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作者：Cheng, Lin; Jaggi, Jacob; Young, Spencer
作者单位：China Europe International Business School; Washington State University; University of Oklahoma System; University of Oklahoma - Norman
摘要：We examine whether restricting managers' discretion through GAAP impacts the usefulness of accounting information in debt contracting. Our study informs standard setters and regulators regarding the debt contracting implications of limiting managers' discretion via accounting standards. We predict and find that under more restrictive standards, lenders make more non-GAAP modifications to GAAP-based performance measures, suggesting that restrictions of managers' discretion reduce the usefulness...
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作者：Do, Truc (Peter) Thuc; Zhang, Huai
作者单位：University of Queensland; Nanyang Technological University
摘要：We investigate whether individual securities regulators exhibit personal styles in their work, a question of importance to corporate executives and capital market participants. Using the SEC's comment letters as our setting, we find that SEC staff members exhibit unique personal styles. We manually collect information on SEC staff members and provide evidence that staff members' personal characteristics influence the SEC's review process. Further analyses reveal that SEC staff members with a C...
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作者：Ryou, Ji Woo; Tsang, Albert; Wang, Kun Tracy
作者单位：West Virginia University; Hong Kong Polytechnic University; Australian National University
摘要：This study examines whether and how firms' voluntary forward-looking nonfinancial disclosure, specifically their corporate social responsibility (CSR) disclosure, is associated with the intensity of product market competition (PMC). Despite the importance of the proprietary cost argument in explaining corporate disclosure incentives, there is little empirical evidence of the relationship between firms' proprietary cost concerns and their voluntary nonfinancial disclosure decisions. Using a red...
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作者：Donelson, Dain C.; Tori, Elizabeth; Yust, Christopher G.
作者单位：University of Iowa; Oklahoma State University System; Oklahoma State University - Stillwater; Texas A&M University System; Texas A&M University College Station
摘要：Does personal litigation risk for independent directors materially affect firm valuation, compensation-related issues for independent directors, and board composition decisions? We use the unexpected In re Investors Bancorp decision in 2017 by the Delaware Supreme Court, which lowered the liability threshold only for directors in derivative litigation over their own equity grants and increased their future litigation risk, to examine these issues. Understanding changes in independent director ...
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作者：Zimbelman, Aaron F.
作者单位：University of South Carolina System; University of South Carolina Columbia
摘要：This study examines whether auditors can improve their judgment by drawing on the crowd within-that is, making the same judgment twice and averaging the two responses. Improvements in judgment are of special interest to auditors given that poor judgment threatens audit effectiveness and efficiency. The results from my experiment suggest that drawing on the crowd within helps auditors better use their task-relevant knowledge, leading to more accurate auditor judgments relative to the judgments ...
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作者：Miller, Brian P.; Sheneman, Amy G.; Williams, Brian M.
作者单位：Indiana University System; Indiana University Bloomington; University System of Ohio; Ohio State University
摘要：This study examines the impact of control systems on corporate innovation. Innovation is key to firm performance and growth, allowing corporations to stay competitive in their industry. We expect control systems to improve information flows within the firm by allowing managers to better identify and patent their most valuable intellectual property. Despite our prediction that control systems positively impact innovation, a priori, this relation is unclear as these same control systems may crea...
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作者：David, Parthiban; Duru, Augustine; Lobo, Gerald J.; Maharjan, Johan; Zhao, Yijiang
作者单位：American University; University of Houston System; University of Houston; Rensselaer Polytechnic Institute
摘要：We examine how the threat of exit by non-blockholders (investors with ownership <5%) relates to firms' income smoothing. Unlike informed blockholders, non-blockholders lack private information and therefore rely more on reported accounting numbers to evaluate firm performance. To isolate the exit threat, we use the unique setting in Japan where strong firm-centric social norms and lack of insider access lead non-blockholding foreign institutions to influence management primarily through the th...
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作者：Bonsall, Samuel B.; Koharki, Kevin; Neamtiu, Monica
作者单位：Purdue University System; Purdue University; City University of New York (CUNY) System; Baruch College (CUNY)
摘要：This study examines whether credit default swap (CDS) trading initiation can serve as a disciplining mechanism for leading credit rating agencies. Specifically, we investigate whether rating agencies improve their rating quality when an alternative source of credit risk information from CDS threatens to expose inaccuracies in their ratings. Understanding potential drivers of credit rating quality is important given the prominence of credit rating agencies as debt market gatekeepers and percept...
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作者：Chung, Philip Keunho; Geiger, Marshall A.; Paik, Daniel Gyung; Rabe, Collin
作者单位：Christopher Newport University; University of Richmond
摘要：Prior earnings management research often focuses on specific accounts or on estimations of discretionary accruals but provides only limited insight into the methods firms actually use to manage earnings. In order to begin exploration of some of the operational details regarding how earnings are managed, we investigate whether firms time their decisions to make changes in accounting estimates (CAEs) in consideration of their earnings benchmarks. Using CAE data across all accounts from 2006 to 2...
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作者：Franco, Francesca; Urcan, Oktay
作者单位：Bocconi University; University of Illinois System; University of Illinois Urbana-Champaign
摘要：We study executive equity contributions to nonqualified deferred compensation plans, which consist of the election to defer part or all of the executive's annual base salary and other cash pay into the company's stock. These transactions provide executives with an alternative channel to purchase shares in the firm while benefiting from an affirmative defense against illegal insider-trading allegations. Using a large sample of executive equity deferrals over 2000-2014, we find evidence that exe...
