Review of Accounting Studies

最新文章

• A Standard setter's framework for selecting between fair value and historical cost measurement attributes: a basis for discussion of Does fair value accounting for nonfinancial assets pass the market test? AI翻译
  作者：Linsmeier, Thomas J.
  摘要：This paper describes an income-statement-focused framework for selecting between between the fair value and historical cost measurement attributes that differs from the balance-sheet-focused relevance versus reliability tradeoff perspective that is common to most academic research. This income-statement-focused framework is then applied to the Christensen and Nikolaev setting in Rev Account Stud 18(3), (2013) to suggest that most of the study's findings are not surprising and can be explained ...
• Removing predictable analyst forecast errors to improve implied cost of equity estimates AI翻译
  作者：Mohanram, Partha; Gode, Dan
  作者单位：University of Toronto; New York University
  摘要：Prior research documents a weak association between the implied cost of equity inferred from analyst forecasts and realized returns. It points to predictable errors in analyst forecasts as a possible cause. We show that removing predictable errors from analyst forecasts leads to a much stronger association between implied cost of equity estimates obtained from adjusted forecasts and realized returns after controlling for cash flow news and discount rate news. An estimate of implied risk premiu...
• Terminal valuations, growth rates and the implied cost of capital AI翻译
  作者：Ashton, David; Wang, Pengguo
  作者单位：University of Bristol; University of Exeter
  摘要：We develop a model based on the notion that prices lead earnings, allowing for a simultaneous estimation of the implied growth rate and the cost of equity capital for US industrial sectors. The major difference between our approach and that in prior literature is that ours avoids the necessity to make assumptions about terminal values and consequently about future growth rates. In fact, growth rates are an endogenous variable, which is estimated simultaneously with the implied cost of equity c...
• Management forecast credibility and underreaction to news AI翻译
  作者：Ng, Jeffrey; Tuna, Irem; Verdi, Rodrigo
  作者单位：Singapore Management University; University of London; London Business School; Massachusetts Institute of Technology (MIT)
  摘要：In this paper, we first document evidence of underreaction to management forecast news. We then hypothesize that the credibility of the forecast influences the magnitude of this underreaction. Relying on evidence that more credible forecasts are associated with a larger reaction in the short window around the management forecasts and a smaller post-management forecast drift in returns, we show that the magnitude of the underreaction is smaller for firms that provide more credible forecasts. Ou...
• Using earnings conference calls to identify analysts with superior private information AI翻译
  作者：Mayew, William J.; Sharp, Nathan Y.; Venkatachalam, Mohan
  作者单位：Duke University; Texas A&M University System; Texas A&M University College Station; Mays Business School
  摘要：We examine the extent to which analysts who participate in earnings conference calls by asking questions possess superior private information relative to analysts who do not ask questions. Using a large sample of earnings conference call transcripts over the period 2002-2005, we find that annual earnings forecasts issued immediately after a conference call are both more accurate and timelier for participating analysts relative to nonparticipating analysts. These results hold after controlling ...
• Optimal versus suboptimal choices of accounting expertise on audit committees and earnings quality AI翻译
  作者：Bryan, Daniel; Liu, M. H. Carol; Tiras, Samuel L.; Zhuang, Zili
  作者单位：University of Washington; University of Washington Tacoma; Louisiana State University System; Louisiana State University; Chinese University of Hong Kong
  摘要：By employing a Heckman two-stage selection model, we identify whether employing a financial expert with or without accounting expertise on the audit committee is optimal and how earnings quality varies across these optimal and suboptimal choices. Using four earnings quality measures (informativeness, timely loss recognition, earnings persistence, and accruals quality), we find no differences in earnings quality between firms optimally choosing an expert with or without accounting expertise, co...
• Unconstrained estimates of the equity risk premium AI翻译
  作者：Fitzgerald, Tristan; Gray, Stephen; Hall, Jason; Jeyaraj, Ravi
  作者单位：University of Queensland
  摘要：Estimates of the equity risk premium implied by analyst forecasts-generally 2-4 %-are often significantly below realized equity returns of 6 %. Measurement error could result from conservative assumptions, reliance upon consensus rather than detailed forecasts, the use of market rather than target prices, and regression analysis, which can be influenced by a small number of observations. We address these potential sources of measurement error. Our estimates are consistent with subsequently rea...
• Why do pro forma and Street earnings not reflect changes in GAAP? Evidence from SFAS 123R AI翻译
  作者：Barth, Mary E.; Gow, Ian D.; Taylor, Daniel J.
  作者单位：Stanford University; Harvard University; University of Pennsylvania
  摘要：This study examines how key market participants-managers and analysts-responded to SFAS 123R's controversial requirement that firms recognize stock-based compensation expense. Despite mandated recognition of the expense, some firms' managers exclude it from pro forma earnings and some firms' analysts exclude it from Street earnings. We find evidence consistent with managers opportunistically excluding the expense to increase earnings, smooth earnings, and meet earnings benchmarks but no eviden...
• Using residual income to refine the relationship between earnings growth and stock returns AI翻译
  作者：Balachandran, Sudhakar; Mohanram, Partha
  作者单位：Columbia University
  摘要：We use residual income ( RI) to decompose earnings growth into growth in RI, growth in invested capital and other components and use this decomposition to explain stock returns. Our approach provides a significant increase in explanatory power vis-a-vis a regression of returns on levels and changes in earnings. While the market values growth in RI more than growth in invested capital, it still undervalues growth in RI and overvalues growth in invested capital. Earnings growth from growth in RI...
• Do initial public offering firms manage accruals? Evidence from individual accounts AI翻译
  作者：Cecchini, Mark; Jackson, Scott B.; Liu, Xiaotao
  作者单位：University of South Carolina System; University of South Carolina Columbia; Northeastern University
  摘要：We examine whether initial public offering (IPO) firms exercise discretion over an individual accrual account on the balance sheet-the allowance for uncollectible accounts-and an individual accrual account on the income statement-bad debt expense. Our research design exploits a unique disclosure requirement related to these accounts (i.e., the ex post disclosure of write-offs of uncollectible accounts), which enables us to develop refined expectation models. We provide evidence that IPO firms ...