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Managerial legal liability coverage and earnings conservatism
16 references·16 citing·34 second hopsampled
Managerial legal liability coverage and earnings conservatism (2008)Managerial legal liability coverage and e…Corporate governance and firm cash holdings in the US (2007)Corporate governance and firm…Financial reporting incentives for conservative accounting: The influence of legal and political institutions (2006)Financial reporting incentive…Earnings quality in UK private firms: comparative loss recognition timeliness (2004)Earnings quality in UK privat…International Corporate Governance and Corporate Cash Holdings (2003)International Corporate Gover…Conservatism in Accounting Part I: Explanations and Implications (2003)Conservatism in Accounting Pa…The relevance of the value-relevance literature for financial accounting standard setting (2001)The relevance of the value-re…The effect of international institutional factors on properties of accounting earnings (2000)The effect of international i…The changing time-series properties of earnings, cash flows and accruals: Has financial reporting become more conservative? (2000)The changing time-series prop…The determinants and implications of corporate cash holdings (1999)The determinants and implicat…The Determinants of Corporate Liquidity: Theory and Evidence (1998)The Determinants of Corporate…The conservatism principle and the asymmetric timeliness of earnings1 (1997)The conservatism principle an…Shareholder Litigation and Corporate Disclosures (1994)Shareholder Litigation and Co…Accounting earnings and cash flows as measures of firm performance (1994)Accounting earnings and cash …Positive Accounting Theory (1985)Positive Accounting TheoryTheory of the firm: Managerial behavior, agency costs and ownership structure (1976)Theory of the firm: Manageria…Risk, Return, and Equilibrium: Empirical Tests (1973)Risk, Return, and Equilibrium…Financial misconduct and employee mistreatment: Evidence from wage theft (2021)Financial misconduct and empl…Does Accounting Conservatism Mitigate the Shortcomings of CEO Overconfidence? (2017)Does Accounting Conservatism …Does Accounting Conservatism Discipline Qualitative Disclosure? Evidence From Tone Management in the MD&A* (2017)Does Accounting Conservatism …Optimal Conservatism with Earnings Manipulation (2016)Optimal Conservatism with Ear…Corporate Governance, Accounting Conservatism, and Manipulation (2016)Corporate Governance, Account…Accounting Conservatism: A Literature Review (2016)Accounting Conservatism: A Li…The implications of research on accounting conservatism for accounting standard setting (2015)The implications of research …Directors' and Officers' Liability Insurance, Corporate Risk and Risk Taking: New Panel Data Evidence on The Role of Directors' and Officers' Liability Insurance (2015)Directors' and Officers' Liab…Directors׳ and officers׳ liability insurance and the cost of equity (2015)Directors׳ and officers׳ liab…Product market competition and conditional conservatism (2014)Product market competition an…Directors' and officers' liability insurance and investment efficiency: Evidence from Taiwan (2014)Directors' and officers' liab…Directors' and officers' liability insurance and loan spreads (2013)Directors' and officers' liab…Advances in Accounting, incorporating Advances in International Accounting (2013)Advances in Accounting, incor…Accounting and litigation risk: evidence from Directors’ and Officers’ insurance pricing (2013)Accounting and litigation ris…Earnings Restatements and Differential Timeliness of Accounting Conservatism (2011)Earnings Restatements and Dif…The Economic Determinants of Conditional Conservatism (2009)The Economic Determinants of …An Empirical Evaluation of Accounting Income Numbers (1968)Dividend Policy under Asymmetric Information (1985)Understanding earnings quality: A review of the proxies, their determinants and their consequences (2010)Efficient Capital Markets: A Review of Theory and Empirical Work (1970)EFFICIENT CAPITAL MARKETS: A REVIEW OF THEORY AND EMPIRICAL WORK* (1970)The Theory of Economic Development (2003)International Accounting Standards and Accounting Quality (2008)On the use of instrumental variables in accounting research (2009)CAPITAL ASSET PRICES: A THEORY OF MARKET EQUILIBRIUM UNDER CONDITIONS OF RISK* (1964)The Behavior of Stock-Market Prices (1965)THE VALUATION OF RISK ASSETS AND THE SELECTION OF RISKY INVESTMENTS IN STOCK PORTFOLIOS AND CAPITAL BUDGETS**This paper is another in a series of interrelated theoretical and statistical studies of corporate financial and investment policies being made under grants from the Rockefeller Foundation, and more recently the Ford Foundation, to the Harvard Business School. The generous support for this work is most gratefully acknowledged. The author is also much indebted to his colleagues Professors Bishop, Christenson, Kahr, Raiffa, and (especially) Schlaifer, for extensive discussion and commentary on an earlier draft of this paper; but responsibility for any errors or imperfections remains strictly his own.[Professor Sharpe's paper, “Capital Asset Prices: A Theory of Market Equilibrium Under Conditions of Risk” (Journal of Finance, September 1964) appeared after this paper was in final form and on its way to the printers. My first section, which parallels the first half of his paper (with corresponding conclusions), sets the algebraic framework for sections II, III and VI, (which have no counterpart in his paper) and for section IV on the equilibrium prices of risk assets, concerning which our results differ significantly for reasons which will be explored elsewhere. Sharpe does not take up the capital budgeting problem developed in section V below.] (1975)Common risk factors in the returns on stocks and bonds (1993)On Persistence in Mutual Fund Performance (1997)Earnings Management During Import Relief Investigations (1991)The Cross-Section of Expected Stock Returns (1992)Detecting Earnings Management. (1995)The Quality of Accruals and Earnings: The Role of Accrual Estimation Errors (2002)Earnings management and investor protection: an international comparison (2003)The Nature of the Firm (1937)The Pricing of Options and Corporate Liabilities (1973)Separation of Ownership and Control (1983)Law and Finance (1998)Earnings management to avoid earnings decreases and losses (1997)The financial reporting environment: Review of the recent literature (2010)Legal Determinants of External Finance (1997)On financial contracting (1979)The information content of losses (1995)Corporate financing and investment decisions when firms have information that investors do not have (1984)The theory and practice of corporate finance: evidence from the field (2001)The Cash Flow Sensitivity of Cash (2004)New Evidence on Measuring Financial Constraints: Moving Beyond the KZ Index (2010)Information asymmetry, corporate disclosure, and the capital markets: A review of the empirical disclosure literature (2001)Performance matched discretionary accrual measures (2005)The economic implications of corporate financial reporting (2005)
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References

  • 1976Theory of the firm: Managerial behavior, agency costs and ownership structure71,441 cited
  • 1973Risk, Return, and Equilibrium: Empirical Tests14,248 cited
  • 1985Positive Accounting Theory5,837 cited
  • 1997The conservatism principle and the asymmetric timeliness of earnings13,988 cited
  • 1999The determinants and implications of corporate cash holdings3,910 cited
  • 2000The effect of international institutional factors on properties of accounting earnings3,198 cited
  • 2003Conservatism in Accounting Part I: Explanations and Implications2,768 cited
  • 1994Accounting earnings and cash flows as measures of firm performance2,584 cited
  • 2004Earnings quality in UK private firms: comparative loss recognition timeliness2,377 cited
  • 2001The relevance of the value-relevance literature for financial accounting standard setting1,741 cited
  • 2007Corporate governance and firm cash holdings in the US1,730 cited
  • 2003International Corporate Governance and Corporate Cash Holdings1,636 cited
  • 2000The changing time-series properties of earnings, cash flows and accruals: Has financial reporting become more conservative?1,374 cited
  • 1994Shareholder Litigation and Corporate Disclosures1,351 cited
  • 1998

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The Determinants of Corporate Liquidity: Theory and Evidence
1,243 cited
  • 2006Financial reporting incentives for conservative accounting: The influence of legal and political institutions1,117 cited
  • Cited by

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    • 2013Advances in Accounting, incorporating Advances in International Accounting157 cited
    • 2021Financial misconduct and employee mistreatment: Evidence from wage theft154 cited
    • 2015Directors׳ and officers׳ liability insurance and the cost of equity152 cited
    • 2011Earnings Restatements and Differential Timeliness of Accounting Conservatism149 cited
    • 2015The implications of research on accounting conservatism for accounting standard setting146 cited
    • 2009The Economic Determinants of Conditional Conservatism144 cited
    • 2016Accounting Conservatism: A Literature Review139 cited
    • 2016Corporate Governance, Accounting Conservatism, and Manipulation136 cited
    • 2017Does Accounting Conservatism Discipline Qualitative Disclosure? Evidence From Tone Management in the MD&A*117 cited
    • 2017Does Accounting Conservatism Mitigate the Shortcomings of CEO Overconfidence?104 cited
    • 2013Accounting and litigation risk: evidence from Directors’ and Officers’ insurance pricing104 cited
    • 2016Optimal Conservatism with Earnings Manipulation101 cited
    • 2015Directors' and Officers' Liability Insurance, Corporate Risk and Risk Taking: New Panel Data Evidence on The Role of Directors' and Officers' Liability Insurance88 cited
    • 2014Directors' and officers' liability insurance and investment efficiency: Evidence from Taiwan86 cited