Review of Accounting Studies

最新文章

• Naming as business strategy: an analysis of eponymy and debt contracting AI翻译
  作者：Chen, Chen; Song, Michelle; Truong, Cameron; Zhang, Jin
  作者单位：Monash University
  摘要：This study proposes that naming a firm eponymously is a mechanism that small private firms can use to signal their superior financial performance and commitment to fulfill debt contract obligations. Using 621,614 small private firms in Europe over the period 2008-2018, we find that small private eponymous firms pay significantly lower interest on their debts and have more long-term debt than non-eponymous firms. Our findings are robust to various controls and placebo tests. Additional analyses...
• Does firm life cycle stage affect investor perceptions? Evidence from earnings announcement reactions AI翻译
  作者：Fodor, Andy; Lovelace, Kelley Bergsma; Singal, Vijay; Tayal, Jitendra
  作者单位：University System of Ohio; Ohio University; University System of Ohio; Ohio University; Virginia Polytechnic Institute & State University; University System of Ohio; Ohio University
  摘要：This paper argues that firms in certain life cycle stages may be more subjectively valued by individual investors, leading to an optimistic bias in stock prices that is subsequently corrected upon the release of earnings news. Using a cash flow-based life cycle stage classification, introduction and decline stage companies exhibit three-day cumulative abnormal returns (CARs) around earnings announcements that are at least 112 bps lower than firms in growth, maturity, and shake-out stages. Spec...
• National culture and analysts' forecasting AI翻译
  作者：Cao, Ying; Hao, Rubin; Yang, Yong George
  作者单位：Chinese University of Hong Kong; University of Macau
  摘要：We examine how the culture of origin of sell-side financial analysts in the United States influences their forecasting. We find that analysts from individualistic cultures are more likely to issue bold earnings forecasts and stock recommendations than analysts from collectivist cultures. Individualistic (collectivist) analysts' tendency to overweight (underweight) their private information at least partly explains the results. The effect of culture decreases with the analysts' professional ski...
• Bankruptcy in groups AI翻译
  作者：Beaver, William H.; Cascino, Stefano; Correia, Maria; McNichols, Maureen F.
  作者单位：Stanford University; University of London; London School Economics & Political Science
  摘要：We examine bankruptcy within business groups. Groups have incentives to support financially distressed subsidiaries, as the bankruptcy of a subsidiary may impose severe costs on the group as a whole. This is in part because, in several countries, bankruptcy courts often pierce the corporate veil and hold groups liable for their distressed subsidiaries' obligations as if they were their own. Using a large cross-country sample of group-affiliated firms, we show that, by reallocating resources wi...
• Did FIN 48 improve the mapping between tax expense and future cash taxes? AI翻译
  作者：Gleason, Cristi A. A.; Markle, Kevin S. S.; Song, Jane Z. Z.
  作者单位：University of Iowa; Michigan State University; Michigan State University's Broad College of Business; University System of Georgia; University of Georgia
  摘要：The Financial Accounting Standards Board introduced FIN 48 (ASC 740-10) to increase relevance and comparability in the reporting of uncertain tax positions. The extant literature has found mixed results when examining the effects of FIN 48 using research designs that lack a counterfactual. Using a difference-in-differences design, we examine the effect of FIN 48 on the mapping between GAAP tax expense and future cash taxes paid over the next three years. We find that the mapping for US firms i...
• The interdependence between market structure and the quality of audited reports: the case of non-audit services AI翻译
  作者：Bleibtreu, Christopher; Stefani, Ulrike
  作者单位：BI Norwegian Business School; University of Konstanz
  摘要：This paper addresses the effects of a prohibition of providing non-audit services (NAS) to audit clients. By combining a strategic auditor-client game with a circular market-matching model that has an endogenous number of auditors, we take into account the interdependence between the auditors' and clients' incentives, the market structure, and the quality of audited reports. We show that the regulation's effects depend on the preexisting audit market concentration and the types of blacklisted ...
• The role of external regulators in mergers and acquisitions: evidence from SEC comment letters AI翻译
  作者：Liu, Tingting; Shu, Tao; Towery, Erin; Wang, Jasmine
  作者单位：Iowa State University; The Chinese University of Hong Kong, Shenzhen; University System of Georgia; University of Georgia; University of Virginia
  摘要：This study examines the role of the Securities and Exchange Commission (SEC) in mergers and acquisitions (M&As) involving publicly traded target firms. We find that deals receiving comment letters have an increased likelihood of deal completion and deal price revision, consistent with the SEC review process reducing information asymmetry, albeit at the cost of delaying the M&A process. Further analyses suggest that the SEC review process generates new value-relevant information via firms' disc...
• Differences in the value relevance of identifiable intangible assets AI翻译
  作者：King, Zachary; Linsmeier, Thomas J.; Wangerin, Daniel D.
  作者单位：University of Wisconsin System; University of Wisconsin Madison
  摘要：Motivated by investor criticisms of current accounting standards, this study investigates whether differences exist in how acquired identifiable intangible assets relate to investors' expectations about the entity's cash flow prospects. Some investors assert that all acquired intangibles should be subsumed within goodwill, while others prefer separate recognition of identifiable intangibles only when they are strategically important sources of future cash flows. Still other investors call for ...
• The initial effect of US tax reform on foreign acquisitions AI翻译
  作者：Amberger, Harald J.; Robinson, Leslie
  作者单位：Vienna University of Economics & Business; Dartmouth College
  摘要：The Tax Cuts and Jobs Act (TCJA) of 2017 marked a significant change in U.S. domestic and international tax policy, altering incentives for U.S. firms to own foreign assets. We examine the initial response of U.S. firms' foreign acquisition patterns to the TCJA's key reform provisions. We find a significant overall decrease in the probability that a foreign target is acquired by a U.S. firm after the reform, suggesting that the net effect of the TCJA was to reduce acquisitions abroad. Cross-se...
• Representations and warranties insurance in mergers and acquisitions AI翻译
  作者：Even-Tov, Omri; Ryans, James; Solomon, Steven Davidoff
  作者单位：University of California System; University of California Berkeley; University of London; London Business School; University of California System; University of California Berkeley
  摘要：To mitigate information asymmetry in acquisitions, the seller makes contractual representations and warranties (referred to as R&W or reps) about the state of the target, such as attesting to the accuracy of the target's financial statements. While seller indemnities allow buyers to impose costs due to breaches in the reps discovered after the deal's close, these indemnities involve significant contracting costs. To mitigate these costs, the acquisition parties have increasingly turned to purc...