Information uncertainty and auditor reputation

• Published in: Journal of banking & finance Vol. 33; no. 2; pp. 183 - 192
• Main Authors: Autore, Don M., Billingsley, Randall S., Schneller, Meir I.
• Format: Journal Article
• Language: English
• Published: Amsterdam Elsevier B.V 01.02.2009; Elsevier; Elsevier Sequoia S.A
• Series: Journal of Banking & Finance
• Subjects: Accountants; Arthur Andersen; Auditing; Auditor reputation; Auditors reports; Big Five accounting firms; Business reputation; Capital market; Contagion; Correlation analysis; Financial information; Information; Information uncertainty; Information uncertainty Auditor reputation Contagion Arthur Andersen; Obstruction of justice; Reputations; Stock prices; Studies; Uncertainty; United States > US; Arthur Andersen; Information uncertainty; Contagion; M42; G14; Auditor reputation

This paper explores the relationship between information uncertainty and auditor reputation revealed by the failure of Arthur Andersen (AA). AA’s reputation deteriorated considerably when it announced on January 10, 2002, that it had shredded documents related to its audit of Enron. AA’s demise was...