The SCU Accountant Fall 2013

The

Accountant Leavey School of Business Department of Accounting

S A N TA C L A R A U N I V E R S I T Y In This Issue Chair’s Message

1

Alumnus of the Year

2

The James F. Sepe Endowed Accounting Scholarship

3

SCU Accounting Association News

4

SCU Accounting Association Officers

5

Outstanding Graduates in Accounting and A&IS

6

Advisory Board News

7

Faculty Research Snapshots

8

Scholarship Recipients

10

Accounting Class of 2013 11 Accounting Department News

12

CPA Licensure Update

12

Accounting Research Workshops

13

Student Seminar Series

14

CAAP Program News

15

CAAP Class of 2013

16

Donors

17

Make a Difference

18

November 13

From the Chair - Professor Michael Eames For a great accounting program, you need top notch students, committed world-class faculty, diehard supporters, outstanding staff, and then it helps to be located in Silicon Valley where our students interact with and are welcomed into a vibrant professional community.

We are exceedingly proud of our students and especially pleased to see them grow into leadership positions in the Valley.

A true pillar of our program is the support of those alumni and professionals who serve on our Advisory Board, mentor our students, graciously provide student seminars, serve on discussion panels, step in to teach a class, provide critical financial

www.scu.edu/business/accounting

Accounting Faculty [left to right]: Neal Ushman, Susan Parker, Chris Paisley, Bill O'Brien, Michael (Lucky) Eames, Jim Sepe, Suzanne Luttman, Haidan Li, Jane Ou, Yongtae Kim, Siqi Li, Wendy Donohoe, Michael Calegari.

support, and serve as the go-to people when we see a need.

This has been another year of strong demand for our graduates. We graduated 95 Accounting and 12 Accounting and Information Systems majors. Our Certificate of Advanced Accounting Proficiency Program, under the direction of Professor Michael Calegari, continues to grow, and this year 133 students earned certificates in the program.

It is my pleasure to share with you this year’s issue of our newsletter. We hope the articles keep you connected and current with our activities and opportunities.

Issue 25 / November 2013

Leavey School of Business Department of Accounting

alumnus of the year At the Department’s Awards Banquet in May 2013, Professor William (Bill) O’Brien was honored with the Alumnus of the Year Award.

The award is given annually to an alumnus who has worked to advance the quality of accounting education at Santa Clara University. The recipient is chosen by a committee of the department’s Advisory Board who have received the award in the past.

Bill is a 1970 graduate of SCU who majored in Economics.

However, he must have realized that his passion would be in accounting because he took all of the available accounting classes and founded an Accounting Club on campus. He was also the valedictorian for the Class of 1970, responsible for summing up the experiences of four years of college for his classmates during a time of significant social upheaval.

Bill joined Price Waterhouse in 1970, after interning in the summer of ‘69, and eventually pursued a career in industry, but his natural inclination towards both teaching and supporting his alma mater brought him back to the Accounting Department in 1991. Bill has been a critical ‘utility player’ in the department, famous for being willing and able to teach anything the students needed - anything but tax, that is!

The best way to convey the contribution Bill has made to our students over the years is to quote a letter written to him

by Alan Nguyen (A&IS 2013): “Your courses have been insightful, practical, and entertaining. Your confidence and encouragement in the spirit of being a Santa Clara Bronco has been integral in forming my own code of ethics and has influenced my work with the Santa Clara University Honor Code. Having a former Bronco that still lives the mission of the University and preaches the values that Santa Clara stands for, especially in the accounting profession, both academically and personally, is invaluable in educating future SCU leaders and graduates.”

Students have not been the only recipients of Bill’s generosity of spirit. Professor Michael Calegari writes: “My first contact with Bill set the stage for our relationship. I had just been hired at SCU and I was scheduled to teach a class that I had never studied or taught before. Finally, I wrote to the guy who had been teaching the class at SCU,

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The Accountant

Left: Bill O’Brien circa 1969. Right: Bill O’Brien circa 2013.

somebody I had never met with the super-Catholic school name of William O’Brien. With some trepidation, I asked him if I could look at his syllabus and if he could show me how he taught the class. Expecting nothing, I was astonished to find that he sent me loads of class material, including notes, tests, and projects, and also asked if I would like to meet with him to talk about the class…here was this guy I never met, volunteering to send me all his material and to help me organize the class. Just think, he did all this work and now he was going to help me for free!”

Bill and his wife Renee also led a student group on an immersion trip to El Salvador that was profiled in a prior edition of our newsletter.

In his acceptance speech at the Awards Banquet, Bill advised SCU grads to: “Live always in the Ignatian spirit of 'Magis'—giving more to whatever you are doing. My grandfather summarized this in our family motto: 'Do what you can with all your might, for things done by halves are never done right!'"

Sadly for us, Bill retired from teaching at Santa Clara University in June, 2013. For Bill, his teaching career has been about giving more than required for the students and for the entire SCU community. We will miss him immensely in the classroom, but plan to keep in touch and continue to benefit from his knowledge and Bronco spirit!

The Accountant is published annually by the Leavey School of Business Department of Accounting at Santa Clara University.

408.554.4578 or accountingdept@scu.edu. We invite your questions and comments.

the james f. sepe endowed accounting scholarship This past winter, the Lewis Chew Family endowed a scholarship for accounting majors at SCU.

By Lewis’ request, the scholarship was named “The James F. Sepe Endowed Accounting Scholarship” in honor of the SCU professor who had such an impact on his life. Lewis and his wife are both graduates of the Class of 1984, and their son Ryan is SCU Class of 2015. The following is a description from both Jim and Lewis of the background events leading up to the creation of the scholarship.

Lewis Chew

Jim Sepe

Shortly after joining the Santa Clara accounting faculty, I was fortunate to work with a group of very talented and hard-working students. Graduates of the accounting class of ’84 produced CPA firm partners, important company CEO’s and CFO’s, attorneys, and key players in venture capital and not-for-profit entities.

I kept in close contact with one member of that class, Lewis Chew. He has become a good friend and I have taken great satisfaction tracking his career.

Lew began his career with KPMG where he became a partner. He moved to industry as the controller and then CFO of National Semiconductor. During his time with National, he was acknowledged numerous times as one of the best technology company CFOs. He has recently taken on the CFO job at Dolby Labs.

Lew has maintained close ties with SCU. In 2004 he received the Accounting Department’s Alumnus of the Year Award in recognition of a career of contributions to his organizations, profession, community, and Santa Clara University. In addition to his time and expertise, he has also contributed financially to our program. This past year, Lew and his family added to that support in a very big way by fully endowing an annual accounting scholarship.

Much to my surprise, the scholarship was named in my honor. For someone whose career has involved educating accounting students, to know that long after I am gone, students will be helped by funds from a scholarship with my name on it is remarkable.

Thank you, Chew family, for your most generous gift to the University and the Accounting Department scholarship funds. Lew, I am very proud of what you have accomplished in your career professionally and with all you have done for the community, and I am incredibly honored by your family’s designation of the scholarship in my name.

In the fall of 1981, I had no clue what I wanted to do after college. It was the beginning of my sophomore year at SCU and I was probably more focused on how to get a new tape deck and bigger speakers for my car and still afford my tuition payment. Accounting was just another class to take. That is, until I took Intermediate Accounting taught by Dr. Jim Sepe. Accountants can be pretty dry and boring – but not Dr. Sepe. His class was interesting and engaging.

He cracked jokes in class. His lectures were fun. But the class wasn’t easy. He pushed us hard to learn some very challenging material. To top it off, he held a lunch for all his accounting students at the end of the year. That was an exclamation point on an already awesome class experience.

It exemplified the care and interest he had in his students.

For me, it was the beginning of a lifetime of education and advice and friendship that I would receive from Dr. Jim Sepe.

Many years have now gone by. Countless students like me have benefitted from the Accounting program at SCU that Dr. Sepe has shaped and molded along with several other outstanding professors. I know that Dr. Sepe will eventually step down from his teaching role. It’s hard to imagine the department without him. With that in mind, my wife Dianna and I decided to establish an endowed scholarship in Dr. Sepe’s name, with grants starting in May 2013. Each year at the Accounting Awards Banquet, he will know that his legacy is being recognized through his named scholarship.

The impact that Dr. Jim Sepe has had on me and my family is immeasurable. Thank you, Jim, for being the best teacher and mentor anyone could ever hope for.

[L to R] Jim Sepe, first recipient of The Sepe Scholarship Sarah McClammy, & Lewis Chew.

accountingdept@scu.edu

Issue 25 / November 13

Santa Clara University

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Leavey School of Business Department of Accounting

scu accounting association Ne w s The Santa Clara University Accounting Association (SCUAA) is a student group led by four officers from the senior class and four officers from the junior class. The officers are responsible for organizing events that help prepare SCU students for accounting careers by exposing them to the accounting profession and by promoting interactions with accounting professionals.

The senior officers began planning events for the Fall 2013 recruiting season in April 2013. After selecting Eric Angle, Lydia Ku, Ryan Chew and Kevin Krautscheid as the 2013/2014 junior class officers, they assessed the needs of Santa Clara students and coordinated with CPA firms to put on events for the fall quarter. Events that have taken place during Fall 2013 include: • Do’s and Don’ts of Meet the Firms, hosted by Burr Pilger

Mayer • Resume Critiques, hosted by KPMG and Deloitte • Mock Interviews, hosted by PricewaterhouseCoopers and

Ernst & Young The Fall events were designed to help students prepare for on-campus interviews (which took place October 16 through 25) and for the annual accounting career fair, traditionally called Meet the Firms (MTF) Night.

The 32nd annual MTF night took place on October 1st at Villa Ragusa in Campbell. Over 160 representatives from 35 firms attended the event. These representatives networked with over 200 freshman, sophomore, junior, senior, and CAAP (Certificate of Advanced Accounting Proficiency) students.

The students all agreed that the night was a great opportunity to network with the firm representatives.

The first month of the upcoming winter quarter will provide a brief respite from events. Beginning in February 2014, however, the officers will begin organizing events to prepare sophomores for Summer 2014 externship interviews and Fall 2014 recruiting events. These events include resume critiques, mock interviews, and workshops on interviewing techniques.

Toward the end of the winter quarter, junior officers will begin accepting applications from sophomores to become junior officers for the 2014/2015 school year. Soon after, they will begin planning events for the spring quarter. Spring events typically include a Spring Social Trivia Night, a panel discussion on service lines within CPA firms, and a Study Abroad panel.

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The Accountant

Firms in attendance at the 2013 Meet the Firms Night Abbott, Stringham and Lynch Apercen Partners Armanino McKenna BDO Burr, Pilger, & Mayer Brown Adams De Computis Deloitte & Touche Ernst & Young Frank Rimerman + Co. Gallina Genentech Grant Thornton Hayashi & Wayland Hood & Strong Johanson & Yau KPMG Lautze&Lautze LMGW Loomis and Co. McGladrey

Macias Gini & O’Connell Moss Adams Novogradac & Company Pricewaterhouse Coopers RINA Accountancy Robert R. Redwitz & Co. Seiler Sensiba San Filippo Shea Labagh Dobberstein State Board of Equalization StoneTurn Group TM Financial Forensics True Partners Consulting Xilinix Corporation

The Accountant is published annually by the Leavey School of Business Department of Accounting at Santa Clara University.

408.554.4578 or accountingdept@scu.edu. We invite your questions and comments.

scu accounting association O ff icers Stephanie DaRosa

I was born here in the Bay Area and moved to San Luis Obispo, California at the age of nine.

After attending Mission College Preparatory High School, I found myself back in the Silicon Valley.

I chose Santa Clara University not only for the many opportunities the school offers, but for its Jesuit value of educating and developing its students as a whole. Along with the Accounting Association, I enjoy volunteering, fitness, and learning how to play golf. This past summer I interned with KPMG in the Silicon Valley office. In addition, I was very fortunate to extend my internship abroad for four weeks in their Christchurch, New Zealand office. After graduation, I will begin as a full-time associate with KPMG.

Cory Hiromoto

I was born and raised in Honolulu, Hawaii where I attended Punahou School. I chose Santa Clara University because of its strong presence in the Silicon Valley and beautiful weather. My interests include weight training, soccer, and snowboarding. During my last year of college I hope to travel the country and broaden my horizons. This past summer, I interned at PricewaterhouseCoopers in their Advisory practice and will begin as a full-time associate in August 2014.

Ariana Kempis

I was born and raised in San Jose, CA and attended Saint Francis High School in Mountain View.

Through my older sister, I witnessed firsthand the benefits of Santa Clara’s prestigious accounting program, and I knew that such a strong education with a Jesuit emphasis would be the perfect fit for me. In addition to the Accounting Association, I am a Student Assistant at the Career Center and am involved in the Leavey Scholars and ACE Programs. I enjoy traveling, reading, singing, eating, and Cross Fitting. This past summer I interned with PricewaterhouseCoopers in their Assurance practice, and upon graduation, I will begin with PwC as a full-time associate.

Derek Nishikawa

I was born and raised in Pearl City, Hawaii where I attended Punahou School. Santa Clara University was my top choice because of the beautiful campus, the great weather and the excellent educational opportunities. In my spare time I enjoy working out, playing soccer and basketball, and hanging out with friends. I am an active member of the Professional Business Fraternity, Delta Sigma Pi and SCU’s Hawai’i Club. This past summer I worked for PwC San Jose as an assurance intern and I will begin as a full-time associate in September 2014.

accountingdept@scu.edu

Issue 25 / November 13

Santa Clara University

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Leavey School of Business Department of Accounting

OUTSTANDING GRADUATES IN ACCOUNTING AND A&IS The Professor O. Robert Anderson Outstanding Student in Accounting Award was established in 1973 in memory of Professor O.

Robert Anderson, who taught Accounting at the University. This annual award goes to the graduating Accounting major judged outstanding in scholarship, leadership, and service by the faculty of the department.

This year, the award was presented to Zachary Morris. Originally from Dallas, Texas, Zach came to Santa Clara for both the career and educational opportunities. While at Santa Clara, he served as an officer in the Accounting Association, a community facilitator in San Filippo, and a volunteer at the Julian Street Inn while earning a 3.898 overall GPA. In addition, Zach worked abroad in Sao Paulo, Brazil.

Outside of class, Zach co-founded the Book Flip (offering Santa Clara students access to texts at discount prices), and unwinds by running (specifically in races such as Tough Mudder and Urbanathalon) and playing the ukulele.

In the fall, Zach began working at Deloitte in the San Jose office.

The Outstanding Student in Accounting and Information Systems Award is granted to the

graduating Accounting and Information Systems major recognized by the faculty of the department as having achieved high academic performance, possessing strong leadership skills, exhibiting a commitment to service, and demonstrating career potential for professional success in Accounting and Information Systems.

This year, Kevin Franklin received this award. Kevin came to Santa Clara from Bellevue, Washington, and graduated with a Mathematics minor in addition to his A&IS major (with a 3.794 overall GPA).

While at Santa Clara Kevin has served as an OMIS tutor and TA, and has been a member of the University Honors Program, the ACE/Dean’s Leadership Program, and the Beta Gamma Sigma Business Honors Society. In addition, Kevin has worked for Pirq (a tech start-up company), and has been on the boxing team for four years (captain for three of the four years).

After a summer spent traveling in Europe, Kevin started at Accenture as a Systems Integration Analyst.

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The Accountant

The Accountant is published annually by the Leavey School of Business Department of Accounting at Santa Clara University.

408.554.4578 or accountingdept@scu.edu. We invite your questions and comments.

advisory board news New Advisory Board Member Chantal Adam joins our Advisory Board this year. Chantal graduated from the

University of Montreal with both a bachelor’s degree in business administration and a master’s degree in public accounting. She holds a CPA license in California, is a Canadian Chartered Accountant, and is fluent in English and French. Before joining KPMG’s Silicon Valley office, Chantal worked for Arthur Andersen in its Montreal office.

Tapping her international experience, Chantal has assisted her clients with SEC filings, business combinations, debt issuance, and initial public offerings. Providing valuable guidance in the structuring of complex revenue transactions, she also helps software companies in their transition to the market demands of software-as-a-service and cloud computing.

Chantal is a frequent speaker at executive-focused events, including Always On technology conferences and KPMG’s Audit Committee Roundtables, where she brings a wealth of experience to guide executives facing today’s market challenges. She is also KPMG’s representative for the Financial Executives International (FEI) Silicon Valley chapter, which includes 500+ controllers and CFO members.

2013-2014 Advisory Board Members Chantal Adam

Kristine Caratan (‘74)

Bertha Minnihan

Stephanie Tsiagkas (‘96)

Partner KPMG

Emerita Member

Partner Moss Adams

Partner Sensiba San Filippo

Dave Anderson

Lewis Chew (‘84)

J. Martin O’Malley

Joshua Paul

Partner Mohler, Nixon & Williams

Vice President & CFO Dolby Laboratories, Inc.

Office Managing Director WTAS

Partner PricewaterhouseCoopers

Stephen Baroni (‘89)

Michael Eames, Ph.D.

Jeff Osorio (‘78, MBA’84)

Katy Yeager (‘89)

Partner Frank, Rimerman & Co.

Chair & Associate Professor Santa Clara University

Vice President & CFO Skyline Solar

Senior Vice President, Market Leader Accretive Solutions

Richard Bellucci

Cal Hoagland

David J. Price

Dennis Young

Partner Burr Pilger Mayer

Partner FLG Partners

Partner Ernst & Young

Partner Young, Craig + Co.

Daniel Bowen (‘88)

Aftab Jamil

Kevin Reagan (‘83)

Partner Armanino

Partner BDO

Partner Grant Thornton

Michael Calegari

Renée Hazel

Associate Professor Santa Clara University

Partner Loomis & Co.

Jim Callas (‘81)

Joseph Maglione (‘77)

Interim CFO Invensense

Partner Deloitte

accountingdept@scu.edu

Issue 25 / November 13

Santa Clara University

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Leavey School of Business Department of Accounting

faculty research snapshots Michael Calegari

“The Effect of the Great Recession on Deferred Tax Positions.� Tax Notes 138(6) (February 2013): 723-739.

This study analyzes changes in the deferred tax assets (DTAs) and deferred tax liabilities (DTLs) of S&P 500 companies across 21 industries between 2006 and 2010. Consistent with expectations, compensation-related DTAs and propertyrelated DTLs of nonfinancial firms, and tax carryforward-DTAs of financial firms, increased during these years. Between 2006 and 2010, the ratio of valuation allowances-to-deferred tax assets for financial firms increased by about 200 percent while those for nonfinancial firms increased by only 10 percent. Unlike previous studies which suggest that a super majority of companies have net deferred tax liabilities, the paper shows that about half of the companies in the S&P 500 sample had net deferred tax assets in 2006 (declining to 48% in 2010) and that only about one-third of nonfinancial companies with total assets in excess of $1 million report net deferred tax liabilities. The study also describes and examines the industries that are most and least affected by book-tax differences associated with tax carryforwards, compensation-related accruals, and depreciation during these years.

Haidan Li

I work on research related to financial accounting and corporate governance. In a recent paper, I show that auditors perceive CEO equity incentives to be associated with greater earnings manipulation risk and incorporate such risk in their pricing decisions. This paper is currently under review at Contemporary Accounting Research. Another paper on corporate social responsibility and stock price crash risk is under review at the Journal of Banking and Finance. I also developed new projects and one of them received the 2013 PricewaterhouseCoopers INQuires Research Grant. This project investigates the effect of common agents on earnings management around mergers and acquisitions. Several of my papers were presented at the 2013 Financial Management Association Annual Meeting and the 2013 European Finance Association Annual Meeting.

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The Accountant

The Accountant is published annually by the Leavey School of Business Department of Accounting at Santa Clara University.

408.554.4578 or accountingdept@scu.edu. We invite your questions and comments.

Faculty Research Snapshots Yongtae Kim

I have two papers accepted for publication at The Accounting Review (TAR).

In the first TAR paper, coauthored with Siqi Li of the accounting department and Carrie Pan of the finance department, we examine the role of accounting conservatism in the equity market. Using seasoned equity offerings (SEOs) from 1989 to 2008, we find that issuers with a greater degree of conservatism experience less negative market reactions to SEO announcements. Our findings are consistent with the argument that accounting conservatism reduces financing costs in SEOs. In the second TAR paper, we question whether earnings management through real activities affects auditors’ client retention decisions.

We find that clients’ opportunistic operating decisions are positively associated with the likelihood of auditor resignations. Our evidence suggests that to avoid excessive risk auditors shed clients who aggressively manage earnings through operating decisions. I also have a paper accepted at the 2013 Review of Accounting Studies Conference. We are revising this paper for the second round review. In addition, I have several papers under the second round reviews at the top-tier accounting and finance journals, including Journal of Accounting and Economics, Management Science, Review of Accounting Studies, and Contemporary Accounting Research. I’m also revising a paper for the second round review at the Journal of Banking and Finance and have three other papers under review at top-tier accounting journals.

Siqi Li

In the past year, my co-authored paper entitled “The Role of Accounting Conservatism in the Equity Market: Evidence from Seasoned Equity Offerings” was published in The Accounting Review. My research has been presented at the 2013 European Accounting Association Annual Congress and seminars at several universities. In addition, I worked on several research projects examining: (1) the impact of mandatory IFRS adoption on stock price crash risk (invited for revision and resubmission at The Accounting Review); (2) how executive compensation affects auditors’ pricing decisions (invited for revision and resubmission at Contemporary Accounting Research); and (3) whether socially responsible firms are less likely to experience stock price crashes (invited for revision and resubmission at Journal of Banking and Finance). I also developed several new research ideas including one on the effect of CEOs’ religious background on financial reporting quality.

accountingdept@scu.edu

Issue 25 / November 13

Santa Clara University

9

Leavey School of Business Department of Accounting

2012-2013 SCHOLARSHIP RECIPIENTS J am es F. S e p e En do wed A cco u n ti n g S c ho lars h ip

Professor O. Rob er t And er son Award

Outstand ing A&I S Gr a du a te Awa rd

Sarah McClammy

Zachary Morris

Kevin Franklin

T ho m a s M a i e r Memorial Aw ard f o r O u tst an din g Achievement

Pau l L. Locatelli Scholar ship

C alC PA Awa rd

Jennifer Krapf

Tiffany Leung Ariana Kempis

Sarah McClammy Acco u n ti n g D e part men t * Sen i o r S c h o l ars h ips

Accounting Dep ar tm ent* Junior Scholar ship s

Trevor Belanger

Jessica Huang

Joshua Kagami

Kevin Krautscheid

Sean Watanabe

Ralph Ong

BDO Schola r sh ip

Chung Yin Wong

Manisha Sahai

Monica Pires

Ar m anino Sc h ola r sh ip Natalie Ceciliani

Bur r P i l g e r & Mayer S c h o l a r sh ip

Ch arles F. Louie Scholar ship s

D eloitte Outstan din g L e a de r

Geoffrey Chan

Jiying Fan

Nicole Orban

Ivan Krayniy

E Y A & I S S c h o lars h ip

E Y Diver sity Scholar ship

Fr ank Rim er m an S c h ola r sh ip

Raymond Cheng

Jessica Farran

Ryan Van Dias

KPM G C om m unity Ser v ice Scholar ship

Lautz e & Lautze S c h ola r sh ips

Robyn Torkelson

Lara Ichikawa

Brian Flanagan

Pricewater houseC oop er s L ead er ship Scholar ship

Sensib a Sa n F ilippo Scholarsh ip

Zachary Tahar

Claudia Garcia

Sylvia Yu

Gr ant T h o r n to n Sch o lars h ip Kiana McCormick

M o s s A da m s S c h olars h ips

Kendall Crist

Clarissa Yaw *Our Junior and Senior Accounting Department Scholarships are made possible by the generosity of Deloitte, EY, KPMG, and PricewaterhouseCoopers.

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The Accountant

The Accountant is published annually by the Leavey School of Business Department of Accounting at Santa Clara University.

408.554.4578 or accountingdept@scu.edu. We invite your questions and comments.

ACCOUNTING CLASS OF 2013 The Accounting Class of 2013 includes students who graduated in Fall 2012, Winter 2013, Spring 2013 or Summer 2013 with a major in Accounting or Accounting and Information Systems.

Abdi, Harun Mohamed Aliwarga, Randy Sumanto Alvarado, Elizabeth Maria Lopez Antonelli, Laura Elizabeth * Aziz, Bismah N. Bakey, Chad Michael Bakey, Erik Christopher Bhagat, Arlene R. Boehrer, Austin Bradley, Jared James * Browne, Sarah Brumblay, Shayla Buckley, Nicholas Robert Burke, Margaret Ann * Byington, Sean Carter, Cameron Cassara, Brianna ** Chang, JingJing * Chatterjee, Mika Chen, Patrick Chen, Sarana Choi, Steven Sung Darling, Charles Graeme Darwin, Vania Davey, Brett Thomas Dayan, Daniel Anthony (LS) ** Del Rosario, Kenriette Carreon * Devereaux, Spencer Adam ** Dickison, Joseph Escobar, Matthew Manaka Franklin, Kevin ** Gao, Ruiping Gavin, Connor ** Graves, Alexander Lawrence Guzman, Nicole Harney, Michael * He, George *Cum Laude

Helgeson, Christpher Alan * Hovey, Aleksandra *** Isaki, Lauren Kiyomi * Jakhu, Meenu Hans Joshi, Pranali Kaschmitter, Alexander Leon Louie Kennedy II, Richard (LS) * Khan, Nazish ** Kieu, Linda * Kim, Sohyun Kuang, Liying Vicky * Larsen, Jacob D. Le, Tran Nguyen Huyen * Leung, Tiffany ** Leupp, Robert Alan Le Baron * Liu, Xuan Lum, Kevin Ming Wei ** Ma, Yun Tao Machuca, Veronica Maglione Jr., Joseph John * Martinez, Anthony David McCallaCreary, Karlene Elizabeth (LS) * McGann, Andrea Christine ** Mijangos, Xochitl V. Minafo, Anthony Michael Molina-Pastorius, Kayleigh Moncrieffe, Marisa Biana Morris, Zachary Thomas ** Munekiyo, Erin Fumiko ** Nguyen, Alan Bao Nguyen, Ally PhuongThao ** Nguyen, Hoa T. * Nguyen, Thao Thi Phuong Nguyen, Trang Hoang Nguyen, Uyen * Ouimet, John Murray *

**Magna Cum Laude

***Summa Cum Laude

accountingdept@scu.edu

Phan, Peter ** Pineda, Derek Joel * Preciado, Alejandra Racho, Kristel Anne Reid, Lauren Ann * Ricketts, Sean Roa, Luis Andres Ruiz, Claudia Ruby Samuels, Erik Benjamin Sandoval, Jacob * Shellworth, Robert Berry Shia, Veronica Carolyn * Sidhu, Hardeep Kaur * Singh, Atinderpal Song, Mengci Sunarso, Nydia Angelina Sutanto, Melissa Jodi Sutorius, Patrick B. Suyehira, Nicole Michelle Tatum, Thomas Lewis Thiell, Faith ** Tran, Paulina Valentine, Alexa Rae (LS) ** Van, Jessica K. Vera, Jorge Alexander Villacorte, Jered Andrew Voreyer, Ryan (LS) ** Vu, Kevin Michael Vuong, Jenny Michelle (LS) * Wagoner, Zachary Michael Wijaya, Mervin Herman Wright, Trevor Michael Yang, Mary Ann Yen, Timothy

(LS) Leavey Scholar

Issue 25 / November 13

(in red) A&IS Major Santa Clara University

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Leavey School of Business Department of Accounting

accounting department news The Department’s newest faculty member, Siqi Li, gave birth to a 6-pound baby boy in April 2013. The name of the baby, Yeeyao, comes from an ancient Chinese poem and it means that one flies high into the sky, chasing his dreams with a free spirit. We are all excited to welcome Yeeyao to this department, and hope Siqi and her husband Peng Wang’s new role as parents will be filled with much joy and happiness!

In Spring 2013, Dr. Yongtae Kim was promoted from Associate Professor to the rank of Professor of Accounting. Dr. Kim joined the faculty in 2001 after receiving his doctorate from the State University of New York at Buffalo. Born in Korea, Dr. Kim received his B.A. in Business and M.A. in Business, both from Sogang University in Korea. He obtained his C.P.A. in Korea and worked for KPMG Korea for two and a half years.

Dr. Kim’s research interests are mainly in the areas of managerial opportunism, voluntary disclosure, and capital markets. His research has been published in several leading accounting and finance journals including The Accounting Review, Journal of Accounting and Economics, Journal of Accounting Research, Review of Accounting Studies, Journal of Financial Economics, and Journal of Financial and Quantitative Analysis. He teaches courses in both financial and managerial accounting.

Family opportunities necessitated a move back to Texas for one of our long-time professors, Donna Johnston-Blair. She has been teaching a multitude of classes for us since 2002. In addition, she's provided invaluable service as a faculty advisor for accounting student competitions and the Accounting Association. She has joined the faculty at the University of Texas - Austin. Fortunately for us, though, Donna comes back to the area to share time with her daughter during the summer, and teaches for us while she's here!

In June 2013, Professor Bill O’Brien retired from teaching at Santa Clara University. Bill, SCU Class of 1970, joined the Accounting Department faculty in 1991. Over the past twentytwo years, he taught a great variety of accounting courses and touched the lives of many accounting majors. He will be missed by all of us.

cpa licensure update New CPA Licensure grace period: Gov. Brown recently signed SB 823, which allows those passing all parts of the Uniform CPA Exam by the end of this calendar year (2013) a two-year grace period to complete the current requirements for the license. Prior to this new law, candidates needed to complete all of the current requirements for the license by the end of 2013. Those who pass the Uniform CPA Exam by the end of this year, but do not complete all the current licensing requirements within this two-year grace period, must satisfy the new licensing requirements that become effective January 1, 2014.

12

The Accountant

The Accountant is published annually by the Leavey School of Business Department of Accounting at Santa Clara University.

408.554.4578 or accountingdept@scu.edu. We invite your questions and comments.

a cco un t i ng re se arch work shop s The Accounting Department continues to host our Accounting Research Workshops as part of its commitment to support faculty research.

We invite nationally and internationally recognized scholars to present their work at Santa Clara University. These workshops provide opportunities for SCU faculty to interact with leading-edge thinkers in the field and to present their own early-stage research to solicit constructive feedback.

Below is the list of the accounting workshops.

Academic Year 2012-2013 Name

University

Research Topic

Michael Shih

National University of Singapore

Measuring Discretionary Accruals: Are ROA-Matched Models Better Than the Original Jones Type Models?

Beth Blankespoor

Stanford University

Initial Evidence on the Market Impact of the XBRL Mandate

Dan Dhaliwal

University of Arizona

Taxable Income Properties, Predictability of Book Income, and Firm Risk

Mike Calegari

Santa Clara University

The Role of Current Accruals in Predicting Future Tax Payments and Operating Cash Flow

Lillian Mills

The University of Texas at Military CEOs and Tax Avoidance Austin

Lawrence Abbott

University of WisconsinMilwaukee

Additional Evidence on the Association between Internal Audit Function Quality and Financial Reporting Quality.

Jere Francis

University of Missouri

City-Level Human Capital and Audit Markets

Xiao-Jun Zhang

University of California, Berkeley

Book Rate of Return, Risk and the Information Conveyed by Conservative Accounting.

You may visit http://www.scu.edu/business/accounting/research-workshop-series.cfm for information on past speakers and their presentations. The accounting department is looking forward to another successful year of hosting the research workshop series in 2013-2014.

accountingdept@scu.edu

Issue 25 / November 13

Santa Clara University

13

Leavey School of Business Department of Accounting

student seminar series Junior/Senior Contemporary Business Seminar 2012-2013 The Department offers seminar series in the Fall and Winter quarters for students who are interested in developing a broader understanding of accounting-related business issues. These seminars introduce students to current issues in accounting that may not be included in the regular curriculum. If you would like to suggest a topic or make a presentation, please contact Professor Yongtae Kim. Below is the list of speakers and their presentations during the past academic year.

Academic Year 2012-2013 Name

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Affiliation

Topic

Joe Maglione

Deloitte

Financial Oversight and the 2008 Crisis Understanding the instruments, institutions and regulations that created the perfect storm and continue to affect the US economy today

Sara Putnam Jason Ruggiero

PricewaterhouseCoopers

Fraud - Tracking Down Perpetrators

Matt Rampe Brian Zacharias

Frank, Rimerman + Co. Burr Pilger Mayer

Business Valuation - An Overview

Jim Gellas

Armanino McKenna

Crowd Funding: What Accounting Students Need to Know Today

Jeff Grabow

Ernst & Young

Venture Insights - Investment landscape and global pool of venture capital backed companies

Kristine Caratan Sarah Valencia

formerly at Moss Adams Silicon Valley Community Foundation

Not-for-Profit Accounting

Hector Santana

Public Company Accounting Oversight Board

Current PCAOB Developments

Wayne Hedden Jeremy Lardeau Ryan Mullen

PricewaterhouseCoopers

Corporate Sustainability Assurance

Diane Rubin

Novogradac & Company

Private Company Accounting Standards

Stephen Baroni

Frank, Rimerman + Co.

Key Accounting and Operating Metrics for Cloudbased Companies

The Accountant

The Accountant is published annually by the Leavey School of Business Department of Accounting at Santa Clara University.

408.554.4578 or accountingdept@scu.edu. We invite your questions and comments.

caap progra m news The Certificate of Advanced Accounting Proficiency (CAAP) Program is a series of eight accounting courses that provide the knowledge and understanding of the principles of accounting in either an accelerated 14-week summer sequence or a nine-month weekend sequence held during the academic year.

During the summer program, students enroll in either a morning or afternoon cohort. Academic year students attend classes either Saturdays or Sundays. By completing these courses, students meet the accounting unit requirement to become a CPA. In addition to their regular class meetings, this year’s CAAP students were able to participate in several events or workshops that took place either between the morning and evening sessions in the summer program or during the lunch break in the weekend program. This year’s events included the following: • The Recruiting Process and How to Make the Best of It, presented by Rich Bellucci, partner at BPM, and Jenny Cohrs, campus recruiter at BPM. • Career Considerations in Public Accounting, presented by Aftab Jamil, audit partner at BDO. • Planning for the Recruiting Process at CPA Firms, presented by Kevin Turco, campus recruiter at Armanino.

• Resume and Interview Preparation, presented by Angie Boelter, Assurance Partner at McGladrey.

• Employment Options at a CPA Firm, presented by Matt Luat, campus recruiter at Novogradac.

• Studying/Passing the CPA Exam, hosted by Becker CPA Review.

• Taking and passing the CPA Exam, hosted by Roger CPA Review.

• Resume Workshop, presented by Jon Sakurai-Horita.

• Resume Critiques, provided by Jon Sakurai-Horita.

• Networking and Career Fair Workshop, presented by Jon Sakurai-Horita.

• Interview Skills Workshop, presented by Jon Sakurai-Horita.

The main extracurricular event we organize for CAAP students is the annual CAAP Summer Career Fair. This year’s Summer Career Fair took place on August 14. Over 90 CAAP students met with representatives from 14 CPA firms and a state government agency. The firms that attended this event included the following: Armanino

Ernst & Young

McGladrey

BDO

Grant Thornton Moss Adams

Burr Pilger Mayer

Hood & Strong

Novogradac

Calif Franchise Tax Board

KPMG

Petrinovich, Pugh & Co

Deloitte

Loomis & Co

Pricewaterhouse Cooper

The event provided a great opportunity for students to learn about career opportunities at many different CPA firms and for firm representatives to meet our students. Some firms took advantage of this opportunity to recruit and hire our 2013 graduating CAAP students for entry level positions beginning in Fall 2013.

This year’s academic year weekend CAAP program began on Labor Day weekend with the largest incoming class in CAAP history. We are excited that the program continues to thrive and our alums continue to advance in their new positions.

accountingdept@scu.edu

Issue 25 / November 13

Santa Clara University

15

Leavey School of Business Department of Accounting

CAAP CLASS OF 2013 Abed, Hussein Anderson, Sutton Bantuas, Olyli Bates, Brian Buckley, Thomas Byrd, Laura Cafferkey, Megan Cande, Erica Chen, Anita Chesavage, Camille Cone, Daniel Dawson, Cabel Delucchi, Gianna Doan, Kha Drayson, Denise Farrell, Richard Freeberg, Anthony Fujikawa, Tina Gabor, Theresa Agrawal, Guarav Bhushan Alexander, Karin Andres, Maria Cristina Atencio, Jared Banks, John Capek Allison Casey, Julie Cerles Jr., Marty Chadhokar, Chitra Chan, Mei Choi, Sydney Chu, Ming Curry, Chelsea Dang, Nguyet (Nicole)

16

The Accountant

Summer

Glanville, Mark Gould, Marc Hasson, Barry Ho, Christopher Hundal, Sukhpaul Hutchins, Ryan Huynh, Jonathan Huynh, Tin Injugu, Vivian Kabbani, Dima Kim, Jane Koo, Andrew Lee, Lynsie Lee, Timothy Leung, Chun Tung Liao, Jennifer Ma, Jacqueline Ma, Kathleen Mackwani, Aamer

MacLeod, Adam Mendelsohn, Corey Mistry, Priya Mora, Jaclyn Mora, Robert Nguyen, Jonathan Okafor, Eugene Oliver, Jacob Parsons, Duncan Pence, Jackson Pizarro, Joshua Portzline, Roberta Powers, Destinee Ramachandran, Sivapriya Ridgway, Brian Roderick, Michael Rutsch, Jeffrey Shetty, Prithvi

Academic Year

DeBoard, Michael John Desai, Ronak Rohitkumar Ditmore, Elizabeth Duong, Duong N.B. Fletcher, Tracy Gelle, Jamal A. Guetschow, Jamie Hanabusa, Chris Hennessy, Christoper P. Hom, David Hom, Kathryn Ianni, Bradford Juntado, Annabelle M. Kaykha, Abdullah

Larson, Jillian Lorenzetti, Angelo Lovelien, Kelly Lutz, Ilana Mirto, Sarah Miyan, Aline Montiel, Erik Narantsetseg, Enkhchimeg Ong, Christina Michiye Patel, Mitesh Pham, Linh Pitt, Sarah Rook, Adam B. Saleh, Eman

Silvestri, Nicholas Siverly, Virginia Stiles, David Sun, Ping Tang, Jessie Titizer, Emre To, Nhut Tsai, Andrew Tseng, Charles Viegas, Christopher Villanueva, Leanne Wang, Kevin Weddick, Matthew Weisenfluh, Brooke Wong, Johnny Wright, Alexander Yamashita, Chad Yoshiyama, Elena Zhu, Li Sankaran, Annapoorani Sherpa, Camelotte A. P. Singer, Matthew (Matt) Stead, Jonathan Tawdekar, Jaswant Tran, Linh (Natalie) Tsai, Ryan Tseng, Jason Ulrichs, Elizabeth (Liz) Wu, Steven Yi, Ji-Yon Zhang, Weiwei

The Accountant is published annually by the Leavey School of Business Department of Accounting at Santa Clara University.

408.554.4578 or accountingdept@scu.edu. We invite your questions and comments.

donors

to the Accounting Department

$100,000 and Over Lewis and Dianna Chew $20,000 - 999,000 Ernst & Young KPMG PricewaterhouseCoopers Deloitte $5,000 - $19,999 Chevron Corporation Curtis M. Lamps David J. Price Kristine L. Caratan Moss Adams Foundation Stephen T. Maier Grant ThortonFoundation BDO Frank, Rimerman + Co. Sensiba San Filippo Daniel R. Pereira Guy A. Wanger $2,000 - $4,999 Accretive Solutions, Inc. Burr Pilger Mayer, Inc. Dolby Laboratories, Inc. John D. Ebner Loomis & Co. CPAs WTAS Young, Craig & Co. John R. Lazar Qualcomm, Inc. Armanino Edward G. Cannizzaro Mohler Nixon & Williams Pat Hyek Richard Hanley Lisa Munro Montvale Lynn M. DeVaughn Michael A. Jerome

$1,000 - $1,999 Tai Kimura Jonathan D. Ryan Anne-Marie Vitale Bradley D. O’Connor Brian G. Baer George M. Berrettoni Gregory N. Vlahos Jeffrey L. Lang John J. Cassidy John W. Kelm Kenneth P. Cherrstrom Kevin B. Reagan Mark S. Devereaux Michael F. Hope Michael S. McAndrews Nicholas W. Steiner Scott D. Almassy $500 - $999 Andrew K. Gersh Kristen M. Shepard Joseph A. Muscat Lincoln Clark Angela N. Persich Brett A. Johnson Brittney Dang Cathleen G. Hylton Cheryl L. Ramos John T. Arao Kelly A. Tidwell Kenton D. Chow Kevin M. Macfee Mark D. Schmitz Mark D. Secker Mary K. Case Peter C. Galligan Richard K. Imrisek Susie S. Cheng Timothy R. Huss William F. O’Brien

$100 - $499 Up to $99 Travis W. Merz Bridget F. Louie Thomas P. Rezzo David W. Boscacci Daniel C. Olson Andrew W. Kuntz Douglas J. Wheeler Alice W. Pilch Farhad S. Merchant Andrea Stetz Jana Barsten Arlene L. Fongson Jeffrey E. Calvello Ashley S. Barrett Jennifer A. De Winter Bradford E. Lees John C. Plecque Fuad G. Elfar Kelly W. Zane Grant T. Osborne Kevin F. Pezzaniti Joseph T. Bittner Lyn E. Huber Kelsey M. Fulton Susan S. McClammy Kortney L. Wynn Wesley S. Lord Lacy C. Bruce Willard R. Weatherly Megan L. McCoy Michael P. Brandstetter Niccolo D. Zuffanelli James A. Stark Vyvy R. Nguyen Kevin Y. Kwong Jhoanna G. Pugrad Scott P. Clark Allison J. Fargo Christine R. Gustafson Blake W. Feinstein David W. Bessette Catherine M. Brown David W. Frye Linh M. Hoang Francis M. Hope Thomas M. Beauchamp Gregory T. Taketa Julie H. Pham Holly Wong Agbayani Reid A. Furukawa Irine A. Tyutereva Robert E. Flowers James D. Webb Victoria A. Hack John F. Amato Brianna L. Cassara Katayoon Parineh Katelyn M. Daley Katharine J. Yeager Leigh R. Lytle Mark J. Austin McKesson Foundation Nancy Cook Robert E. Andreatta Spaur Financial Services Tina S. Yang Wellspring Group P.S., CPAS

We have made every effort to be as complete and accurate as possible. Please inform us at accountingdept@scu.edu if there are any inadvertent ommissions or errors.

accountingdept@scu.edu

Issue 25 / November 13

Santa Clara University

17

The Jesuit university in Silicon Valley

make a difference

Each year, accounting alums give back to the Accounting Program and Santa Clara University by donating monetary gifts tot he Accounting Development Fund. These contributions provide a variety of critical needs on campus including technology enhancements, faculty research and curriculum support, course development, aid to disadvantaged students, and academic and career programming upgrades.

Please consider donating to the Accounting Development Fund, as your generosity makes all the difference.

All gifts, regardless of size, are greatly appreciated. Please donate online or complete the form below and use the return address provided.

- OR Full Name: Class Year (if applicable): Company Affiliation: Email Address: Mailing Address: Gift Type: Dollar Value of Gift/Donation: Gift Designation: Donations to the Santa Clara University Accounting Program may be mailed to: Department of Accounting Leavey School of Business Santa Clara University 500 El Camino Real Santa Clara, CA 95053

18

The Accountant

accountingdept@scu.edu