Showing papers in "Journal of Accounting and Economics in 1989"

TL;DR: In this article, the authors predict and document evidence that the earnings response coefficient is a function of riskless interest rates and the riskiness, growth and/or persistence of earnings.

TL;DR: This paper examined the major determinants of the number of analysts following a firm and proposed a simple model of analyst following and several firm characteristics are suggested that are likely to influence the extent of a firm's analyst following by either affecting the aggregate demand for or supply of analyst services or both for the firm.

TL;DR: In this paper, the authors performed a financial statement analysis that combines a large set of financial statement items into one summary measure which indicates the direction of one-year-ahead earnings changes.

TL;DR: In this article, a random coefficient regression model is used to interpret multiple regression models that relate abnormal returns to unexpected earnings and other information variables, and the results show that the model is consistent with these predictions.

TL;DR: The authors analyzes economic characteristics of firms that correct previously reported quarterly earnings and finds that the sample (correcting) firms are smaller, less profitable, have higher debt, slower growing, and face more serious uncertainties.

TL;DR: In this article, the empirical distributions of daily trading volume prediction errors for several commonly used volume measures and expectation models for individual firms and for portfolios are analyzed for clustering of events and for different size firms.

TL;DR: In this paper, the authors analyzed excess returns to shareholders at announcement of a change in senior management of distressed firms and found that excess returns are significantly positive, which is consistent with the internal corporate control hypothesis that management change following poor performance is associated with gains to shareholders.

TL;DR: In this article, the effect of managers' earnings forecasts on the security prices of the announcing firms and other firms in the same industry is examined and the results are consistent with information content in managers' forecasts and with information transfer between forecast firms and others in the industry.

TL;DR: This paper found that security analysts are reluctant to revise their forecasts early in the fiscal year and more frequently revise immediately after an announcement, and that the revision activity after an interim announcement is greater if absolute unexpected interim earnings are larger, if there are more competing analysts, and if unexpected interim results are negative.

TL;DR: In this article, financial and pension variables are analyzed to test predictions of a number of explanation for the recent surge in reversions of excess assets from terminations of overfunded pension plans.

TL;DR: The authors empirically examined possible motivational factors leading to reductions in pension plan overfunding and found that firms with severe financial weakening terminate pension plans, while firms with less severe financial strengthening change actuarial assumptions to reduce required cash contributions to pension plans.

TL;DR: In this article, accounting information from the balance sheet as well as the income statement is used in conjunction with Ohlson's bankruptcy prediction model to calculate unexpected changes in the probability of bankruptcy.

TL;DR: This article examined the economic consequences of Statement of Financial Accounting Standards No. 8 and found that early adopters and late adopters exhibited significantly negative excess returns in the Exposure Draft release period, even after adjusting for a size effect in January.

TL;DR: In this paper, the authors examined the Beaver, Lambert, and Morse (1980) valuation model that capitalizes "ungarbled" earnings and showed that expected ungarbled earnings, scaled for a constant, equal expected dividends, are not any different from dividends.

TL;DR: This article examined the joint hypothesis that stock markets were efficient with respect to announcements of quarterly earnings and that these earnings numbers were important in the determination of equilibrium security prices in four subperiods before, during, and after the crash of October 1987.