Business and Law of Trademarks,” co-authored with Dan Cahoy (Penn State University), has been accepted for publication in the Journal of Legal Studies Education (forthcoming in Vol. 38, Issue 1, in the spring of 2021). Here is the abstract:

 Choosing a good name for a product, service, or entire firm is one of the most important decisions managers make.  To appreciate the full strategic picture, students must consider marketing notions of branding but also trademark law.  This paper reviews the relevant marketing and legal literature.  It provides a suite of hands-on exercises simulating tasks students may face in the business world, culminating in the “name game,” which requires students to balance marketing and legal considerations to choose desirable brand names for an actual product.  

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Under Direction of O'Tousa, ND Beta Alpha Psi Chapter Named as Superior Chapter

Author: Lorie Marsh

Janet O’Tousa, Faculty Advisor for Notre Dame’s Beta Alpha Psi (BAP) chapter, was recently notified that the chapter has received international recognition as a Superior Chapter for their outstanding efforts during the 2019 – 2020 academic year. Achieving Superior status is a tremendous accomplishment, particularly given all the pandemic-related challenges in 2020. Thank you, Janet, for your outstanding leadership with BAP.…

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CARE Scholar Tuijn Defends PhD, Accepts Position at SMU

Author: Lorie Marsh

CARE Research Scholar Marcel Tuijn defended his PhD thesis at Erasmus University on October 16, 2020. Marcel’s thesis is titled “Target the untargeted: essays in unconventional disclosures and policies.” Peter Easton, who attended Marcel’s defense, reports that all on the examination committee were very impressed. Marcel, his Chairman, Erik Peek, and the Rector Magnificus all expressed much appreciation to the University of Notre Dame for their help, encouragement, and collegiality and, in particular, for helping him secure an appointment at SMU’s Cox School of Business (no small feat, given this year’s difficult job market).…

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Beardsley's Street effective tax rates paper featured in Mendoza News

Author: Lorie Marsh

‘Street’ effective tax rates are more useful in predicting companies' future tax outcomes, recent study by Erik Beardsley finds.

Street earnings metrics such as street ETRs are becoming more and more common, but regulators like the SEC are concerned that non-GAAP metrics can be misleading to readers of financial statements,” Beardsley said. “Our study should be informative to regulators and users of financial statements because it provides evidence that street ETRs are useful. …

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Beardsley Paper Accepted by Contemporary Accounting Research

Author: Lorie Marsh

Erik Beardsley’s paper, “Street vs. GAAP: Which Effective Tax Rate is More Informative?,” coauthored with Michael Mayberry (University of Florida) and Sean McGuire (Texas A&M), has been accepted for publication in Contemporary Accounting Research. Here is the abstract:

 

This study investigates how sophisticated market participants use tax-based information by examining whether analysts’ street effective tax rates (ETRs) are informative. When assessing firm performance, analysts exclude items they believe do not reflect current performance, resulting in “street” metrics such as street ETR. However, evidence on the properties of the components of street earnings is limited. Examining the informativeness of street ETRs is important because taxes are a significant component of earnings, and the extent to which analysts understand and incorporate taxes into their analyses is not clear. Using a hand-collected sample of analyst reports, we find that while 

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Murphy Paper Accepted by Journal of Business Law and Ethics Pedagogy

Author: Lorie Marsh

Tonia Murphy’s paper, “Law in the Time of Coronavirus: How and Why to Cover Coronavirus Disruptions in a Business Law or Legal Environment Course,” has been accepted for publication in Journal of Business Law and Ethics Pedagogy (Vol. 3(1)). Here is the abstract:

 

Businesses face an array of legal challenges connected with the 2020 coronavirus pandemic. Students will have natural interest in relating the virus that has upended their lives to course material. This paper advises on best practices for teaching in the aftermath of traumatic events. It contains materials and specific suggestions for covering coronavirus-related issues throughout a Business Law or Legal Environment course. It links to over fifty resources, including video clips, court rulings, government and law firm advisories, news reports, law reviews, company press releases, and actual contracts.  

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