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作者：Cassell, Cory A.; Cunningham, Lauren M.; Lisic, Ling Lei
作者单位：University of Arkansas System; University of Arkansas Fayetteville; University of Tennessee System; University of Tennessee Knoxville; Virginia Polytechnic Institute & State University
摘要：An emerging literature shows that shareholders benefit from the Securities and Exchange Commission's (SEC) filing reviews in terms of improved disclosures and reduced information asymmetry. However, these reviews also impose significant costs on companies because comment letter remediation diverts time and resources away from normal operations and may result in restated or amended filings. Applying processing fluency theory, we examine whether the readability of the company's initial response ...
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作者：Chakravarthy, Jivas
作者单位：Chapman University System; Chapman University
摘要：I compare voting positions taken by Financial Accounting Standards Board (FASB) members on standards to positions taken by constituent sponsors in comment letters both before and after the emergence of the FASB's conceptual framework. I find that, relative to the Pre-CF regime (1973-1986), FASB members in the CF regime (1987-2007) take positions that are (i) less like their constituent sponsors and (ii) more like one another. Both shifts are associated with standards increasing accounting rele...
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作者：Christensen, Theodore E.; Pei, Hang; Pierce, Spencer R.; Tan, Liang
作者单位：University System of Georgia; University of Georgia; California State University System; California State University San Bernardino; State University System of Florida; Florida State University; Virginia Polytechnic Institute & State University
摘要：We investigate whether firms change their non-GAAP reporting practices after debt covenant violations. We find that the likelihood that a firm will disclose non-GAAP earnings decreases and (for those that continue to disclose) the quality of non-GAAP reporting improves following covenant violations, consistent with stronger shareholder monitoring during this period of scrutiny. Consistent with increased monitoring following a debt covenant violation, cross-sectional analyses indicate that thes...
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作者：Cedergren, Matthew C.; Chen, Changling; Chen, Kai
作者单位：University of Pennsylvania; University of Waterloo; Wilfrid Laurier University
摘要：Under SFAS No. 159, U.S. firms can measure debt liabilities at fair value, which results in recognition of unrealized gains and losses from debt valuation adjustments (DVA) when a firm's own credit risk changes. Critics have raised concerns about the counterintuitive income consequences of DVA; that is, when a firm's credit risk increases (i.e., bad news), debt values decrease, and resulting DVA gains increase the firm's income (i.e., good news), and vice versa. In this paper, we examine the r...
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作者：Chen, Jason V.; Kama, Itay; Lehavy, Reuven
作者单位：University of Illinois System; University of Illinois Chicago; University of Illinois Chicago Hospital; Tel Aviv University; University of Michigan System; University of Michigan
摘要：We examine the effect of managerial expectations on asymmetric cost behavior in the context of resource adjustment costs and unused resource constraints. Our results show that the incremental impact of managerial expectations on cost asymmetry is the strongest when adjustment costs and unused resources are high. Conversely, when both are low, expectations have no impact on the degree of cost asymmetry. Furthermore, when the degree of unused resources is high, managerial pessimism is associated...
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作者：McMullin, Jeff L.; Miller, Brian P.; Twedt, Brady J.
作者单位：Indiana University System; Indiana University Bloomington; University of Oregon
摘要：Regulators claim that increased mandated disclosure frequency should lead to more efficient price formation. However, analytical models suggest that mandating disclosure may actually impede the price formation process, and prior empirical studies have been unable to document a relation between mandatory disclosure and improved price formation. We re-examine this relationship using a recent SEC regulation that increased the frequency of mandated event disclosures in form 8-K. We show that price...
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作者：Givoly, Dan; Li, Yifan; Lourie, Ben; Nekrasov, Alexander
作者单位：Pennsylvania Commonwealth System of Higher Education (PCSHE); Pennsylvania State University; Pennsylvania State University - University Park; California State University System; San Francisco State University; University of California System; University of California Irvine; University of Illinois System; University of Illinois Chicago; University of Illinois Chicago Hospital
摘要：The documented decline in the information content of earnings numbers has paralleled the emergence of disclosures, mostly voluntary, of industry-specific key performance indicators (KPIs). We find that the incremental information content conveyed by KPI news is significant for many KPIs yet diminished when details about the computation of the KPI are absent or when the computation changes over time. Consistent with analysts responding to investor information demand, we find that analysts are m...
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作者：Duro, Miguel; Heese, Jonas; Ormazabal, Gaizka
作者单位：University of Navarra; IESE Business School; Harvard University; Center for Economic & Policy Research (CEPR)
摘要：This paper studies the effect of the public disclosure of the Securities and Exchange Commission (SEC) comment-letter reviews (CLs) on firms' financial reporting. We exploit a major change in the SEC's disclosure policy: in 2004, the SEC decided to make its CLs publicly available. Using a novel dataset of CLs, we analyze the capital-market responses to firms' quarterly earnings releases following CLs conducted before and after the policy change. We find that these responses increase significan...
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作者：Demmer, Matthias; Pronobis, Paul; Yohn, Teri Lombardi
作者单位：Free University of Berlin; heSam Universite; ESCP Business School; Indiana University System; IU Kelley School of Business; Indiana University Bloomington; Northwestern University
摘要：This study examines whether the improvement in analyst forecast accuracy around mandatory IFRS adoption is associated with the improvement in the accuracy of financial statement-based forecasts. We find significant out-of-sample improvement in financial statement-based forecast accuracy around mandatory IFRS adoption and significant improvement in analyst forecast accuracy only in countries that made concurrent improvements to financial reporting enforcement. We show that the improvement in an...
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作者：Finley, Andrew R.
作者单位：Claremont Colleges; Claremont McKenna College; Claremont Graduate University
摘要：The author has to move Table 7 Sample selection for large tax settlement favorability measure as Table 1 and mention it at This procedure, presented in Table 1, yields a sample of 1912 observations for which I can measure the favorability of a large tax settlement. under Section 3.2.
