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作者：Cohen, Jeffrey R.; Hoitash, Udi; Krishnamoorthy, Ganesh; Wright, Arnold M.
作者单位：Boston College; Northeastern University
摘要：Calls from practice suggest that audit committee members with industry expertise can improve audit committee effectiveness. Nevertheless, regulators and the extant literature have focused on the financial expertise of the audit committee. We posit that audit committee industry knowledge is valuable because accounting guidance, estimates, and oversight of the external auditor are often linked to a company's operations within a particular industry. Taking a holistic view, we examine two measures...
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作者：Frimor, Hans
作者单位：Aarhus University
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作者：Farrell, Anne M.; Goh, Joshua O.; White, Brian J.
作者单位：University System of Ohio; Miami University; National Taiwan University; University of Texas System; University of Texas Austin
摘要：Managers may rely on emotional reactions to a setting to the detriment of economic considerations (System 1 processing), resulting in decisions that are costly for firms. While economic theory prescribes performance-based incentives to align goals and induce effort, psychology theory suggests that the salience of emotions is difficult to overcome without also inducing more deliberate consideration of both emotional and economic factors (System 2 processing). We link these perspectives by inves...
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作者：Goex, Robert F.
作者单位：University of Zurich
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作者：Graham, John R.; Hanlon, Michelle; Shevlin, Terry; Shroff, Nemit
作者单位：Duke University; Massachusetts Institute of Technology (MIT); University of California System; University of California Irvine
摘要：We analyze survey responses from nearly 600 corporate tax executives to investigate firms' incentives and disincentives for tax planning. While many researchers hypothesize that reputational concerns affect the degree to which managers engage in tax planning, this hypothesis is difficult to test with archival data. Our survey allows us to investigate reputational influences and, indeed, we find that reputational concerns are important-69 percent of executives rate reputation as important and t...
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作者：Chi, Sabrina S.; Pincus, Morton; Teoh, Siew Hong
作者单位：University of Arkansas System; University of Arkansas Fayetteville; University of California System; University of California Irvine
摘要：We find evidence that investors misprice information contained in book-tax differences (BTDs), measured as the ratio of taxable income to book income, TI/BI. Low TI/BI predicts worse earnings growth and abnormal stock returns than high TI/BI. We find that short sellers and insiders arbitrage BTD mispricing, but the arbitrage is imperfect because of constraints on short selling and insider trading. Under SFAS No. 109 the predictability is stronger for TEMP/BI, the temporary component of TI/BI, ...
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作者：Bowen, Robert M.; Rajgopal, Shivaram; Venkatachalam, Mohan
作者单位：University of Washington; University of Washington Seattle; University of San Diego; Emory University; Duke University
摘要：We examine (1) whether the accounting, governance, and investing practices of Berkshire Hathaway investees are consistent with Warren Buffett's public statements on what constitutes good accounting, governance, and investing practices and (2) whether these practices are associated with Berkshire's initial selection or Buffett's subsequent influence. Compared to control firms, we find that Berkshire investees are highly likely to follow Buffett's investment philosophy, somewhat likely to follow...
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作者：Kirk, Marcus P.; Vincent, James D.
作者单位：State University System of Florida; University of Florida
摘要：This paper investigates the effect of investments in internal investor relations (IR) departments on firm outcomes. We find that companies initiating internal professional IR experience increases in disclosure, analyst following, institutional investor ownership, liquidity, and market valuation relative to a matched sample of control firms. We also examine the differential impact the exogenous shock of Regulation Fair Disclosure (Reg FD) had on firms with an established professional IR departm...
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作者：Huang, Xuan; Teoh, Siew Hong; Zhang, Yinglei
作者单位：California State University System; California State University Long Beach; University of California System; University of California Irvine; Chinese University of Hong Kong
摘要：We investigate whether and when firms manage the tone of words in earnings press releases, and how investors react to tone management. We estimate abnormal positive tone, ABTONE, as a measure of tone management from residuals of a tone model that controls for firm quantitative fundamentals such as performance, risk, and complexity. We find that ABTONE predicts negative future earnings and cash flows, is positively associated with upward perception management events, such as, just meeting/beati...
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作者：Merkley, Kenneth J.
作者单位：Cornell University
摘要：This paper examines how earnings performance relates to firms' narrative R&D disclosure decisions. The unique nature of R&D investments and financial statements' limited ability to communicate the value of such investments highlight the role of narrative disclosure as a supplement to the financial statements. I predict and find that current earnings performance (adjusted for R&D expense) is negatively related to the quantity of narrative R&D disclosure. Conducting a content analysis of the det...
