This paper examines audit report lags and eamings announcement lags for a sample of firms that switched auditors. We investigate whether audit report and earnings announcement lags are associated with the timing of auditor changes in relation to firms' fiscal year-ends. It is hypothesized that firms which replace their auditor early (late) in the fiscal year do so for positive (negative) reasons and experience shorter (longer) reporting lags. Conflicts over reporting issues can be difficult to resolve and consequently lead to reporting delays. In other cases, clients may be more concerned about adhering to customary reporting practices or improving reporting timeliness. These are likely to be considerations in auditor realignment decisions and are predictably refiected in the timing of the auditor change.Resume. Les auteurs s'interessent aux d6calages dans la production des rapports des verificateurs et dans la publication des benefices, pour un fchantillon d'entreprises ayant chang6 de vfirificateurs. Ils se demandent si ces decalages sont reliSs au choix du moment du changement de verificateurs par rapport it la date de cloture de I'exercice, Selon leur hypothfese, les entreprises qui remplacent leurs verificateurs tot (tard) dans I'exercice le font f)our des raisons positives (negatives), et les decalages enregistrds dans la production de rinformation sont plus courts (plus longs). Les confiits touchant les questions relatives & l'information h foumir peuvent etre difficiles k resoudre et, en consequence, conduire h des retards dans la publication de l'information, Dans d'autres cas, les entreprises clientes peuvent etre davantage pr6occupees par le respect des methodes coutumieres de presentation de l'information ou par l'acceMration de la publication de l'information, Ces facteurs sont susceptibles d'entrer en ligne de compte dans les decisions de reorientation des verificateurs, et il est h prevoir qu'ils se refieteront dans le choix du moment du changement de verificateurs.The empirical findings for both audit report and eamings announcement lags are consistent with the hypotheses. Despite the increase in reporting lags for late switchers, we observe a higher incidence of switching in the fourth quarter than in any other quarter. Additionally, we detect a higher percentage of losses and

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Abstract. This study presents a logistic regression model which is used to identify U.S. companies that are likely to have their financial statements qualified for going concem reasons. The model is developed using financial statement data for a sample of failing companies. Validation tests performed on independent samples of bankrupt and nonbankrupt companies indicate that the model has reasonable explanatory power. The findings from this study indicate that the auditor's qualification for companies in financial distress is correlated with variables derived from financial statement data. The variables that are consistently identified as being closely associated with the auditor's decision whether to qualify his opinion are recurring operating losses and change in a company's liquidity position.Risumi. Cette ^tude presente un modele de regression logistique utilise afin d'identifier les societ6s am^ricaines dont les 6tats financiers sont susceptibles d'etre accompagn^s d'une opinion avec restriction quant k la permanence de l'entreprise. Le module est constniit k l'aide de donndes tiroes d'6tats financiers provenant d'un echantillon d'entreprises en difficultds. Des tests de validation effectu^s sur des dchantillons independants de soci6t6 faillies et non-faillies, indiquent que le module d6montre une capacite explicative acceptable. Les r6sultats de cette 6tude montrent une correlation entre, d'une part, l'opinion avec restriction dans le cas de socidt^s en difficultes financi^res et entre, d'autre part, des variables tirees des donnees d'etats financiers. Les variables qui sont reguliferement identifiees comme etant reliees de pr6s k la decision du verificateur d'emettre un rapport avec restriction, sont les pertes d'exploitation repetitives et la variation dans la position de tresorerie d'une societe. IntroductionThe responsibilities of the independent auditor in the presence of going concem uncertainties has been debated for a long time. In the U.S., the Commission on Auditors' Responsibilities (1978) took the position that the auditor's reporting responsibility with regard to uncertainties should be limited to evaluating the adequacy of information disclosure rather than business risks facing the firm.