Article2015

The volatility of comprehensive income and its association with market risk

33 citations0/0 files storedAccounting and Finance

No readable copy stored yet — this record is metadata only.

No open-access location is known for this record yet.

Literature note Cite in a project Citation map

Auditing, Earnings Management, Governance Accounting Theory and Financial Reporting Financial Reporting and Valuation Research

Abstract

Abstract Financial statement preparers claim that the ‘excess’ volatility of comprehensive income (CI) confuses financial statement users. We examine the volatility and risk relevance of CI, relative to net income, for a sample of 92 New Zealand nonfinancial firms for the period 2003–2010. The results show that CI is more volatile than net income. However, the volatility of CI incremental to net income is not related to market risk. Furthermore, the incremental volatility of CI does not modify the pricing of net income. These results hold when asset revaluations are excluded from other CI.

Paper brief

Loading…

Cite this work

Citation unavailable for this work.

BibTeX RIS CSL-JSON

No public copy is stored for this record, so only the metadata is cited.

Citations in this library

Citation map →

Stored only when both papers are in the corpus — 33 citations exist upstream.

References

1995Earnings, Book Values, and Dividends in Equity Valuation*2006International Differences in the Cost of Equity Capital: Do Legal Institutions and Securities Regulation Matter?1972THE EFFECT OF THE FIRM'S CAPITAL STRUCTURE ON THE SYSTEMATIC RISK OF COMMON STOCKS 1988An Explanation for Accounting Income Smoothing 1974On the Association Between Operating Leverage and Risk 1999Is comprehensive income superior to net income as a measure of firm performance?2010International Accounting Standards Board 1981Smoothing income numbers : objectives, means, and implications

Cited by

2020The role of derivative instruments on risk relevance from emerging market non-financial companies 2021The Effect of Net Income and Other Comprehensive Income on Future’s Comprehensive Income With Attribution of Comprehensive Income as Moderating Variable 2022Pengaruh Fundamental Makro Ekonomi terhadap Penghasilan Komprehensif Lain dan Persistensi Laba Komprehensif 2020Value Relevance of Comprehensive Income for the Canadian Market *

Explore the map →

Papers that cite the same references — the relational fallback while embeddings are still backfilling.

Imported from OpenAlex (CC0) — nothing here is generated.