摘要:

This study examines the demand for audits in the pre‐SEC period in the United States. We focus on three hypotheses ‐ monitoring, information, and capital formation ‐ to test the economic incentives prior researchers have posited led to demand for audits. We compare a sample of companies traded in three non‐NYSE markets (unregulated) to a sample of NYSE listed companies (regulated). We found that the need to raise capital did increase use of audits, but that neither the monitoring nor information hypotheses explain this early demand. Common stock ratings appeared to be a cost‐effective alternative to audits and we found little evidence that audits improved the quality of financia

ISSN:0306-686X    

DOI:10.1111/j.1468-5957.1994.tb00341.x

出版商:Blackwell Publishing Ltd    

年代:1994

数据来源: WILEY

摘要:

This paper measures the alterations that have occurred in equity market correlations for six major internationally active stock exchanges between 1980 and 1987. The markets are chosen so as to allow for geographical diversity while still accounting for almost ninety percent of total worldwide equity market capitalization. The VAR variance decomposition technique is used to measure intermarket linkage patterns. We find substantial alterations in intermarket linkage patterns occurring over the 1980s. While the US market (the New York Stock Exchange) is still the dominant financial force in world equities trading, other markets (particularly those in the Pacific Basin region) now account for an increasing impact on observed index correlations in the system. This paper suggests that world financial integration is, in part, responsible for the altered linkage patterns observed over the 1980s.

ISSN:0306-686X    

DOI:10.1111/j.1468-5957.1994.tb00342.x

出版商:Blackwell Publishing Ltd    

年代:1994

数据来源: WILEY

摘要:

This paper seeks to understand the professionalisation project of accountants by historically ‘following’ the organised, contingent interests of state agencies, professional elites, business and community organisations. Drawing upon recent research on the accounting profession that is grounded in the work of Weber, Marx and Foucault, professions are seen as self‐interested transnational collec‐tives whose internal modes of membership control and external relationships with other organised interests are both structured and subject to continual renegotiation and change. This particular framing of professional associations is illustrated by documenting the emergence of the Australian Public Sector Accounting Standards Board

ISSN:0306-686X    

DOI:10.1111/j.1468-5957.1994.tb00343.x

出版商:Blackwell Publishing Ltd    

年代:1994

数据来源: WILEY

摘要:

This paper develops an instrumental variables framework to form a better proxy for earnings forecast errors. The key aspect of the approach is to extract information from alternative proxies for the same underlying variable, namely a portion of realized earnings signals unexpected by the market. We use signs of various proxies for earnings forecast errors obtained from different time‐series forecasting models as multiple instruments. The results show that the instrumental variables approach is effective for reducing measurement errors inherent in various proxies for earnings forecast errors. It produces not only a smaller magnitude but also a narrower dispersion of earnings forecast errors. The paper provides evidence that the instrumental variables approach performs better for small‐firm samples than for large‐firm samples. Finally, we observe that analysts’ forecast errors seasoned with the signs of various time‐series forecast errors (as well as the signs of their own forecast errors) outperform those without seasoning. This indicates that analysts’ forecast errors can still be improved by employing the instrumental variable

ISSN:0306-686X    

DOI:10.1111/j.1468-5957.1994.tb00344.x

出版商:Blackwell Publishing Ltd    

年代:1994

数据来源: WILEY

摘要:

The present paper addresses the problem of estimating returns on financial instruments when there is incomplete information about the instrument's cash flows. Two return metrics are analysed; namely, the money‐weighted return and the time‐weighted return. Returns are usually reported in the financial media on a money‐weighted basis. However, there is increasing evidence that returns measured on a time‐weighted basis are more appropriate for the evaluation of financial performance. The present note outlines the relationship between the two return metrics and examines some estimation procedures which may

ISSN:0306-686X    

DOI:10.1111/j.1468-5957.1994.tb00345.x

出版商:Blackwell Publishing Ltd    

年代:1994

数据来源: WILEY

摘要:

Information Asymmetry is usually assumed in most explanations of the underpricing of initial public offerings (IPOs). In Baron's (1982) model, the underwriter is better informed than the issuing firm concerning the demand for the IPO. The greater uncertainty associated with the demand will lead to a greater underpricing due to the enhanced value of the underwriter's expertise. In the case that the issuer is also an informed investment banker, Baron's hypothesis predicts no underpricing. Our results based on Canadian investment bankers do not support Baron's hypothesis.

ISSN:0306-686X    

DOI:10.1111/j.1468-5957.1994.tb00346.x

出版商:Blackwell Publishing Ltd    

年代:1994

数据来源: WILEY

摘要:

The US 1986 Tax Reform Act (TRA) contains several tax provisions affecting many areas of corporate finance including lease financing. One of the more important provisions is the Alternative Minimum Tax (AMT) which determines an alternative in addition to the usual tax computation, and consequently results in a new lessee‐lessor tax‐asymmetry. To investigate the overall impact on the net advantage of leasing (NAL) of both the AMT and the other relevant provisions of the TRA, a leasing model is developed which incorporates these tax provisions. In the context of this leasing model, the following results are derived. When the AMT provision does not apply, the Tax Reform Act (TRA) reduces substantially the net advantage of leasing (NAL) over buying. In contrast, the effect of the AMT symmetry is positive. As a result, the combined effect of the AMT and the other changes in the TRA on the NAL is negligible for property class of assets of the more common length of time (about ten years), but becomes negative for real‐property type of a

ISSN:0306-686X    

DOI:10.1111/j.1468-5957.1994.tb00347.x

出版商:Blackwell Publishing Ltd    

年代:1994

数据来源: WILEY