Launched back in 2013, the Audit Analytics Changes in Accounting Estimates database now has nearly 18 years worth of changes in accounting estimate disclosures. We’ve analyzed all annual and quarterly SEC filings going back to January 1, 2000. We have just … Continue reading
Category Archives: AQRM
Predicting Material Weakness
Audit Analytics has released a white paper, Predicting Material Weakness, which discusses how certain company events and disclosures—such as late filings, auditor changes, or CEO / CFO departures—can be used to predict the probability that the company will also have … Continue reading
Benford’s Law Among the Russell 3000
Benford’s Law, an arcane rule from the math books, is making something of a splash in the world of financial analysis. The basic idea is this: in certain sets of data (the lengths of a collection of rivers, the populations … Continue reading
Hain Delays Filing: What to Expect
Hain Celestial Group (NASDAQ: HAIN) announced on Monday, August 15 that it would delay the release of its fourth quarter and fiscal year 2016 financial results. The reason? The company was investigating certain revenue arrangements with distributors. During the fourth quarter, the … Continue reading
Gift Cards a Present to Bottom Line
It’s already the end of April, with Christmas just a distant memory. And if you are anything like us, you’ve probably lost track of that gift card or two you weren’t able to use right away (or add to some smartphone app). Luckily … Continue reading
The Misrepresentation of Earnings; by Dichev et al.
In a recent article in the Financial Analysts Journal, titled “The Misrepresentation of Earnings,” Ilia Dichev, John Graham, Campbell R. Harvey, and Shiva Rajgopal explore the defining characteristics of earnings quality and the misrepresentation of earnings. As part of their inquiry, … Continue reading
Accounting Quality + Risk Matrix: Tutorial Video
Back in March, we announced the release of the Accounting Quality + Risk Matrix (AQRM) to subscribers of Audit Analytics. AQRM is an interactive tool designed to quickly identify and understand qualitative and contextual indicators of governance and reporting quality. Red … Continue reading