Corporate compensation policies and audit fees
AbstractRecent accounting research has started to investigate the links between corporate compensation and auditor compensation. Engel et al. (2010) take a first step to connect these previously distinct literatures by investigating the association between audit committee pay and audit fees. I discuss the findings of this study and then present complementary empirical evidence on the association between CEO compensation and audit fees. My descriptive empirical evidence suggests economically large co-variation in CEO compensation and audit fees. I conclude with suggestions for future research on the links between firms' corporate compensation and auditor compensation policies.
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Bibliographic InfoArticle provided by Elsevier in its journal Journal of Accounting and Economics.
Volume (Year): 49 (2010)
Issue (Month): 1-2 (February)
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Web page: http://www.elsevier.com/locate/jae
Audit fees CEO compensation Complexity Entrenchment Risk;
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