The Quality of Financial Statements: Perspectives from the Recent Stock Market Bubble

By Stephen H. Penman. 2002

198 citations recorded by the source corpus.

Subfields: Accounting, Finance, Strategy and Management

View Paper: https://www.semanticscholar.org/paper/7638be30f68a081a920dde6c6dcbdea09499ca56

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Citations in the corpus

Accounting for Intangibles - A Critical Review of Policy Recommendations (2008, background): “Penman (2003) argues that an important role of the traditional financial reporting model is to serve as an anchor during bubbles “to check speculative beliefs.” Under this view we expect exactly those results that Core et al. (2003) obtain – the fact that the traditional financial statement variabl”
Earnings Quality and the Equity Risk Premium: A Benchmark Model (2006, unknown): “When ρεδ ≠ 0 , this model of earnings quality extends the Penman and Zhang (2002) notion that “high quality earnings is associated with earnings sustainability” by allowing for correlations between accruals errors and fundamental shocks.”
The pricing of conservative accounting and the measurement of conservatism at the firm-year level (2010, background): “Penman (2003, p.87) points out that consistent application of conservative accounting results in higher book rates of return and earnings growth without any economic justification.”
Understanding Earnings Quality: A Review of the Proxies, Their Determinants and Their Consequences (2010, background): “Penman and Sougiannis (1998) describe a primitive construct like X, specifically in the context of equity valuation, as ‘‘yattributes within the firm, which are said to capture value-creating activities’’ (p.”
The Effects of Perceived Fairness on Opportunistic Behavior (2007, unknown): “Incentive contracts appear to stimulate a desire to game the incentive structure, as evidenced by the increase in overt earnings management – occasionally to the point of fraud – in the wake of a massive increase in executive stock options-based compensation (Penman 2003).”
An Experiment in Fair Value Accounting: UK Investment Vehicles (2008, unknown): “b) However, some academics have expressed reservations over fair value accounting following the perceived misuse of fair value accounting in some recent American accounting scandals (Watts, 2003) and the role of accounting in boom periods (Penman, 2003).”