In this paper, we investigate whether firm performance is affected by corporate governance and the change of corporate governance after Sarbanes-Oxley Act (SOX hereafter). We find that firm performance, on average, is negatively associated with the corporate governance after the passage of SOX. However, the firm performance is not significantly associated with the change of corporate governance...

Enterprises require mechanisms to ensure that their business processes implement and fulfill internal controls in context of regulatory compliance such as Sarbanes Oxley Act. In this paper we propose an approach for the modeling and implementation of internal controls in business processes. The approach is based on the formal modeling of internal controls, thus it can serve as the basis for usa...

This study examines the impact of the Sarbanes-Oxley Act (SOX) on bondholders, a significant investor group that has not been previously considered in the SOX literature. We find that bond values decline around the announcement of events leading up to the passage of SOX, consistent with market participants expecting SOX to impose net costs on bondholders. We further find that the decline in bon...

Enterprises require mechanisms to ensure that their business processes implement and fulfill internal controls in context of regulatory compliance such as Sarbanes Oxley Act. In this paper we propose an approach for the modeling and implementation of internal controls in business processes. The approach is based on the formal modeling of internal controls, thus it can serve as the basis for usa...

Abstract We examine the impact of incentive compensation on riskiness acquisition decisions before and after passage Sarbanes–Oxley Act (SOX). Before SOX, equity-based was positively related to changes in risk around decisions, but this relationship weakened introduction SOX. The drop post-SOX acquisition-related stems from how managers respond compensation-based incentives new regulatory envir...

The Sarbanes-Oxley Act (SOX) of 2002 places significant and costly new burdens on public companies. Meeting the recurring requirements for financial reporting under SOX effectively will demand innovative application of information technology. The Continuous Auditing Web Services model (CAWS) provides a framework for considering how to efficiently manage and automate financial reporting. We prop...

The advent of regulatory compliance requirements such as Sarbanes Oxley Act has forced enterprises to set up a process for managing an effective internal controls system. We propose the introduction of a semantic layer in which the process instances are interpreted according to the required compliance controls represented as rules. We analyze in this paper the requirements for the implementatio...