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作者：Kim, Jeong-Bon; Zhang, Liandong
作者单位：City University of Hong Kong
摘要：Using a large sample of U.S. firms during 1964-2007, we find that conditional conservatism is associated with a lower likelihood of a firm's future stock price crashes. This finding holds for multiple measures of conditional conservatism and crash risk and is robust to controlling for other known determinants of crash risk and firm-fixed effects. Moreover, we find that the relation between conservatism and crash risk is more pronounced for firms with higher information asymmetry. Overall, our ...
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作者：Lau, Sie Ting; Shrestha, Keshab; Yu, Jing
作者单位：Nanyang Technological University; Monash University; Monash University Malaysia; University of Western Australia
摘要：Using firm-level data from 23 developed markets, we document a positive association between overall firm-level governance quality and the informativeness of earnings announcements measured by abnormal stock return variance. This finding is robust after controlling for the potential endogeneity of firm-level corporate governance. Further analyses reveal that firms with strong governance show little evidence of earnings management, appoint Big 4 auditing firms, and attract analyst following, imp...
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作者：Kachelmeier, Steven J.; Rasmussen, Stephanie J.; Schmidt, Jaime J.
作者单位：University of Texas System; University of Texas Austin; University of Texas System; University of Texas Arlington
摘要：We use information extracted from a major proxy advisory service to test predictions from institutional theory regarding when and why audit committee (AC) members experience turnover because of evidence of ineffective governance. First, we broadly categorize AC ineffectiveness concerns as either (i) financial reporting failures or (ii) characteristics of individual AC members. Institutional theory suggests that the visible nature of the first category is more likely to threaten perceptions of ...
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作者：Hong, Hyun A.; Hung, Mingyi; Zhang, Jieying
作者单位：University of California System; University of California Riverside; Hong Kong University of Science & Technology; University of Texas System; University of Texas Dallas
摘要：This study investigates how the use of debt covenants around the world varies with legal institutions. On the basis of syndicated loans in 36 countries, we find that debt covenants are more prevalent in countries with stronger law enforcement and weaker creditor rights, suggesting that law enforcement facilitates, and creditor rights substitute for, the use of covenants. We also find that the substitution effect between covenant use and creditor rights exists mainly in countries with strong la...
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作者：Luft, Joan; Shields, Michael D.; Thomas, Tyler F.
作者单位：Michigan State University; University of Wisconsin System; University of Wisconsin Madison
摘要：Organizations have often been criticized for reliance on a single item of accounting information (e.g., profit) in evaluating performance, because of its incompleteness. We provide theory-based experimental evidence that under frequently occurring performance-evaluation conditions (subjective performance evaluation, causal ambiguity, and individual differences in cognitive ability, knowledge, and/or motivation that lead to different interpretations of information), reliance on a single item of...
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作者：Cao, Sean Shun
作者单位：University System of Georgia; Georgia State University
摘要：Asset growth has been shown to be negatively associated with future returns. Cooper, Gulen, and Schill (2008) argue that an aggregation of all asset growth components as total asset (TA) growth leads to the strongest association with future negative returns. Based on their study, the literature now employs TA growth as an umbrella proxy for the growth effect. I hypothesize that not all types of growth imply negative future returns. Specifically, I show that growth financed by suppliers is posi...
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作者：Desai, Hemang; Rajgopal, Shiva; Yu, Jeff Jiewei
作者单位：Southern Methodist University; Columbia University; University of Arizona
摘要：In this paper, we address two questions that emerged in the aftermath of the 2008 financial/ banking crisis. First, did the financial statements of bank holding companies provide an early warning of their impending distress? Second, were the actions of four key financial intermediaries (short sellers, equity analysts, Standard and Poor's credit ratings, and auditors) sensitive to the information in the banks' financial statements about their increased risk and potential distress? We find a sig...
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作者：Evans, Mark E.
作者单位：Wake Forest University
摘要：In this paper, I examine the relation between disclosure commitment and cost of equity capital using accelerated earnings announcement disclosures as a measure of commitment. In settings characterized by imperfect market competition, I find that firms which consistently disclose balance sheet detail in relatively timely earnings announcements have lower costs of capital compared to other firms. This result is statistically significant and economically meaningful, and is robust to various alter...
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作者：Francis, Jere R.; Huang, Shawn X.; Khurana, Inder K.
作者单位：University of Missouri System; University of Missouri Columbia; Arizona State University; Arizona State University-Tempe
摘要：This study investigates whether differences in accounting standards across countries create information costs that inhibit firms from investing in foreign markets. Using the frequency and dollar magnitude of cross-border mergers and acquisitions (M&As) from 32 countries over the period 1998-2004, we find that the aggregate volume of M&A activity across country pairs is larger for pairs of countries with similar Generally Accepted Accounting Principles (GAAP), and that this increased volume of ...
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作者：He, Wen; Shan, Yaowen
作者单位：University of New South Wales Sydney; University of Technology Sydney
摘要：This study investigates the time-series trend and determinants of matching between revenues and expenses in a sample of 42 countries. We find that the decline in matching documented by Dichev and Tang (2008) is not unique to the United States, but is a worldwide phenomenon. Our results show that matching is weaker in countries with (i) wider use of accrual accounting; (ii) a larger proportion of firms reporting significant special items; (iii) slower economic growth; (iv) more research and dev...
