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作者：Walker, Martin
作者单位：University of Manchester
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作者：Heinle, Mirko S.; Ross, Nicholas; Saouma, Richard E.
作者单位：University of Pennsylvania
摘要：This paper complements the ongoing empirical discussion surrounding participative budgeting by comparing its economic merits relative to a top-down budgeting alternative. In both budgeting regimes, private information is communicated vertically between a principal and a manager. We show that top-down budgeting incurs fewer agency costs than bottom-up budgeting whenever the level of information asymmetry is relatively low. Although the choice between top-down and bottom-up budgeting ultimately ...
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作者：Liang, Lihong; Riedl, Edward J.
作者单位：Syracuse University; Boston University
摘要：This paper examines how the reporting model for a firm's operating assets affects analyst forecast accuracy. We contrast U.K. and U.S. investment property firms having real estate as their primary operating asset, exploiting that U.K. (U.S.) firms report these assets at fair value (historical cost). We assess the accuracy of a balance-sheet-based forecast (net asset value, or NAV) and an income-statement-based forecast (earnings per share, or EPS). We predict and find higher NAV forecast accur...
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作者：Feroz, Ehsan H.
作者单位：University of Washington; University of Washington Tacoma
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作者：Billings, Bruce K.; Buslepp, William L.; Huston, G. Ryan
作者单位：State University System of Florida; Florida State University; Texas Tech University System; Texas Tech University; State University System of Florida; University of South Florida
摘要：The SEC Advisory Committee on Smaller Public Companies recommends paid-for research to fill the void created by declining sell-side coverage. Potential conflicts of interest inherent in paid-for research challenge this recommendation. We evaluate whether paid-for research provides value to investors or merely reflects hype. Analyses of one- and two-year-ahead paid-for earnings forecasts fail to identify significant bias. Using a portfolio approach, favorable (unfavorable) paid-for recommendati...
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作者：Curtis, Asher B.; McVay, Sarah E.; Whipple, Benjamin C.
作者单位：University of Washington; University of Washington Seattle; University System of Georgia; University of Georgia
摘要：We examine the disclosure of non-GAAP earnings information in quarters containing transitory gains to investigate whether the primary motivation for these managers to disclose non-GAAP earnings is to inform or mislead. In this setting, non-GAAP earnings are more informative than GAAP earnings, even though they are lower than GAAP earnings. Thus, managers motivated to inform stakeholders about sustainable earnings will disclose non-GAAP earnings information excluding the gain, whereas managers ...
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作者：Kanagaretnam, Kiridaran; Lim, Chee Yeow; Lobo, Gerald J.
作者单位：York University - Canada; Singapore Management University; University of Houston System; University of Houston
摘要：Using an international sample of banks and country-level indices for individualism and uncertainty avoidance as proxies for national culture, we study how differences in culture across countries affect accounting conservatism and bank risk-taking. Consistent with expectations, our cross-country analysis indicates that individualism is negatively (positively) related to conservatism (risk-taking) and uncertainty avoidance is positively (negatively) related to conservatism (risk-taking). We also...
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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：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：Beck, Paul J.; Lisowsky, Petro
作者单位：University of Illinois System; University of Illinois Urbana-Champaign
摘要：This study examines the empirical relation between voluntary participation in the Internal Revenue Service's (IRS) Compliance Assurance Process (CAP) audit program, and tax uncertainty disclosed in financial statements pursuant to Financial Interpretation No. 48 (FIN 48). Based on the findings of prior analytical and empirical research, we formulate and test hypotheses about the likelihood of voluntary CAP participation and the resulting effect on FIN 48 tax reserves. We find that firms with m...
