Review of Accounting and Finance: Volume 1 Issue 1

The Valuation of European Financial Firms

Jo Danbolt, William Rees

We extend the recent literature concerning accounting based valuation models to investigate financial firms from six European countries with substantial financial sectors: France…

Optimal Financial Reporting and Equity Returns: Evidence from Commercial Banks

Craig E. Lefanowicz, Malcolm J. McLelland

This study develops a hypothesis from asset pricing theory and optimization theory that in a diversified portfolio of equity securities there is no linear relationship between…

Consensus Analysts' Forecasts and Current Price Level

Huai Zhang

This paper attempts to shed light on the issue whether investors' earnings expectations completely align with analysts' forecasts. I find that current price level is not…

What Managers Should Know About Earnings Management — Its Prevalence, Legality, Ethicality, and Does It Work?

Paquita Y. Davis‐Friday, Thomas J. Frecka

The purpose of this paper is to summarize important information for managers, including research evidence related to the prevalence, legality, ethicality and other aspects of…

The Deferred Tax Asset Valuation Allowance and Earnings Quality

Christine C. Bauman, Mark P. Bauman

Extant research examining the determinants of deferred tax asset valuation allowances finds that the evidence provisions outlined in SFAS 109 explain a significant portion of both…

The Impact of Reputation on the Informativeness of Earnings and Accounting Choices

Fouad K. AlNajjar, Ahmed Riahi‐Belkaoui

The article hypothesizes that the level of reputation affects both the informativeness of earnings and the magnitude of discretionary accounting accrual adjustments. The…