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作者：Elliott, W. Brooke; Rennekamp, Kristina M.; White, Brian J.
作者单位：University of Illinois System; University of Illinois Urbana-Champaign; Cornell University; University of Texas System; University of Texas Austin
摘要：As part of its push for more plain English in disclosures, the SEC argues that firms should use more concrete language to make abstract concepts clearer to investors. We use two experiments to show that, when concrete language is highlighted in a prospectus, investors are significantly more willing to invest in a firm than when abstract language is highlighted. Furthermore, we show the effect of concrete language is particularly important when investors feel more psychologically distant from a...
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作者：Plumlee, Marlene; Xie, Yuan; Yan, Meng; Yu, Jeff Jiewei
作者单位：Utah System of Higher Education; University of Utah; Fordham University; Texas A&M University System; Texas A&M University College Station
摘要：This study examines a specific source of lenders' ex ante information advantage, private information about borrowers' forthcoming patents. We examine this setting to provide evidence of the impact of such private information on borrowers' cost of debt. We find evidence consistent with lenders incorporating private information by charging borrowers with forthcoming patents a lower spread than borrowers that lack that private information. We document a negative association between loan spread an...
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作者：De Franco, Gus; Hope, Ole-Kristian; Larocque, Stephannie
作者单位：University of Toronto; University of Notre Dame
摘要：This is the first large-scale study to examine the peer companies used by sell-side equity analysts in their research reports. Using a unique hand-collected data set, we investigate the relation between peer valuation and peer choice by analysts. We find that analysts on average select peer companies with high valuations and that this effect varies systematically with analysts' incentives and ability. Our evidence provides partial support for the idea that analysts choose peers strategically. ...
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作者：Florou, Annita; Kosi, Urska
作者单位：University of London; King's College London; Vienna University of Economics & Business
摘要：We examine whether the mandated introduction of International Financial Reporting Standards (IFRS) is associated with the propensity to access the public rather than private debt market and the cost of debt. We use a global sample of public bonds and private loans and find that mandatory IFRS adopters are more likely, post-IFRS, to issue bonds than to borrow privately. We also find that mandatory IFRS adopters pay lower bond yield spreads, but not lower loan spreads, after the mandate. These f...
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作者：Israeli, Doron
作者单位：Reichman University
摘要：The application of International Accounting Standard 40, Investment Property, in the European Union created a unique setting to study the implications of a decision to recognize versus disclose financial statements' items, because in this setting recognized and disclosed investment-property-related amounts share a common measurement base, i.e., fair value. I use this setting to (1) explore a firm's choice to recognize versus disclose fair values of investment properties, (2) test whether recog...
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作者：Beuselinck, Christof; Deloof, Marc; Vanstraelen, Ann
作者单位：IESEG School of Management; University of Antwerp; Maastricht University
摘要：This paper examines the impact of tax enforcement and public listing status on income shifting by multinational corporations (MNCs). For a sample of over 8,000 subsidiaries that are majority-owned by 959 European MNCs over the period 1998-2009, we find strong evidence of income shifting from high to low tax countries and that income is shifted more out of high-tax countries when local tax enforcement is weak. In addition, we show that private MNCs exploit weak tax enforcement more to shift inc...
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作者：Doogar, Rajib; Sivadasan, Padmakumar; Solomon, Ira
作者单位：University of Washington; University of Washington Bothell; Tulane University
摘要：Audit fee residuals (the error term from audit fee models) are widely used in the accounting research literature. Researchers, however, have adopted contrasting views of these fee residuals. One view is that fee residuals are a combination of noise and auditor rents (i.e., abnormal profits), while the other view is that they are a combination of noise and unobserved audit costs (including any risk premium and a normal rate of return on all factors of production). As a result, identical researc...
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作者：Brochet, Francois; Loumioti, Maria; Serafeim, George
作者单位：Boston University; University of Southern California; Harvard University
摘要：We study conference calls as a voluntary disclosure channel and create a proxy for the time horizon that senior executives emphasize in their communications. We find that our measure of disclosure time horizon is associated with capital market pressures and executives' short-term monetary incentives. Consistent with the language emphasized during conference calls partially capturing short-termism, we show that our proxy is associated with earnings and real activities management. Overall, the r...
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作者：Li, Ningzhong; Lou, Yun; Vasvari, Florin P.
作者单位：University of Texas System; University of Texas Dallas; Hautes Etudes Commerciales (HEC) Paris; University of London; London Business School
摘要：We examine the determinants of events of default clauses in syndicated loan and bond contracts, provisions that allow lenders to request the repayment of principal and to terminate lending commitments. We document significant variation in the use of default clauses and their restrictiveness within the same type of lending contract but also across loans and bonds. We find that default clauses in public bond contracts are less restrictive than those in syndicated loan contracts. We also document...
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作者：Campbell, John L.; Downes, Jimmy F.; Schwartz, William C., Jr.
作者单位：University System of Georgia; University of Georgia; University of Nebraska System; University of Nebraska Lincoln; Oklahoma State University System; Oklahoma State University - Stillwater
摘要：An unrealized gain on a cash flow hedge implies that the price of the underlying hedged item (i.e., commodity price, foreign currency exchange rate, or interest rate) moved in a direction that will negatively affect the firm's profits after the hedge expires. Prior research shows that unrealized gains/losses on cash flow hedges are negatively associated with future earnings and that investors' expectations, as reflected in stock prices, do not appear to anticipate this association. We provide ...
