Quarterly earnings, Interim reporting, Price reaction, Volume changes

Abstract ABSTRACT: This study analyzes the effect of two review strategies on performance, effort, and attitude measures. The two review strategies are compared with a control strategy that does not include a review treatment. The review treatments are administered through two separate testing procedures. One procedure includes individualized review questions on each succeeding examination. The other includes randomized review questions on succeeding exams. The results indicate that reviews are a cost-effective means of improving student performance. The random review treatment proved to be the more efficient strategy. Further, the data implied that students were unable to assess properly the benefits of reviews. This finding suggests that instructors should take the initiative to employ strategies that force students to review on a regular basis.

Abstract Presents a reply to the commentary on the study on volatility in quarterly accounting data. Difficulties which arise from the use of the dependent period concept to determine a number predictive of annual net income; Basis for dependent period concept; Causes of fourth quarter adjustments; Evidence for the existence of bath items.

Abstract The article discusses a study of the different approaches to reporting interim accounting data. Although the accounting literature has posited three approaches, there are only two alternative concepts of distinguishing net income. These are the independent period concept, and the dependent period concept. The first gives status similar to that of the annual period so that traditional accounting principles are applied in income determination. The second views the interim period as part of the annual period.

Auditing, Non-Audit services, Auditor independence, Audit quality

Abstract Visiting professors are becoming a common phenomenon in the academic world, as of April 1975. Visiting professor arrangements involve faculty members taking leaves of absence from their home institutions and correspondingly obtaining temporary appointments, which normally do not extend beyond one academic year, at other institutions. The objective of this article is to investigate the nature of visiting professorships from the point of view of both the participating faculty member and the sponsoring institution. In addition, potential benefits accruing to the academic community as a whole, as well as the question of whether the American Accounting Association should encourage visiting professorships, are explored. A questionnaire was developed and sent to 300 faculty members randomly selected from the 1973 American Accounting Association membership directory. The article also presents information about the extent to which visiting professorships currently exist. The faculty questionnaire results indicated that 22% of the respondents had been involved, at some time during their academic careers, in a visiting faculty arrangement. Another 10% of the respondents had considered and rejected such an offer. Approximately 32% of the faculty members surveyed had, at one time, decided either to accept or reject a visiting professorship.

Abstract ABSTRACT: This paper investigates the relationship between sampling risks and audit consequences under error and audit value projection testing approaches. The latter approach typically is presented in auditing textbooks in connection with classical variables sampling, while the former approach is shown to underlie both dollar-unit sampling methods (in which an upper precision limit for monetary error is computed) and statistical compliance testing methods. In particular, we demonstrate analytically that error projection approaches implicitly test null hypotheses which effectively are equivalent to an alternative hypothesis underlying audit value projection. We also present outcome matrices to identify the effect of such hypothesis interchange on the audit consequences of sampling risks, and thus provide a basis for clarifying sampling risk discussions in textbooks and the recently issued Audit and Accounting Guide: Audit Sampling.

Abstract ABSTRACT: Present financial statement disclosure standards require that certain items be separately classified in the financial statements and presented net of their applicable income tax. Examples of such items are the cumulative effect of a change in accounting principle, an extraordinary item and a gain or loss resulting from the disposal of a segment of a business. The determination of the income tax effect of such items is complicated when there are differential tax rates and multiple items which must be specially classified. The purpose of this paper is to demonstrate this process and to discuss the complexities that arise when the specially classified items include offsetting gains and losses.

Abstract Reviews the book "Accounting Reporting Problems--Interim Financial Statements," by Michael Schiff.