Research Cluster-Accountancy
The Department of Accountancy is dedicated to advancing research in auditing, with a specific focus on its role in improving corporate accountability, governance, and financial transparency. Our research explores critical topics, including audit quality, auditor independence, audit market dynamics, and the impact of regulatory changes on auditing practices, with a special emphasis on emerging markets and transitional economies.
• Journal Publications
Chan, K. H., Jiang, E. J., Mo, P. L. L., & Zhang, H. (2025). Auditors’ response to controlling shareholders’ share pledging: Evidence from audit opinions and audit fees. Auditing: A Journal of Practice and Theory, 44(1), 27-53. Li, Y., Li, N., & Lei, H. W. (2025). Independent directors with auditing expertise, overconfident CEOs and overinvestment in China. Pacific-Basin Finance Journal, 102733. Chan, K. H., Liu, Q., Mo, P. L. L., & Tian, L. (2024). High-speed railways, audit partner changes across audit offices and audit quality: Evidence from China. The British Accounting Review, 101506. Chen, X., Li, M., Nduakoh, D., & Yau, L. N. B. (2024). Mandatory disclosure of key audit matters and the choice of earnings management. Accounting & Finance, 65(1), 251- 288. Lam, B. M., Mo, P. L. L., & Rahman, J. (2024). Secrecy culture, client importance, and auditor reporting behavior: An international study. Managerial Auditing Journal, 39(2), 113-137. Liu, Y., Liu, J. J., & Xin, Q. (2024). Does industry audit risk similarity affect auditor expertise? Evidence from China. Asia-Pacific Journal of Accounting & Economics, 31(3), 339-359. Chang, H., Fang, J., & Mo, P. L. L. (2023). Auditor career concerns, audit fees and audit quality. Asia-Pacific Journal of Accounting and Economics, 30(1), 30-55. Guo, Y., Guo, Y., Mo, P. L. L., & Zhang, X. (2023). Partner-level internal control opinion shopping and its economic consequences: Evidence from “SOX 404” in an emerging market. Journal of Accounting and Public Policy, 42(6), 107056. Guo, Y., Li, J. & Mo, P. L. L. (2023). Does independent director experience improve individual auditors’ audit quality? Journal of Accounting, Auditing & Finance, 38(4), 964-985. Chan, K. H., Guo, Y., & Mo, P. L. L. (2021). Can auditors’ local knowledge compensate for a weaker regulatory oversight for the audit quality of foreign companies? Accounting and Business Research, 51(2), 127-155. Chan, K. H., Mo, P. L. L., & Zhang, W. (2021). Do abnormal IPO audit fees signal IPO audit quality and post-IPO performance? A principal-agent analysis based on evidence from China. Journal of International Accounting Research, 20(1), 1-29. Lam, K. C. K., Liu, J. J., & Yip, R. W. Y. (2021). Does access to developed audit markets improve home audit quality? Evidence from China. Accounting and Business Research, 51(6-7), 707-743. Chang, H., Guo, Y. & Mo, P. L. L. (2019). Market competition, audit fee stickiness, and audit quality: Evidence from China. Auditing: A Journal of Practice & Theory, 36(2), 79-99. Leung, N. W., Liu, J. J., & Wong, B. (2019). The emergence of second-tier auditors in China: Analysis of audit fee premium and audit quality. Asia-Pacific Journal of Accounting & Economics, 26(6), 684-708. Du, J., Hou, Q., Tang, X., & Yao, Y. (2018). Does independent directors’ monitoring affect reputation? Evidence from the stock and labor markets. China Journal of Accounting Research, 11(2), 91-127. Wong, P. W. (2018). Are state ownership and auditors’ locality determinants of asset write-downs? Evidence from China. China Journal of Accounting Research, 11(4), 385-405. Chan, K, H., Jiang, J., & Mo, P. L. L. (2017). The effects of using bank auditors on audit quality and the agency cost of bank loans. Accounting Horizons, 31(4), 133-153. Chan, K. H., Luo, W., & Mo, P. L. L. (2016). Determinants and implications of long audit reporting lags: Evidence from China. Accounting and Business Research, 46(2), 145-166. Lee, H. (2016). Financial reporting and audit failures in transition economy: Examples of auditors in China’s financial market. Law and Financial Markets Review, 10(1), 4-15. Leung, N. W. & Liu, J. (2015). Ownership structure and auditor choice: Evidence from Chinese listed firms. Asian Journal of Business Ethics, 4(2), 163-185. Mo, P. L. L., Rui, O., & Wu, X. (2015). Auditors’ going concern reporting in the pre- and post-bankruptcy law eras: Chinese affiliates of Big 4 versus local auditors. The International Journal of Accounting, 50, 1-30. Firth, M., Mo, P. L. L., & Wong, R. M. K. (2014). Auditors’ reporting conservatism after regulatory sanctions: Evidence from China. Journal of International Accounting Research, 13(2), 1-24. Chen, D., Liu, Q., Luo, L., & Yao, Y. (2014). Executive corruption, contagion effect, and investor protection – Empirical evidence from the Bai Peizhong case. China Accounting and Finance Review, 16(3), 96-128. Chen, C. J., Li, Z., Su, X., & Yao, Y. (2012). Delegation and sensitivity of CEO turnover to firm performance within business groups: Evidence from China. Journal of Accounting and Public Policy, 31(6), 553-574. Firth, M., Mo, P. L. L., & Wong, R. M.K. (2012). Auditors’ organizational form, legal liability, and reporting conservatism: Evidence from China. Contemporary Accounting Research, 29(1), 57-93. Chan, K. H., Lin, K. Z., & Mo, P. L. L. (2006). A political–economic analysis of auditor reporting and auditor switches. Review of Accounting Studies, 11, 21-48. Chow, C. W., Ho, J. L.Y., & Mo, P. L. L. (2006). Towards understanding the Chinese auditors’ structuring of audit approaches, client acceptance decisions, risk assessment, and stringency of imposed reporting standards. Journal of International Accounting Research, 5(1), 1-23. Firth, M., Mo, P. L. L., & Wong, R. M. K. (2005). Financial statement frauds and auditor sanctions: An analysis of enforcement actions in China. Journal of Business Ethics, 62(4), 367-381. Chan, K. H., Lin, Z. P., & Mo, P. L. L. (2003). An empirical study on the impact of culture on audit-detected accounting errors. Auditing: A Journal of Practice and Theory, 22(2), 281-295.• Competitive Research Funding Schemes for the Local Self-financing Degree Sector
1. The Emergence of Second-Tier Auditors in China: An Analysis of Audit Quality. PI: Dr LIU Junxia. Amount: HKD 526,125. Project No. UGC/FDS14/B07/15. 2. What do Expanded Audit Reports Tell? Initial Evidence from the United Kingdom. PI: Dr YAU Belinda Ling-na. Amount: HKD 660,200. Project No. UGC/FDS14/B10/20. 3. Auditing During the COVID-19 Pandemic. PI: Dr YAU Belinda Ling-na. Amount: HKD 793,025. Project No. UGC/FDS14/B03/21. 4. Does Sharing the Same Auditor with Listed Affiliated Firms Affect IPO Audit Quality? An Analysis at the Audit Firm and Partner Levels. PI: Dr ZHANG Weiyin. Amount: HKD 540,600. Project No. UGC/FDS14/B17/22. 5. SOE State Audit in China. PI: Dr YAU Belinda Ling-na. Amount: HKD 660,200. Project No. UGC/FDS14/B01/23.The Department of Accountancy is dedicated to advancing knowledge at the intersection of accounting and capital markets. Our research focuses on how financial reporting influences market behaviour, investment decisions, and economic outcomes. Specifically, our research addresses critical issues such as market transparency, mergers and acquisitions, financial disclosures, and the implications of global regulatory and economic changes.
• Journal Publications
Chan, K. H., Mo, P. L. L., & Yorke, S. M. (2024). Informativeness of internal control weakness disclosure on acquirers’ M&A decisions. Accounting Horizons, 38(2), 83-100. Lee, H. M. F. & Goo, S. H. (2023). Keeping one step ahead: Roadmap of an effective and efficient regulatory regime for accountants in the financial market in Hong Kong. Journal of Business Law, 5, 377-389. Lee, H. M. F. & Goo, S. H. (2023). Thinking outside the box: Challenges for accountants in anti-money laundering and counter-terrorist financing in Hong Kong. Journal of Business Law, 2, 120-138. Leung, T. K. P. & Lei, L. H. (2023). The economy of the Sino–US conflict: Its impact on Chinese firms listed in the US and Hong Kong as a financial hub. In Hong Kong as a Global Business and Financial Hub (pp. 52-72). Routledge. Athanasakou, V., Ferreira, D., & Goh, L. (2022). Changes in CEO stock option grants: A look at the numbers. Journal of Corporate Finance, 75, 102226. Hao, R., Xue, J., Yau, L. N. B., & Zhang, C. (2022). Analyst forecasting during COVID-19 pandemic. Managerial Auditing Journal, 37(3), 380-405. Liu, B., Tan, K., Wong, S. M., & Yip, R. W. (2022). Intra-industry information transfer in emerging markets: Evidence from China. Journal of Banking & Finance, 140, 106518. Yip, R. W., Young, D., Liu, B., & Wang, Z. (2022). Acquiring firms’ transparency and their returns around M&A announcements: Evidence from China. Journal of International Accounting, Auditing and Taxation, 48, 100487. Liu, B., Wang, Z., & Yip, R. W. (2021). Are non‐controlling foreign institutional investors a friend or foe to equity liquidity? Evidence from China. Asia‐Pacific Journal of Financial Studies, 50(1), 25-54. Chen, J. W., Haw, I. M., Shen, J., & Wong, P. W. Y. (2020). The economic benefits of returned-global Chinese IPOs. Review of Quantitative Finance and Accounting, 55(4), 1207-1239. Goh, L., Liu, X., & Tsang, A. (2020). Voluntary disclosure of corporate political spending. Journal of Corporate Finance, 61, 101403. Fong, W. M., Lam, K. C. K., Wong, P. W. Y., & Yao, Y. W. (2019). Mergers & acquisitions and the acquirer-target cultural differences. Review of Quantitative Finance and Accounting, 53(3), 633-661. Goh, L., Lam, K. C., & Lei, H. W. L. (2019). Value relevance of financial and non-financial information: Evidence from the gaming industry. UNLV Gaming Research & Review Journal, 23(1), 41-67. Yip, R. W. Y., Liu, B., & Young, D. (2019). Mandatory IFRS adoption: friend or foe of M&As? International evidence. Asia-Pacific Journal of Accounting & Economics, 29(1), 233-254. Goh, L., Joos, P., & Soonawalla, K. (2016). Determinants and valuation implications of imperfect stock option disclosures in a weak regulatory setting. Journal of International Financial Management and Accounting, 27(1), 26-64. Lee, H. & Wong, B. Y. H. (2016). Ways to implement global financial initiatives of the G20 after the financial crisis: The enforcement roles of the BCBS and the IASB. Law and Financial Markets Review, 10(4), 193-200. Yip, R. W. & Young, D. (2012). Does mandatory IFRS adoption improve information comparability? The Accounting Review, 87(5), 1767-1789.The Department of Accountancy places a strong emphasis on research in corporate governance and sustainability, addressing the evolving challenges faced by businesses in a dynamic global landscape. Our work examines the impact of governance practices, transparency, diversity, ethics, and regulatory frameworks on organizational sustainability and societal impact. By analysing corporate behaviour and policies, we aim to provide insights that promote responsible management and long-term value creation.
• Journal Publications
Cheng, L. T. W., Siu, Y. W., Wong, A., Wong, P., Armatas, C., & Yuen, K. P. (2024). Perceived employability during the COVID-19 pandemic in Greater Bay Area (GBA) of China. The Chinese Economy, 1-21. Lei, H. W. L., Siu, Y. W., Yau, L. N. B., & Zhang, W. (2024). Perception-reality gap on the benefits brought by female directors in Hong Kong. The Journal of the Hong Kong Chartered Governance Institute (2024/05). Lam, K. C., Sami, H., Yao, J., & Yao, Y. (2023). Mandatory IFRS adoption and earnings management: The role of culture. Journal of International Accounting, Auditing and Taxation, 50, 100527. Liu, J. & Liu, Y. (2023). Multiple directorships and firm performance: Evidence from independent director effort allocation in Hong Kong. Pacific-Basin Finance Journal, 79, 102051. Wan, W. Y., Mo, P. L. L., & McCormack, G. (2023). Incentivising early-stage debt restructuring for large firms: A study of Hong Kong and some United Kingdom comparisons. Journal of Corporate Law Studies, 23(1), 153-196. Hui, J., Chen, G., & Sun, B. (2022). Tortious liability in China’s motorsports industry. Georgia Journal of International and Comparative Law, 51, 37-85. Leung, T. C., Lee, H. M., & Chan, T. K. (2022). A roadmap to gender diversity among Hong Kong boards in the financial market. Law and Financial Markets Review, 16(1-2), 162-176. Snell, R. S., Wu, C. X., & Lei, H. W. (2022). Junzi virtues: A Confucian foundation for harmony within organizations. Asian Journal of Business Ethics, 11(1), 183-226. Chan, T. K. F., Lee, H. M. F., & Leung, T. C. K. (2021). The amended corporate insolvency law in Hong Kong – Legal and stamp duty implications for transactions at an undervalue. International Tax Journal, 47, 33-42. Goo, S. H. & Lee, H. M. F. (2020). Lawful traditional right and sustainability: An unbalanced interest in the customary ding right in Hong Kong? Hong Kong Law Journal, 50, 961-982. Goo, S. H., Lee, H. M. F., & Shi, S. (2020). Transparency of company: Operational challenges for implementing the new requirements on beneficial ownership in Hong Kong. Journal of Business Law, 1-19. Lei, H. W., Kim, C., & Wong, R. M. (2020). An examination of labor unions and firm’s tax ethical behavior in the USA. Asian Journal of Business Ethics, 9(1), 93-120. Goh, L., Lam, C. K., & Lei, L. (2019). Value relevance and non-financial information: Evidence from the gaming industry. UNLV Gaming Review and Research Journal, 23(1), 41-67. Goo, S. H. & Lee, H. M. F. (2019). More business opportunities or higher legal risks under the Belt and Road initiative and the Greater Bay Area initiative? Rethinking of information disclosure for Chinese companies. Companies and Securities Law Journal, 656-664. Leung, S., Ling, H., Chandra, Y., Mo, P. L. L., & Ho, S. S. (2019). Enhancing the competitiveness and sustainability of social enterprises in Hong Kong: A three-dimensional analysis. China Journal of Accounting Research, 12(2), 157-176. Wong, E. Y., Yeung, J. C., & Chen, L. (2019). Modified universalism and the proposed adoption of the UNCITRAL model law on cross-border insolvency in Hong Kong – from the Hanjin Shipping bankruptcy case. Journal of Maritime Law and Commerce, 50(1), 21-43. Gao, W. & Chen, G. Z. (2016). Does owner heterogeneity matter in the management of multi-owned housing? Habitat International, 53, 106-114. Goh, L. & Gupta, A. (2016). Remuneration of non-executive directors: Evidence from the UK. The British Accounting Review, 48(3), 379-399. Li, Z., Zhou, G., Guan, F., & Liu, J. (2016). Family business governance: An economics interpretation and research implications in China. China Accounting and Finance Review, 18(2), 79-115. Goh, L. & Li, Y. (2015). Pensions as a form of executive compensation. Journal of Business Finance & Accounting, 42(9-10), 1154-1187. Chen, G. & Hsu, B. F. (2012). Law and policy in the sustainability of affordable housing: The Case of China. UCLA Pacific Basin Law Journal, 30, 259-318. Goh, L. & Gupta, A. (2010). Executive compensation, compensation consultants, and shopping for opinion: Evidence from the United Kingdom. Journal of Accounting, Auditing & Finance, 25(4), 607-643.• Competitive Research Funding Schemes for the Local Self-financing Degree Sector
1. Too Busy to Help? Recent Evidence on Multiple Directorships and Firm Performance in Hong Kong. PI: Dr LIU Junxia. Amount: HKD 625,700. Project No. UGC/FDS14/B03/18. 2. Chief Sustainability Officers, CSR-based Executive Pay Performance Measures, and Firm Value: International Evidence. PI: Dr GOH Lisa. Amount: HKD 478,877. Project No. UGC/FDS14/B01/19. 3. The CEO Pay Ratio: UK Evidence. PI: Dr GOH Lisa. Amount: HKD 409,758. Project No. UGC/FDS14/B04/21.The Department of Accountancy conducts impactful research in taxation, addressing critical issues such as tax compliance, tax policy, corporate tax strategies, and the intersection of taxation with financial reporting. By examining the complexities of taxation in both developed and emerging economies, our research provides valuable insights into how tax systems influence corporate and individual behaviour, financial decision-making, and economic growth.
• Journal Publications
Chan, K. H., He, M., Mo, P. L. L., & Zhang, W. (2024). Long-term tax strategy and corporate acquisition payment structure: An analysis based on the book-tax tradeoff theory. Journal of Contemporary Accounting & Economics, 20(3), 100442. Chan, K. H., Lin, K. Z., Mo, P. L. L., & Wong, P. W. (2023). Does IFRS convergence improve earnings informativeness? An analysis from the book-tax tradeoff perspective. Accounting and Business Research, 53(2), 158-184. Kwok, B. Y. S. & Yip, R. W. Y. (2018). Is tax education good or evil for boosting tax compliance? Evidence from Hong Kong. Asian Economic Journal, 32(4), 359-386. Lee, H. (2017). Tax treatments for court-free intragroup amalgamation in Hong Kong. International Tax Journal, 43, 37. Tang, T., Mo, P. L. L., & Chan, K. H. (2017). Tax collector or tax avoider? An investigation of intergovernmental agency conflicts. The Accounting Review, 92(2), 247-270. Chan, K. H., Luo, R., & Mo, P. L. L. (2016). Auditors’ constraining effect on tax noncompliance at different book-tax conformity levels in a transition economy. Journal of International Accounting Research, 15(3), 1-30. Chan, K. H, Mo, P. L. L., & Tang, T. (2016). Tax avoidance and tunneling: Empirical analysis from an agency perspective. Journal of International Accounting Research, 15(3), 49-66. Cheng, S., Shi, S., & Yip, R. W. (2016). Investing in China’s equity market – PRC tax implications for foreign investors. International Tax Journal, 42(3), 21-30. Shafer, W. E., Simmons, R. S., & Yip, R. W. (2016). Social responsibility, professional commitment and tax fraud. Accounting, Auditing & Accountability Journal, 29(1), 111-134. Young, A., Lei, L., Wong, B., & Kwok, B. (2016). Individual tax compliance in China: A review. International Journal of Law and Management, 58(5), 562-574. Chan, K. H., Lo, A. W. Y., & Mo, P. L. L. (2015). An empirical analysis of the changes in tax audit focus on international transfer pricing. Journal of International Accounting, Auditing and Taxation, 24, 94-104. Chan, K. H., Mo, P. L. L., & Zhou, A. (2013). Government ownership, corporate governance and tax aggressiveness: Evidence from China. Accounting and Finance, 53, 1029-1051. Chan, K. H., Lin, K. Z., & Mo, P. L. L. (2010). Will a departure from tax-based accounting encourage tax noncompliance? Archival evidence from a transition economy. Journal of Accounting and Economics, 50(1), 58-73. Chan, K. H., Lo, A. W., & Mo, P. L. L. (2006). Managerial autonomy and tax compliance: An empirical study on international transfer pricing. Journal of the American Taxation Association, 28(2), 1-22. Chan, K. H. & Mo, P. L. L. (2002). The impact of firm characteristics on book-tax-conforming and book-tax-difference audit adjustments. Journal of the American Taxation Association, 24(2), 18-34. Chan, K. H. & Mo, P. L. L. (2000). Tax holidays and tax noncompliance: An empirical study of corporate tax audits in China’s developing economy. The Accounting Review, 75(4), 469-484.