摘要:

This study examines effects of four combinations of accounting bases and service levels — GAAP and income tax bases, and audit and review service levels — on loan officers' decisions, both separately and in interaction. It examines effects on loan decisions and perceptions of interest rates, default risk, confidence, and usefulness. The interaction of accounting basis and service level significantly affects perceived confidence but does not affect other decisions. Accounting basis and service level separately affect interest rates, default risk, and report usefulness, but do not affect the loan decis

ISSN:0306-686X    

DOI:10.1111/j.1468-5957.1993.tb00269.x

出版商:Blackwell Publishing Ltd    

年代:1993

数据来源: WILEY

摘要:

This study examines the empirical relation between a three‐way classification of corporate ownership structure and earnings management through the use of extraordinary item (EI) reporting. The EI reporting decisions examined are those made during 1960‐1966, a time period when US reporting standards allowed considerable management discretion with respect to both the classification of EIs and their placement in the financial statements (i.e., income. versus retained earnings statement). Overall, the results provide strong support for income‐increasing behavior by non‐owner managers. Importantly, the results also suggest that the three‐way ownership classification scheme used in this study is superior to the dichotomous owner‐controlled/managercontrolled classification typically used in account

ISSN:0306-686X    

DOI:10.1111/j.1468-5957.1993.tb00270.x

出版商:Blackwell Publishing Ltd    

年代:1993

数据来源: WILEY

摘要:

This study examines the economic performance of target and bidding companies where the target successfully defended a hostile takeover bid in the period 1975–1984. Returns to shareholders in both target and bidding companies are measured for the six months preceding the bid, and for the twenty‐four months after the bid. The study finds that the significant gains obtained by shareholders in the target company around the time of the bid announcement are not lost after the failure of the bid. In apparent defiance of the efficient market hypothesis abnormal returns continue for the two years after the bid. As for the bidding company, the small positive abnormal returns to its shareholders are also sustained after the

ISSN:0306-686X    

DOI:10.1111/j.1468-5957.1993.tb00271.x

出版商:Blackwell Publishing Ltd    

年代:1993

数据来源: WILEY

摘要:

This paper reports the results of a survey of disclosure in the annual reports of unlisted and listed corporations in Japan, a country that many argue has a unique environment. The paper attempts to investigate differences between companies in the extent of disclosure in their Commercial Code (CC) and Securities and Exchange Law (SEL) accounts respectively. The survey finds that there is a significant difference in disclosure by multiple listed companies in their CC accounts compared with domestically listed corporations and unlisted enterprises. It is also found that there is a significant difference in disclosure between multiple listed and domestically listed entities in their SEL accounts. However, there was no significant difference in disclosure between the TSE (Tokyo Stock Exchange) group and the unlisted group in their CC accounts.

ISSN:0306-686X    

DOI:10.1111/j.1468-5957.1993.tb00272.x

出版商:Blackwell Publishing Ltd    

年代:1993

数据来源: WILEY

摘要:

This paper incorporates the findings of empirical classification patterns of financial ratios to studies investigating the relation between stock returns and financial factors of a firm. The empirical results indicate that the relevant information of the investigated financial characteristics of a firm can be presented in one factor, with respect to which single financial ratios seem not to have incremental information content in the Finnish stock market. In crossindustry sample this factor is reported to be leverage. However, when studying purely industrial firms, the most important factor consists of ratios representing several a priori characteristics of a firm.

ISSN:0306-686X    

DOI:10.1111/j.1468-5957.1993.tb00273.x

出版商:Blackwell Publishing Ltd    

年代:1993

数据来源: WILEY

摘要:

This paper uses Regret Theory to explain some survey results on managers' dividend policy decisions under uncertainty. Regret Theory suggests that when an individual chooses an action from a number of uncertain alternatives, his decision is influenced by the potential post‐decision regret (pride) he feels on his inabilty (ability) to select the option with the best outcome. Based on this premise, we argue that (1) the decision to pay dividends and simultaneously raise venture capital from external sources is attributable to managerial aversion for regret at the failure of a risky investment opportunity implemented with internal funds generated by a conservative dividend policy; and (2) the decision to support dividends with borrowed funds when earnings are declining is motivated by the prospect that an improvement in the firm's financial condition will make the managers proud that their judgment has helped avert a potential crisis for the firm without any wealth loss to its shareholder

ISSN:0306-686X    

DOI:10.1111/j.1468-5957.1993.tb00274.x

出版商:Blackwell Publishing Ltd    

年代:1993

数据来源: WILEY

摘要:

The effects of resource allocation on firms comprising the competitive economy are examined within the structure of a simple general equilibrium model. The study shows that capital structure of a firm is independent of its value, — a result that can be characterized as the mirror‐image of the celebrated Modigliani‐Miller proposition. The structure of present analysis highlights how costs of capital assets change, what affects the prices of the firms, and how these changes are reflected in the operations of the firms in an overall economic set up. The paper then establishes that if debt is increased, and the (relatively) levered firm expands, its stock price goes up and the (relatively) less levered firm shrinks and moves in the opposite direction in all respects. The appropriate conditions for profitable leveraged buyout are spelled out, and other conditions are also specified as to when merger is unprofitable. Finally, the paper is concluded with some thoughts on possible future research along the lines outlined in this

ISSN:0306-686X    

DOI:10.1111/j.1468-5957.1993.tb00275.x

出版商:Blackwell Publishing Ltd    

年代:1993

数据来源: WILEY

摘要:

This study examines the behavior of the firm which faces uncertainty in demand but can adjust its output once the uncertainty is resolved, using contingentclaims analysis. The paper finds that (i) the optimal output of the firm withex postadjustment capability is less than that of the firm without production flexibility; (ii) the optimalex anteoutput increases with the higher interest rate; (iii) the greater the marginal cost associated with the expost adjustment and/or salvage value, the greater the optimalex anteoutput; and (iv) the effect of demand volatility and production lead time on the optimalex anteoutput could be either positive or negative. Based upon the study's findings, some important managerial decision implications are discussed.

ISSN:0306-686X    

DOI:10.1111/j.1468-5957.1993.tb00276.x

出版商:Blackwell Publishing Ltd    

年代:1993

数据来源: WILEY

摘要:

It is demonstrated that the discount rate for taxes in the traditional formula for the after‐tax cost of debt is misspecified for the UK situation. Several new formulae are derived for the after‐tax costs for specific periods, including the accounting period and the tax lag. Iterative solution methods are not requi

ISSN:0306-686X    

DOI:10.1111/j.1468-5957.1993.tb00277.x

出版商:Blackwell Publishing Ltd    

年代:1993

数据来源: WILEY

摘要:

This paper examines the overall wealth effects of selloffs. When sellers and buyers are examined separately, abnormal returns are found around the announcement days. However, a combination of matched‐pair buyers and sellers in value‐weighted portfolios wipes out these gains. In a sample of 182 selloff portfolios, 93 of them experience positive returns while the remaining 89 cases face negative price reactions. These results cast doubt on the conclusion that selloff activity is generally synergistic. In addition, a large size difference is found between buyers and sellers. Large buyers win more often than small buyers. Small sellers win more often than large sellers. Our results show that when examining selloffs for synergy equally‐weighted results can be b

ISSN:0306-686X    

DOI:10.1111/j.1468-5957.1993.tb00278.x

出版商:Blackwell Publishing Ltd    

年代:1993

数据来源: WILEY