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作者：Bergstresser, Daniel
作者单位：Harvard University
摘要：Richardson's paper is a useful addition to the literature on the relationship between cash flow and investment. His approach to estimating this relationship is a new twist on earlier approaches. Like most of this literature, Richardson finds evidence that firms' investment decisions are excessively sensitive to current cash flow, suggesting that violations of the Modigliani-Miller assumptions are empirically important. My view is that conceptual and implementation problems beset Richardson's a...
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作者：Johnson, Nicole Bastian
作者单位：University of California System; University of California Berkeley
摘要：This paper examines the effectiveness of three transfer pricing methodologies for an intangible asset that is developed through bilateral, sequential investment. In general, a royalty-based transfer price that can be renegotiated provides better investment incentives than either a non-negotiable royalty-based transfer price or a purely negotiated transfer price, and in some cases induces first-best investment. This result contrasts with previous research that finds that the inability to limit ...
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作者：Davila, Antonio; Penalva, Fernando
作者单位：University of Navarra; IESE Business School; Stanford University
摘要：We empirically examine how governance structure affects the design of executive compensation contracts and in particular, the implicit weights of firm performance measures in CEO's compensation. We find that compensation contracts in firms with higher takeover protection and where the CEO has more influence on governance decisions put more weight on accounting-based measures of performance (return on assets) compared to stock-based performance measures (market returns). In additional tests, we...
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作者：Richardson, Scott
作者单位：University of Pennsylvania
摘要：This paper examines the extent of firm level over-investment of free cash flow. Using an accounting-based framework to measure over-investment and free cash flow, I find evidence that, consistent with agency cost explanations, over-investment is concentrated in firms with the highest levels of free cash flow. Further tests examine whether firms' governance structures are associated with over-investment of free cash flow. The evidence suggests that certain governance structures, such as the pre...
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作者：Marques, Ana
作者单位：Universidade Nova de Lisboa
摘要：This paper examines the effect of two Securities and Exchange Commission regulatory interventions related to disclosure of non-GAAP financial measures. There are three main results. First, the probability of disclosure of non-GAAP earnings declines in 2003, but the probability of disclosure of other non-GAAP financial measures has an accelerated decline after the first intervention. Second, all else equal, after Regulation G, investors have a positive market reaction to the disclosure of non-G...
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作者：Armstrong, C; Davila, A; Foster, G
作者单位：Stanford University; University of Navarra; IESE Business School
摘要：The relationship between (a) private and public equity market valuations and (b) financial statement information is examined for a sample of 502 venture capital backed companies from six different industries over the 1993-2003 period. Financial statement information explains a sizable component of the levels of and changes in valuation in both the Pre-IPO and Post-IPO periods. The findings support prior research for Post-IPO companies that revenues are value enhancing and costs are value dimin...
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作者：Bloomfield, Robert J.; Nelson, Mark W.; Smith, Steven D.
作者单位：Cornell University; University of Illinois System; University of Illinois Urbana-Champaign
摘要：This paper presents and tests a model of the price dynamics that arise when investors fail to recognize the redundancy of unrealized gains and losses (UGLs) that are correlated with the firm's past returns. Consistent with the predictions of our model, our experiment shows that a firm's prices and earnings become highly volatile when correlated investment is large and correlated UGLs are made salient by comprehensive income reporting. The results suggest that including correlated UGLs in perfo...
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作者：Chan, KH; Lin, KZ; Mo, PLI
作者单位：Hong Kong Polytechnic University; Lingnan University
摘要：This Study examines whether auditor opinions are affected by political and economic influences from governments. We use auditor locality (local versus non-local) to capture such influences from local governments in China. Based on data from China's stock markets for the period 1996-2002, we find that local auditors, who have greater economic dependence on local clients and are subject to more political influence from local Governments than non-local auditors, are inclined to report favorably o...
