-
作者：Dyreng, Scott D.; Gaertner, Fabio B.; Hoopes, Jeffrey L.; Vernon, Mary E.
作者单位：Duke University; University of Wisconsin System; University of Wisconsin Madison; University of North Carolina; University of North Carolina Chapel Hill; University of Illinois System; University of Illinois Chicago; University of Illinois Chicago Hospital; Duke University
摘要：We quantify the immediate net effect of the Tax Cuts and Jobs Act (TCJA) on the tax burden of corporate profits for public US corporations. We find similar reductions in effective tax rates for domestic and multinational firms, yet the entirety of multinational tax savings stemmed from tax savings on their domestic, not foreign, earnings. We find no significant change in the federal tax burden on foreign earnings neither on average norspecifically for firms most likely to be subject to new ant...
-
作者：Orthaus, Selina; Pelger, Christoph; Kuhner, Christoph
作者单位：University of Cologne; University of Passau; Norwegian School of Economics (NHH)
摘要：The recent revisions of conceptual frameworks (CFs) by the IASB and the FASB included changes to the status of prudence/conservatism, accompanied by a broader debate about the meaning and role of asymmetry in financial accounting theory (FinAT). This paper adopts a historical perspective to identify possible sources of the current controversies by examining how the discourse on asymmetry has developed over time. For this purpose, we trace the conceptualization of asymmetry in FinAT building fr...
-
作者：Brown, Stephen V.; Ma, Guang; Tucker, Jennifer Wu
作者单位：University of Connecticut; Rutgers University System; Rutgers University New Brunswick; State University System of Florida; University of Florida
摘要：We propose financial statement similarity as a measure of financial reporting comparability. The firm-pair version of our measure reflects the degree to which two firms report similar relations within their financial statement items; this version can help managers and market participants identify peer firms. The firm-year version of our measure reflects the degree to which a firm reports financial statement relations that are similar to other members of its industry; this version can help mark...
-
作者：Wiedman, Christine; Zhu, Chunmei
作者单位：University of Waterloo; Chinese University of Hong Kong
摘要：The stated goal of the SEC Whistleblower Program introduced as part of the Dodd-Frank Act was to deter securities violations and thereby to strengthen investor protection. We document significant reductions in the likelihood of financial reporting fraud by US firms following the introduction of this program. The reductions are robust to controlling for other regulatory changes in the Dodd-Frank Act and economic trends. Given that employees of firms with weaker internal compliance and reporting...
-
作者：Lee, Kenneth; Aleksanyan, Mark; Harris, Elaine; Manochin, Melina
作者单位：Loughborough University; University of Glasgow; Roehampton University; University of Birmingham; Loughborough University
摘要：Every analyst will experience stock recommendation failures during their career. Unlike many other professions, these pivotal moments occur in the full glare of clients, colleagues, equity-sales teams, and the media. This research explores the practices of analysts up to and beyond the point where, faced with a failing recommendation, they contemplate throwing in the towel on their recommendation. Based on empirical evidence gathered from interviews with sell-side analysts and their key interl...
-
作者：Jing, Jiao; Myers, Linda A.; Ng, Jeffrey; Su, Lixin (Nancy)
作者单位：University of Jinan; University of Tennessee System; University of Tennessee Knoxville; University of Hong Kong; Hong Kong Polytechnic University
摘要：Customer referencing is a strategy that firms can use to disclose their connections with reputable customers as a means of enhancing their own reputations. We study the capital market benefits of naming reputable nonmajor customers in firms' financial reports to provide empirical evidence on whether this form of customer referencing has important practical implications. We predict and find that firms enjoy a lower cost of equity when they engage in customer referencing in their financial repor...
-
作者：Gopalan, Radhakrishnan; Martin, Xiumin; Srinivasan, Kandarp
作者单位：Washington University (WUSTL); Northeastern University
摘要：We document controlling shareholder (insider) opportunism in an insolvency regime that uses an accounting rule to determine bankruptcy eligibility. Our study sheds light on managerial incentives induced by weak investor protection laws. Using unique data on bankrupt firms from an emerging market, consistent with our prediction, we show insiders intentionally manage earnings downward to understate firm net worth so as to be able to file for bankruptcy. Downward pre-bankruptcy earnings managemen...
-
作者：Thompson, Rachel A.
作者单位：North Dakota State University Fargo
摘要：In recent years, firms reporting revisions of prior financial statements outnumber those reporting restatements. Misstatements that are material to prior periods are required to be reported as restatements, whereas immaterial errors can be reported as revisions. Based on SEC guidance and widely used materiality benchmarks, I find a significant percentage (29%) of revisions are suspect in that they meet at least one materiality criterion. These suspect revisions are 15% to 29% more likely to be...
-
作者：Kim, Jeong-Bon; Wiedman, Christine; Zhu, Chunmei
作者单位：City University of Hong Kong; University of Waterloo; Chinese University of Hong Kong
摘要：We investigate whether credit default swap (CDS) trading results in managers learning new information through stock prices that is relevant to their investment and forecasting decisions. We argue that the CDS market structure, the sophistication of CDS market participants, and the cleanness of CDS spreads as a signal of default risk together produce and convey information that is new to managers of firms referenced in CDS contracts. We consider two measures for managerial learning: (1) the sen...
-
作者：Maksymov, Eldar; Pickerd, Jeffrey; Wilks, T. Jeffrey; Williams, Devin
作者单位：Arizona State University; Arizona State University-Tempe; University of Mississippi; Brigham Young University; University of Oklahoma System; University of Oklahoma - Norman
摘要：The Sarbanes-Oxley Act charges management with the primary responsibility for internal control over financial reporting (ICFR). However, prior research tells us little about the ICFR process from management's perspective. We develop a theoretical model of the ICFR process from management's perspective and examine that model by surveying 145 and interviewing 35 accounting executives at large US public companies. Our primary finding is that executives feel constrained in their ability to direct ...
