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作者：Gao, Yu; Smith, Abbie; Wang, Xue
作者单位：University of St Thomas Minnesota; University of Chicago; University System of Ohio; Ohio State University
摘要：We investigate whether hedge funds (HFs) undertake activism in the corporate bond market. Although there is a growing empirical literature investigating HF activism in the equity market, we know little about the role of HF activists in the corporate bond market. The empirical setting is the active enforcement of bondholders' rights during 2003-2007, triggered by issuers' violation of a standard bond covenant requiring timely financial reporting. Using HF holding data of convertible bonds in Fo...
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作者：Couchoux, Oriane; Malsch, Bertrand
作者单位：Universite de Montreal; HEC Montreal; Queens University - Canada
摘要：In this study, we examine auditors' claims of professional disempowerment and strategic responses to Canadian Public Accountability Board (CPAB) inspections. Our research is based primarily on 27 semistructured interviews with audit partners (23) and managers (4) of large accounting firms. Drawing on key insights from institutional theory, we show that the tensions between inspectors and auditors reflect an intraprofessional tug-of-war between two competing but legitimate logics of professiona...
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作者：Chang, Hsihui; Dai, Xin; Lohwasser, Eric; Qiu, Yue
作者单位：Drexel University; Colorado State University System; Colorado State University Fort Collins; Pennsylvania Commonwealth System of Higher Education (PCSHE); Temple University
摘要：This study examines how organized labor affects selling, general, and administrative (SG&A) cost behavior. Human capital is emerging as firms' most valuable asset, and we further the understanding of the interaction between employees and SG&A cost behavior. We predict and find that labor cost stickiness is higher for firms facing stronger unions, but the stickiness of SG&A costs is lower. This is consistent with our arguments that in firms with stronger unions, managers' discretionary decision...
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作者：Baugh, Matthew; Kim, Kyonghee; Lee, Kwang J.
作者单位：Arizona State University; Arizona State University-Tempe; Michigan State University
摘要：Prior research suggests that even for the same decision task there will be variation in decision outcomes across decision makers due to idiosyncrasies in their styles. This variation brings up a fundamental challenge in the realm of regulations, where consistency of application is of great importance. This study examines whether the idiosyncrasies of individual employees of the SEC contribute to inconsistent regulatory outcomes. Using a sample of SEC comment letters, we show that SEC reviewers...
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作者：Dunn, Ryan T.; Lundstrom, Nathan G.; Wilkins, Michael S.
作者单位：Auburn University System; Auburn University; University of Kansas
摘要：Recent amendments to Auditing Standard (AS) 3101 require disclosure of the initial year of the auditor-client relationship in the audit report. As the standard was being discussed, auditors, clients, and some PCAOB members expressed reservations about the necessity of tenure disclosures and were particularly concerned about disclosing tenure in the audit report. Our purpose is to investigate whether the tenure disclosures mandated by AS 3101 are associated with changes in stakeholder behavior....
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作者：Hwang, Iny; Jung, Taejin; Lee, Woo-Jong; Yang, Daniel G.
作者单位：Seoul National University (SNU); Audencia; Shenzhen University; University System of Ohio; Ohio State University
摘要：We study manufacturing firms' asymmetric inventory investment in response to sales changes. Focusing on the costs of resource adjustment and stockout that likely differ in sales-increasing and sales-decreasing periods, we predict and find that inventory investment declines less during periods with sales decreases than it rises during periods with sales increases. We validate this claim by showing that managers' expectations of future demand and desire to avoid inventory stockouts are important...
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作者：Chung, Heesun; Choi, Sunhwa; Jung, Woon-Oh
作者单位：Sejong University; Seoul National University (SNU)
摘要：Although prior studies provide evidence on the financial reporting incentives to inflate core earnings through classification shifting (e.g., shifting core expenses to income-decreasing noncore items), few examine the tax-related incentive to report lower core earnings through classification shifting. We examine the effect of controlling shareholders' tax incentives on firms' classification shifting using the introduction of a tax law in Korea that imposes a gift tax on controlling shareholder...
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作者：Chen, Jerry W.; Zhou, Jing
作者单位：University of Auckland; Shanghai University
摘要：We investigate whether Article 11 pro forma financial information assists investors in valuing IPOs. While the SEC expects it to be helpful in assisting investment decisions, Article 11 pro forma financial information is based on registrants' understanding and assumptions, and registrants can exercise their own judgment when preparing pro forma financial statements. It is therefore an empirical question whether the information contained in pro forma financial statements is useful to investors....
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作者：Holzman, Eric R.; Miller, Brian P.; Williams, Brian M.
作者单位：University System of Ohio; Ohio State University; Indiana University System; Indiana University Bloomington
摘要：This study documents a spillover effect of accounting fraud by showing that after the revelation of accounting misconduct, there is an increase in financially motivated neighborhood crime (robberies, thefts, etc.) in the cities where these misconduct firms are located. We find that more visible accounting frauds (e.g., greater media attention and larger stock price declines) are more strongly associated with a future increase in financially motivated neighborhood crime. We also find that the a...
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作者：Fan, Zhongwen; Radhakrishnan, Suresh; Zhang, Yuan
作者单位：University of Hong Kong; University of Texas System; University of Texas Dallas
摘要：We examine the causal effects of corporate governance on earnings management using shareholder-sponsored proposals that pass or fail by a small margin of votes in annual shareholder meetings. This setting provides a causal estimate that overcomes concerns of endogeneity. Specifically, compared with firms whose shareholder proposals fall just short of a majority threshold, firms whose shareholder proposals narrowly pass have similar characteristics but a discretely higher likelihood of implemen...
