Purpose – In contrast to recent US studies, almost all prior UK studies have not supported the incremental information content of cash flow beyond earnings. In addition, to date no UK study has addressed the effect of earnings extremity on the incremental information content of cash flow and...

This paper examines the firm growth-size and growth-learning theories using sales revenue ratios and cost ratios. The results show that: 1) the DJIA firms' focus on the short-term leads to reduced growth rates; 2) low-growth firms are characterised by increasing costs and increasing debt...

This study examines the relative speed of adjustments of debt ratios and explanatory powers of three groups of determinants of capital structure: firm-specific, country-wide and industry-wide. The sample includes non-financial firms listed in the DJIA and NASDAQ for quarterly periods 1992-2010....