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作者：Ge, Weili; Koester, Allison; McVay, Sarah
作者单位：University of Washington; University of Washington Seattle; Georgetown University
摘要：We quantify measurable benefits and costs of exempting firms from auditor oversight of internal control effectiveness disclosures. We measure the benefit of exemption as an aggregate $388 million in audit fee savings from 2007-2014. The costs stem from internal control misreporting: an aggregate $719 million of lower operating performance due to non-remediation and a $935 million delay in aggregate market value decline due to the failure to disclose ineffective internal controls. The audit fee...
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作者：Bonsall, Samuel B.; Leone, Andrew J.; Miller, Brian P.; Rennekamp, Kristina
作者单位：University System of Ohio; Ohio State University; Pennsylvania Commonwealth System of Higher Education (PCSHE); Pennsylvania State University; Pennsylvania State University - University Park; University of Miami; Indiana University System; Indiana University Bloomington; Cornell University
摘要：We propose a new measure of readability, the Bog Index, which captures the plain English attributes of disclosure (e.g., active voice, fewer hidden verbs, etc.). We validate this measure using a series of controlled experiments and an archival-based regulatory intervention to prospectus filing readability. We also demonstrate the importance of understanding the underlying drivers of quantity-based measures of readability. In particular, we caution researchers that a vast amount of the variatio...
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作者：Lo, Kin; Ramos, Felipe; Rogo, Rafael
作者单位：University of British Columbia; FUCAPE Business School
摘要：We explore how the readability of annual reports varies with earnings management. Using the Fog Index to measure readability (Li, 2008), and focusing on the management discussion and analysis section of the annual report (MUM), we predict and find that firms most likely to have managed earnings to beat the prior year's earnings have MD&As that are more complex. This disruption of the overall pattern of readability increasing with the level of earnings found in Li (2008) challenges the ontologi...
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作者：Christensen, Hans B.; Floyd, Eric; Liu, Lisa Yao; Maffett, Mark
作者单位：University of Chicago
摘要：We examine the real effects of mandatory social-responsibility disclosures, which require SEC-registered mine owners to include their mine-safety records in their financial reports. These safety records are already publicly available elsewhere, which allows us to isolate and estimate the incremental real effects of including this information in financial reports. Comparing mines owned by SEC-registered issuers with mines that are not, we document that including safety records in financial repo...
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作者：Holthausen, Robert W.; Kothari, S. P.; Core, John E.; Hanlon, Michelle; Guay, Wayne; Wu, Joanna
作者单位：University of Pennsylvania; Massachusetts Institute of Technology (MIT); University of Rochester
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作者：Miller, Gregory S.
作者单位：University of Michigan System; University of Michigan
摘要：Dyer et al. (2017) examines trends in 10-K textual disclosure from 1996-2013. Using a set of variables from prior textual research, they show a decrease in characteristics generally considered desirable and an increase in attributes considered undesirable. The trend is driven by disclosures to comply with new regulatory reporting standards. The study takes a high-level approach allowing an overview perspective. However, that approach also means readers should take caution in reaching strong co...
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作者：Andries, Kathleen; Gallemore, John; Jacob, Martin
作者单位：WHU - Otto Beisheim School of Management; University of Chicago
摘要：We examine how the corporate tax system, through its treatment of loan losses, affects bank financial reporting. Exploiting cross-country and intertemporal variation in income tax rates and loan loss provision deductibility, we find that loan loss provisions are increasing in the tax rate for countries that permit general provision tax deductibility. When general provisions are deductible, a 1 percentage point rate increase leads to a provision increase of 4.9% of the sample average. This effe...
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作者：Hribar, Paul; Melessa, Samuel J.; Small, R. Christopher; Wilde, Jaron H.
作者单位：University of Iowa; University of Toronto
摘要：We examine whether managerial sentiment is associated with errors in accrual estimates. Using public banks we find (1) managerial sentiment is negatively associated with loan loss provision estimates, (2) future charge-offs per dollar of provision are positively associated with sentiment when the provision is estimated, and (3) the effects of sentiment are greater for firms with more uncertain charge-offs. Results are similar for private banks, suggesting accrual manipulation related to capita...
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作者：Cohen, Lauren
作者单位：Harvard University; National Bureau of Economic Research
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作者：Ellahie, Atif; Tahoun, Ahmed; Tuna, Irem
作者单位：Utah System of Higher Education; University of Utah; University of London; London Business School
摘要：We use the ethnicity of CEOs across 31 countries as a proxy for their common inherited beliefs and values and find an ethnicity effect in CEO variable pay. We find that the ethnicity effect in variable pay is not driven by the ethnicity effects in corporate policy decisions, and that changes in CEO compensation are significantly larger when CEOs are replaced with a person from a different ethnicity. Our estimated ethnicity effect captures the future time reference and religion of CEOs' ancesto...
