Table 1 Sample distribution
From: Voluntary disclosure of internal control and auditor’s attestation: evidence from China
Panel A: Distribution of the whole sample | |||||||
Year | Firms with no disclosure | Firms with disclosure on self-assessment, but no auditor’s attestation | Firms with both self-assessment reports and auditors’ reports | Total number of observations | |||
2006 | 748 | 10 | 37 | 795 | |||
2007 | 648 | 8 | 129 | 785 | |||
2008 | 473 | 161 | 159 | 793 | |||
2009 | 468 | 168 | 175 | 811 | |||
2010 | 459 | 160 | 191 | 810 | |||
total | 2796 | 507 | 691 | 3994 | |||
Panel B: Distribution of firms with IC weaknesses during 2009 and 2010 | |||||||
Year | (1) Number of firms with IC weakness | (2) (1) As a percentage of total number of firms | (3) Firms with IC weakness and self-assessment disclosure, but no auditor’s attestation | (4) (3) As a percent of total number of firms that disclose both self-assessment and auditor’s attestation | (5) Number of firms with IC weakness, but that disclose both self-assessment and auditor’s attestation | (6) (5) As a percent of total number of firms that disclose both self- assessment and auditor’s attestation | |
2009 | 53 | 6.72 | 7 | 4.12 | 7 | 3.93 | |
2010 | 100 | 12.41 | 25 | 15.52 | 12 | 6.06 | |
total | 153 | 0.57 | 32 | 9.82 | 19 | 5.00 | |
Panel C: Decomposition of new disclosers into SOEs and Non-SOEs | |||||||
Total | New Discloser (both SA and SA + AA) | Percentage of average total | Cumulative percentage of average total | New Discloser with attestation (SA + AA) | Percentage of average total | Cumulative percentage of average total | |
2006 | 795 | 47 | 5.88% | 5.88% | 37 | 4.63% | 4.63% |
SOE | 527 | 33 | 6.19% | 6.19% | 24 | 4.50% | 4.50% |
Non-SOE | 268 | 14 | 5.26% | 5.26% | 13 | 4.89% | 4.89% |
2007 | 785 | 113 | 14.14% | 20.02% | 108 | 13.52% | 18.15% |
SOE | 514 | 87 | 16.32% | 22.51% | 84 | 15.76% | 20.26% |
Non-SOE | 271 | 26 | 9.77% | 15.03% | 24 | 9.02% | 13.91% |
2008 | 793 | 196 | 24.53% | 44.55% | 63 | 7.88% | 26.03% |
SOE | 531 | 141 | 26.45% | 48.96% | 50 | 9.38% | 29.64% |
Non-SOE | 262 | 55 | 20.68% | 35.71% | 13 | 4.89% | 18.80% |
2009 | 811 | 52 | 6.51% | 51.06% | 19 | 2.38% | 28.41% |
SOE | 542 | 31 | 5.82% | 54.78% | 11 | 2.06% | 31.71% |
Non-SOE | 269 | 21 | 7.89% | 43.61% | 8 | 3.01% | 21.81% |
2010 | 810 | 31 | 3.88% | 54.94% | 16 | 2.00% | 30.41% |
SOE | 552 | 22 | 4.13% | 58.91% | 11 | 2.06% | 33.77% |
Non-SOE | 258 | 9 | 3.38% | 46.99% | 5 | 1.88% | 23.69% |
Average | 799 | 392 | 49.06% | – | 206 | 25.78% | – |
SOE | 533 | – | – | – | – | – | – |
Non-SOE | 266 | – | – | – | – | – | – |