Papanastasopoulos, George A. - 2015
Numerous studies claim that the accrual anomaly in the U.S. stock market is due mostly to temporary accounting … distortions arising from accrual accounting. We examine the validity of this explanation in an international setting. Across the … distortions predict returns in 7 out of the 9 markets where the accrual anomaly occurs in Europe. Finally, we show that the impact …