Date of Award

3-28-2016

Document Type

Honors Thesis

Department

School of Business

First Advisor

Carmelita Troy

Abstract

William Black’s (2005) control fraud theory suggests accounting fraud initiated by CEOs is more damaging than accounting fraud that is not. However, this theory has only been applied anecdotally to financial institutions. I test Black’s theory using a sample of manufacturing, merchandising, and service firms that engaged in accounting fraud from 2007-2014. I hypothesize that firms which commit CEO-led fraud will exhibit greater growth, leverage, and have higher CEO compensation. My findings do not show that there is any evidence that control frauds are more damaging than other accounting frauds that do not involve the CEO.

Creative Commons License

Creative Commons Attribution-No Derivative Works 4.0 International License
This work is licensed under a Creative Commons Attribution-No Derivative Works 4.0 International License.

DOI

https://dx.doi.org/10.32597/honors/143/

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