Results 251 to 260 of about 52,974 (284)

Discretionary Accruals and the Emergence of Profitability

Journal of Accounting, Auditing & Finance, 2009
This study examines discretionary accruals associated with firms' reaching profitability after a series of quarterly losses. As firms approach profitability, we posit they will be characterized with less income increasing discretion given the reversing nature of accruals. We find results consistent with this expectation.
Michael Mosebach, Paul J. Simko
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Entropy-Balanced Discretionary Accruals

SSRN Electronic Journal, 2015
Extant research in accounting raises issues with the specification and power of discretionary accrual measures. We propose entropy balancing, a recently developed matching technique, as a means to improve the measurement of a normal accrual. Entropy balancing identifies weights for each control sample observation such that the distributions of ...
Jeff L. McMullin, Bryce Schonberger
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Industry-Specific Discretionary Accruals and the Accrual Anomaly

SSRN Electronic Journal, 2012
I motivate and implement a methodology that decomposes a firm’s discretionary accruals into a firm-specific and an industry-specific component. I find that the “accruals anomaly” (Sloan 1996) – the finding that firms with high discretionary accruals subsequently earn negative abnormal returns – is driven by firm-specific discretionary accruals.
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The Stewardship Role of Analyst Forecasts, and Discretionary Versus Non-discretionary Accruals

European Accounting Review, 2011
We examine the interaction between discretionary and non-discretionary accruals in a stewardship setting. Contracting includes multiple rounds of renegotiation based on contractible accounting information and non-contractible but more timely non-accounting information.
Christensen, Peter Ove, Frimor, Hans, Sabac, Florin   +2 more
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Corporate cash savings and discretionary accruals

China Finance Review International, 2020
PurposeThis paper assesses how discretionary accruals (DAs) affect corporate cash savings policies and the motivation behind this cash saving behavior and, also whether the linkage between DAs and cash saving affect the market-perceived cash value.Design/methodology/approachWe construct the measure of DAs using the previous five-year average ...
Jianjun Jia, Lili Shao, Zhenzhen Sun, Fang Zhao   +3 more
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The Association of Preaudit Engagement Risk with Discretionary Accruals

Journal of Accounting, Auditing & Finance, 2007
In an archival study of audits by multiple offices of three international audit firms, we examine whether preaudit engagement risk assessments made by the auditor are associated with estimated postaudit discretionary accruals. We find that preaudit engagement risk is significantly and positively associated with the estimated level of discretionary ...
Mock, T.J., Turner, J, Manry, D.
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Auditor characteristics and the pricing of discretionary accruals

International Journal of Economics and Accounting, 2013
This study examines whether the investors’ interpretation of discretionary accruals is impacted by auditor characteristics, namely auditor industry specialisation, the auditor/client economic bonding, and auditor tenure. The empirical results confirm our argument that investors do not perceive audit quality to be uniform within the Big 4 auditors. They
Wael Aguir, Sharad Asthana, Linxiao Liu
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Discretionary Accruals, Earnings Management, and Earnings Benchmarks

SSRN Electronic Journal, 2005
This study examines whether firms just above and just below three earnings benchmarks (loss avoidance, earnings changes, and analyst forecast) have differing levels of discretionary accruals. If discretionary accruals are a measure of earnings management, then firms above (benchmark beaters) and firms below a benchmark should have differing levels of ...
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Two essays on discretionary accruals

2014
This paper investigates whether managers manipulate accruals to help their firms emerge from Chapter 11 reorganization. Chapter 11 reorganization provides a very strong incentive: managers will lose their jobs or even their career if the firms are liquidated.
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Discretionary Accounting Accruals, Managers' Incentives and Audit Fees

Contemporary Accounting Research, 2003
This paper examines the linkages between discretionary accruals (DAs), managerial share ownership, management compensation and audit fees. It draws on the theory that managers of firms with high management ownership are likely to use DAs to communicate value relevant information while managers of firms with high accounting-based compensation are likely
Ferdinand A. Gul, Charles J. P. Chen, Judy S. L. Tsui   +2 more
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