Dr Robert Czernkowski

Bond, D.K., Czernkowski, R.M. & Wells, P.A. 2012, 'A team-teaching based approach to engage students', Accounting Research Journal, vol. 25, no. 2, pp. 87-99.
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Purpose + The purpose of this paper is to describe the process of renewal undertaken in a large undergraduate financial reporting subject. Design/methodology/approach + The approach taken in the subject is one in which student engagement is critical. Selected quantitative and qualitative data from university course and student feedback surveys were used to assess the effectiveness of the renewal process. Findings + The renewal process led to increased student engagement, and influenced student learning by demonstrating the relevance of financial reporting regulation. Feedback was also positive in relation to the level of resources, especially technological, provided in the subject. Originality/value + Engaging with students is a critical task in any subject, but especially in a technical accounting subject, as students may not necessarily see the value in the content. This article reveals possibilities for academics to engage with their students and for their students to engage with the subject material.

Bond, D.K., Bugeja, M. & Czernkowski, R.M. 2012, 'Did Australian firms choose to switch to reporting operating cash flows using the indirect method?', Australian Accounting Review, vol. 22, no. 1, pp. 18-24.
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In 2007 Australian accounting standards were amended to allow a choice of presenting operating cash flows using either the direct or indirect method. This study investigates the number of ASX-listed entities that switched to the indirect format. Our results indicate that between 2007 and 2009 nine companies changed their reporting format. The firms adopting the indirect method have similar leverage, liquidity and performance to industry and size-matched controls. Given that previous research indicates that the direct method provides superior information for predicting cash flows and performance, our results will be welcomed by financial statement users and the Australian Accounting Standards Board.

Lu, F., Balatbat, M. & Czernkowski, R.M. 2012, 'Does consideration matter to China's split share structure reform?', Accounting & Finance, vol. 52, no. 2, pp. 439-466.
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We investigate the share market response to Chinas split share structure reform and find average negative daily return around the government announcement on 29 April 2005. However, there is a turnaround at individual companies decision to implement the reform where we find positive and significant average daily return, contingent on the type of consideration. We attribute this change in market sentiment to the companys announcement that the reform will involve the payment of consideration to holders of tradable A-shares. Our results also show that holders of tradable A-shares earn significant abnormal daily returns when companies propose to pay in cash or warrants or combine any of these payment methods with bonus shares.

Arthur, N., Cheng, M. & Czernkowski, R.M. 2010, 'Cash flow disaggregation and the prediction of future earnings', Accounting & Finance, vol. 50, no. 1, pp. 1-30.
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We examine the incremental information content of the components of cash flows from operations (CFO). Specifically the research question examined in this paper is whether models incorporating components of CFO to predict future earnings provide lower prediction errors than models incorporating simply net CFO. We use Australian data in this setting as all companies were required to provide information using the direct method during the sample period. We find that the cash flow components model is superior to an aggregate cash flow model in terms of explanatory power and predictive ability for future earnings; and that disclosure of non-core (core) cash flows components is (not) useful in both respects. Our results are of relevance to investors and analysts in estimating earnings forecasts, managers of firms in regulators+ domains where choice is provided with respect to the disclosure of CFO and also to regulators+ deliberations on disclosure requirements and recommendations.

Czernkowski, R.M., Green, W. & Wang, Y. 2010, 'The value of audit qualifications in China', Managerial Auditing Journal, vol. 25, no. 5, pp. 404-426.
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Purpose + The purpose of this paper is to determine whether audit opinions matter in China after the introduction of several key regulatory changes, specifically aimed at strengthening the confidence of investors in the audit function. Design/methodology/approach + The question is addressed by examining the market response to modified audit opinions of companies listed on the Shanghai Stock Exchange. Findings + In contrast to earlier research, this paper does not find evidence that modified audit opinions have significant information value to Chinese investors, despite the regulatory changes. However, when partitioning the sample by year, there is weak evidence of a stock price response to modified audit opinions in 2003. Examination of the impact of different types of audit opinions shows no consistent results.

Green, W., Czernkowski, R.M. & Wang, Y. 2009, 'Special treatment regulation in China: Potential unintended consequences', Asian Review of Accounting, vol. 17, no. 3, pp. 198-211.
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Purpose + The purpose of this paper is to trace the behaviour of Chinese companies receiving a special treatment (ST) designation in order to determine the extent to which the application of this regulation may have led companies to engage in activities conducive to the removal of the ST designation. In particular, the paper examines evidence of opinion shopping or earnings manipulation by these companies. Design/methodology/approach + Empirical analysis of annual report databases for Chinese-listed companies, including statistical significance testing relating to ST companies. Findings + Most ST companies have removed the ST status by the third year after the initial ST designation. Compared to non-ST companies, ST companies losing the ST status are more likely to engage in practices indicating earnings manipulation. Also, compared to non-ST companies, ST companies are more likely to change auditors after an initial or second year of ST designation. However, while this behaviour suggests opinion shopping, auditor switching for the ST companies is not associated with losses becoming profits nor with improved audit opinions.

Arthur, N., Czernkowski, R.M. & Huynh, T. 2009, 'The impact of cash flows and accruals on belief asymmetry', Accounting and Finance Association of Australia and New Zealand Conference, Adelaide, Australia, July 2009 in 2009 AFAANZ Conference, ed Faff, R, AFAANZ, Australia, pp. 1-38.
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We examine the market-relevance of disaggregating earnings into cash flow and accrual components. Unlike the majority of capital markets accounting research to-date, which has restricted analysis to price effects (returns), we focus on belief asymmetry as our measure of market-relevance. Specifically we examine the effect, which the earnings component disclosure has on the level of belief asymmetry in the market. Our measure of belief asymmetry is based on the model developed by Kim and Verrecchia (1991). Cross-sectional ordinary least square regression models are used to analyse the market response to measures of cash flow and accrual surprise.