Publication Type

PhD Dissertation

Version

publishedVersion

Publication Date

2-2024

Abstract

I examine how the hierarchical structure of a firm’s accounting function influences its financial reporting quality. Using information from accounting employees’ online resumes to infer the hierarchical layers in a firm’s accounting function, I find that a firm with a more hierarchical accounting function exhibits higher financial reporting quality. Further analysis shows a hierarchical accounting function is associated with a reduced likelihood of internal control weaknesses, in particular internal control weaknesses in the segregation of duties and accounting personnel matters. These findings suggest that a hierarchical accounting function enhances financial reporting quality through improving internal control. These effects are more pronounced when a firm’s accountants are of a lower level of education and when a firm’s accounting function spans a smaller geographical region. Collectively, my findings underscore the importance of the organizational structure of a firm’s accounting function in shaping its financial reporting quality.

Keywords

organization structure, financial reporting quality, corporate accountants, internal control, internal information quality

Degree Awarded

PhD in Accounting

Discipline

Accounting

Supervisor(s)

WANG, Rencheng; HUANG, Sterling Zhenrui

First Page

1

Last Page

69

Publisher

Singapore Management University

City or Country

Singapore

Copyright Owner and License

Author

Available for download on Wednesday, June 18, 2025

Included in

Accounting Commons

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