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作者：Kothari, S. P.
作者单位：Massachusetts Institute of Technology (MIT)
摘要：Accounting standards are crucially relevant in the context of the use of accounting information in corporate governance. Notwithstanding highly liquid capital markets, large and small shareholders, many activist shareholders, sophisticated analysts, vigilant press reporters, and a vibrant litigious environment, corporate governance challenges continue to make media headlines, and they seem to occur with a great degree of regularity. The essay offers a high-level description of the objectives o...
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作者：Corona, Carlos; Nan, Lin; Zhang, Gaoqing
作者单位：Carnegie Mellon University; Purdue University System; Purdue University; University of Minnesota System; University of Minnesota Twin Cities
摘要：This paper examines banks' choice between fair-value and historical-cost accounting when reported accounting information is used in capital requirement regulation. We center our analysis on a key difference between fair-value and historical-cost accounting: the frequency with which asset value changes are reported. We show that the elasticity of banks' loan returns to aggregate lending is a critical determinant of the interaction between capital adequacy requirements and accounting choices. If...
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作者：Baldenius, Tim; Meng, Xiaojing; Qiu, Lin
作者单位：Columbia University; New York University
摘要：We study a corporate board tasked with monitoring a firm's CEO and providing incrementally decision-relevant information. The board has both compensation and non-pecuniary incentives-we label the latter board bias. Friendly boards have muted information gathering incentives, but can more effectively engage in cheap talk communication with management. As a result, the direction of the optimal board bias is determined by the CEO's initial information advantage: the board should be weakly friendl...
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作者：Cohen, Moshe; Katz, Sharon P.; Mutlu, Sunay; Sadka, Gil
作者单位：INSEAD Business School; University System of Georgia; Kennesaw State University; University of Texas System; University of Texas Dallas
摘要：Prior evidence shows a reduction in leverage after covenant violations, but we do not know whether covenants affect leverage before they are violated. In this study, we use an exogenous accounting-based shock to debt covenants that relaxed covenant tightness (SFAS 160) and examine whether covenants constrain leverage for borrowers that are close to violation, even when the borrower is financially healthy. We find that SFAS 160 increased debt levels in firms that were close to violation. This i...
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作者：Guenther, David A.; Wilson, Ryan J.; Wu, Kaishu
作者单位：University of Oregon; University of Waterloo
摘要：We investigate whether tax avoidance becomes more uncertain as the rate of tax avoidance increases. We estimate a system of equations to demonstrate that as firms' pretax income increases, each additional dollar of potential tax results, on average, in 32.8 cents of tax avoided, which we refer to as incremental tax avoidance. Of the incremental tax avoided, 1.4 cents represent additions to the reserve for uncertain tax benefits (UTB reserve), or 4.3 percent of the total incremental tax avoided...
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作者：Kang, Jun-Koo; Xu, Limin
作者单位：Nanyang Technological University; University of Adelaide
摘要：We examine how the adoption of executive stock ownership guidelines affects debtholder wealth. We find that guideline adoption is associated with lower loan spreads, fewer collateral requirements, and fewer other restrictive covenants. The results are robust to using an instrumental variables approach. We further find that guideline adoption has a negative effect on bond yield spreads and that after the adoption, firms' risk-taking incentives are lower. These results suggest that guideline ado...
