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作者：Bochkay, Khrystyna; Chychyla, Roman; Sankaraguruswamy, Srini; Willenborg, Michael
作者单位：University of Miami; National University of Singapore; University of Connecticut
摘要：We study the information content and determinants associated with voluntary management disclosures of going concern (GC) uncertainties by IPO issuers. In terms of information content, we examine IPO price revision and initial return and find robust support that management GC disclosures are associated with downward revisions in the IPO offer price and, upon considering the mediating effects of the price revision, also associated with lower initial returns. In terms of determinants, and after c...
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作者：Huang, Xuan; Nekrasov, Alexander; Teoh, Siew Hong
作者单位：California State University System; California State University Long Beach; University of Illinois System; University of Illinois Chicago; University of Illinois Chicago Hospital; University of California System; University of California Irvine
摘要：Limited attention theory predicts that higher salience of earnings news implies a stronger immediate market reaction to earnings news and a weaker post-earnings announcement drift (PEAD) or reversal (PEAR). Using a new measure, SALIENCE, defined as the number of quantitative items in an earnings press release headline, we find strong evidence consistent with salience effects. Higher SALIENCE is associated with stronger announcement reaction and subsequent PEAR. Managers are more likely to choo...
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作者：Kroos, Peter; Schabus, Mario; Verbeeten, Frank
作者单位：University of Amsterdam; University of Melbourne
摘要：Firms trade off CFOs' fiduciary duties against their decision-making duties when designing CFO bonus plans. Decreasing bonus incentives tied to financial measures benefits CFOs' fiduciary responsibilities at the expense of motivating their decision-making duties. As prior research indicates that clawbacks increase personal misreporting costs through the loss of previously awarded compensation, we examine whether clawbacks allow firms to increase incentives in CFO bonus contracts. Based on a sa...
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作者：Fontes, Joana C.; Panaretou, Argyro; Peasnell, Kenneth V.
作者单位：Universidade Catolica Portuguesa; Lancaster University
摘要：We examine whether the use of fair value measurement (FVM) for bank assets reduces information asymmetry among equity investors (bid-ask spread) and how this is affected by the recognition of own credit risk gains and losses (OCR). Our findings show that FVM of assets is associated with noticeably lower information asymmetry, and that this reduction is more than twice as large when banks also recognize OCR. In addition, we find that the bid-ask spread is incrementally lower for banks that prov...
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作者：Acito, Andrew A.; Hogan, Chris E.; Mergenthaler, Richard D.
作者单位：Michigan State University; University of Arizona
摘要：We investigate whether PCAOB-identified audit deficiencies lead to higher audit fees or turnover likelihood for clients of Big 4 auditors. To examine this, we identify areas of GAAP related to PCAOB deficiencies for each auditor. We then use textual analysis to identify how important the deficiencies are to clients to measure each client's exposure to deficient auditing. We find that this measure positively relates to audit fees and that this association is moderated by client bargaining power...
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作者：Bird, Andrew; Edwards, Alexander; Ruchti, Thomas G.
作者单位：Carnegie Mellon University; University of Toronto
摘要：A growing literature examines how a firm's behavior impacts the behavior of its peers. In this paper, we examine how changes in tax paying, and the associated financial reporting, impact a firm's peers. Changes to tax paying and reporting behavior at other firms within a peer group can be affected by many of the same factors, such as industry-level tax policy changes or audit risk, so we make use of exogenous-to the peer firms-shocks to tax behavior. Following the methodology of Dyreng, Hanlon...
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作者：Rouxelin, Florent; Wongsunwai, Wan; Yehuda, Nir
作者单位：University of New South Wales Sydney; Chinese University of Hong Kong; University of Texas System; University of Texas Dallas
摘要：We examine whether aggregate cost stickiness predicts future macro-level unemployment rate. We incorporate aggregate cost stickiness into three different classes of forecasting models studied in prior literature, and demonstrate an improvement in forecasting performance for all three models. For example, when adding cost stickiness to an OLS regression that includes a battery of macroeconomic indicators and control variables, we find that a one-standard-deviation-higher cost stickiness in rece...
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作者：Bhattacharjee, Sudip; Brown, J. Owen
作者单位：Virginia Polytechnic Institute & State University; Baylor University
摘要：Concerns over ''revolving door'' practices of companies hiring directly from their external auditor led to a Sarbanes-Oxley Act provision mandating a one-year cooling-off period before such hires can occur. Yet little is known as to whether these alumni affiliations, still prevalent today, actually impair audit quality. Drawing on Social Identity Theory, we conduct an experiment to examine whether auditors experience heightened identification with an alumni-affiliated client manager and, if so...
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作者：Cassar, Gavin J.; Gerakos, Joseph J.; Green, Jeremiah R.; Hand, John R. M.; Neal, Matthew
作者单位：INSEAD Business School; Dartmouth College; Pennsylvania Commonwealth System of Higher Education (PCSHE); Pennsylvania State University; Pennsylvania State University - University Park; University of North Carolina; University of North Carolina Chapel Hill
摘要：Using a dataset of 3,234 letters sent by 434 hedge funds to their investors during 1995-2011, we study what motivates hedge fund managers to make voluntary disclosures. Contrary to the hedge fund industry's reputation for opacity, we observe that managers provide their investors with an array of quantitative and qualitative information about fund returns, risk exposures, holdings, benchmarks, performance attribution, and future prospects. We find that the tensions between the agency costs face...
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作者：Hoitash, Rani; Hoitash, Udi
作者单位：Bentley University; Northeastern University
摘要：We propose a new measure of accounting reporting complexity (ARC) based on the count of accounting items (XBRL tags) disclosed in 10-K filings. The preparation and disclosure of more accounting items is complicated because it requires greater knowledge of authoritative accounting standards. This aspect of complexity can increase the likelihood of mistakes, incorrect application of GAAP, and can ultimately lead to less credible financial reports. Consistently, we find that ARC is associated wit...
