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作者：Gaver, JJ; Paterson, JS
作者单位：University System of Georgia; University of Georgia; State University System of Florida; Florida State University
摘要：This paper examines the association between external monitoring and earnings management by property-casualty insurers. We extend previous work by Petroni and Beasley [1996] by expanding the set of external monitors to include both auditors and actuaries. We investigate whether certain auditor-actuary pairs are associated with less understatement of the loss reserve account by financially struggling insurers. Our data consist of loss adjustments reported by 465 property-casualty insurers for re...
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作者：Sankar, MR; Subramanyam, KR
作者单位：University of Southern California
摘要：We model a two-period pure exchange economy where a risk averse manager, who has private information regarding future earnings, is required to issue an earnings report to investors at the end of each period. While the manager is prohibited from directly disclosing her private information, she is allowed to bias reported earnings in the first period, subject to GAAP rules that require that a specified proportion of the bias be reversed subsequently. We show there is a minimum threshold of rever...
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作者：Billings, BK; Morton, RM
作者单位：State University System of Florida; Florida State University
摘要：This study investigates whether the ability of book-to-market to predict returns derives froth systematic errors in the market's expectation of future earnings. We extend Beaver and Ryan [1996; 2000] by decomposing book-to-market into a more persistent (bias) component and a delayed recognition (lag) component. We find that both components are related to analyst expectations of future earnings, but the lag component is the dominant factor across all forecast horizons. Similarly, we find that t...
