Results 221 to 230 of about 1,268 (255)

Financial Constraint and Conditional Conservatism

Asia Europe Perspective Association, 2021
This study examines the relationship between financial constraints and conditional conservatism. Previous studies pointed out that the greater the financial constraints, the greater the involvement of managers in financial reporting, and tax avoidance to create cash flows within the firm is performed, which can intensify information asymmetry.
openaire   +1 more source

Identifying Conditional Conservatism

European Accounting Review, 2006
Abstract This paper provides guidance for empiricists interested in measuring conditional conservatism and in interpreting associations of those measures with variables of interest. I begin by discussing the nature and importance of conditional conservatism and surveying the literature identifying conditional conservatism.
openaire   +1 more source

Conditional Conservatism and Accrual Persistence

SSRN Electronic Journal, 2011
Under the conservative accounting principle, unreliable accruals are expected to reflect losses in a timely manner (Guay and Verrecchia 2006) and losses are less persistent (Basu 1997; Ball and Shivakumar 2006). Accordingly, the practice of accounting conservatism may cause lower persistence of unreliable accruals. This paper aims to provide an insight
Yutao Li, Wenjun Zhang
openaire   +1 more source

Evidence of Conditional Conservatism: Fact or Artifact?

SSRN Electronic Journal, 2009
The differential timeliness measure proposed in Basu (1997), which estimates the fraction of observed bad news reported in contemporaneous earnings minus the corresponding fraction for good news, has been used widely to study conditional accounting conservatism.
Panos N. Patatoukas, Jacob K. Kandathil Thomas   +1 more
openaire   +1 more source

Investor Sentiment and Conditional Accounting Conservatism

SSRN Electronic Journal, 2017
This paper investigates the impact of investor sentiment on conditional accounting conservatism. We find that companies recognize economic losses more (less) timely in earnings during periods of high (low) investor sentiment. Further, the sentiment-conservatism relationship is stronger for firms with greater sentiment-price sensitivity, which confirms ...
Rui Ge, Nicholas Seybert, Feida Zhang
openaire   +1 more source

Conditional conservatism and persistence of accrual components

Canadian Journal of Administrative Sciences / Revue Canadienne des Sciences de l'Administration, 2015
AbstractWe examine whether conditional conservatism affects the persistence of accrual components associated with varying degrees of reliability. Using a sample of 102,416 firm‐year observations from 1968 to 2006, we found that conservatism reduces the persistence of more reliable accruals, but not less reliable accruals. Our evidence suggests managers'
Yutao Li, Wenjun Zhang
openaire   +1 more source

Conditional Conservatism, Regulation, and Insolvency Risk

SSRN Electronic Journal, 2020
We develop a new method of assessing conditional conservatism using more detailed data available from the insurance industry. We look at how conditional conservatism affects insolvency risk and the financial strength rating of property-liability (P&L) insurance companies.
openaire   +1 more source

Methodological Conservatism and the Epistemic Condition

2017
The claim that agents are morally responsible for actions the wrongness of which they fail to be aware of only if they are responsible for their occurrent ignorance strikes many philosophers as unacceptable, because it is too revisionary: it entails that many of the everyday judgments that we are disposed to make are false.
openaire   +1 more source

Asset specificity and conditional accounting conservatism

Journal of Business Finance & Accounting, 2018
AbstractAsset specificity, the redeployability of an asset to alternative uses, is a key determinant of an asset's resale value. Asset specificity has a direct impact on a firm's ongoing fair value determination, bankruptcy risk, liquidation value, and abandonment option.
Qingyuan Li, Li Xu
openaire   +1 more source

Accrual Reversal Effect and Conditional Conservatism

SSRN Electronic Journal, 2013
This paper examines the relationship between two salient features embedded in the modern financial accounting information system: accrual reversal and accounting conservatism. This relationship is analyzed using a moral hazard model in a single-period setting and two types of two-period models: pooling and separating.
openaire   +1 more source