Review of Accounting and Finance: Volume 2 Issue 2

Economic Properties of the Risk Sensitive Criterion for Portfolio Management

Tomasz R. Bielecki, Stanley R. Pliska

The idea of using stochastic control methods for theoretical studies of portfolio management has long been standard, with maximum expected utility criteria commonly being used…

Incremental Value‐Relevance of SFAS 106

Sharad Asthana, Birendra Mishra

This study investigates the incremental value‐relevance of non‐pension postretirement benefit obligations and expenses (disclosed by firms pursuant to SFAS 106). Our study is…

Accounting for Future Tax Assets and Liabilities under CICA Handbook Section 3465

Tao Zeng

This paper explores the value relevant information of future income taxes under The Canadian Institute of Chartered Accountants (CICA) handbook section 3465. CICA handbook section…

What Do Analysts' Stock Recommendations Really Mean?

Catherine A. Finger, Wayne R. Landsman

This paper provides evidence that will help stock market participants interpret sell‐side analyst buy/sell recommendations. We examine whether recommendation levels (e.g. buy…

The Effect of Statement of Financial Accounting Standard 125 on Repurchase Contracts

Jenny Teruya, Hamid Pourjalali

Statement of Financial Accounting Standards No. 125 (SFAS 125), Accounting for Transfers and Servicing of Financial Assets and Extinguishments of Liabilities, introduced a…

Anticipatory Income Smoothing and the Investment Opportunity Set: An Empirical Test of the Fudenberg and Tirole (1995) Model

Ahmed Riahi‐Belkaoui

Fudenberg and Tirole (1995) argue that concern about job security creates an incentive for managers to smooth earnings. Consistent with their model, Defond and Park (1997) show…