This paper investigates the value relevance of segment earnings in railroad companies. Operating profits in transportation and real estate business are value relevant. While operating losses in leisure business contains large noise, positive earnings is value relevant. Earnings in other segments...

This paper investigates whether earnings of the firms, which belong to the sluggish industries under recent recession in Japan, is value relevant. It is often said that, while the relevance of earnings is recently declining, the relevance of book value of equity increases gradually. Moreover, it...

It is conceived that the percentage of completion method make periodical earnings smoother than the completed contract method and that it can reflect construction activities of the firm on earnings more timely. Based on this intuition, some people believe that earnings recognized by the...

In 2000, the reform of consolidated financial statements changed the income statement section where amortization of goodwill and gains and losses from interest method should be disclosed. The results in this paper show that the reform may improve the value relevance of operating profits and...

This study investigates the value relevance of nuclear decommissioning costs and back end costs (nuclear recycle costs), which are accruals related to nuclear power plants in electric utilities. We analyze the association between those accruals and stock price levels at the end of fiscal year,...

The purpose of this paper is to confirm how international academicians evaluate the Japanese accounting system. This paper surveys prior studies on the international comparison (including Japan) of accounting information and reexamines the empirical findings on the usefulness of earnings...

The purpose of this paper is to investigate the value relevance of the legally mandated provisions. This paper examines the effects of changes in provisions on the value relevance of earnings. The results show that the calculation of provisions will deteriorate the relevance of earnings when the...

This paper investigates the value relevance of earnings and the explanatory power of earnings for subsequent returns. This analysis, at the same time, examines the efficiency of capital markets. The targets of this paper are two class of returns over different periods. Cross-sectional analysis...

This study analyzes the value-relevance of accounting information in electric utilities in Japan. First, regression results show that earnings information, especially operating profits from electric business and earnings before taxes and extra ordinary items, have the higher explanatory power...

This paper investigates the attributes of the multi-step income 1) operating profits, 2) earnings before tax, special and extra-ordinary items, and 3) net income, and then this paper confirms the rationality of the multi-step performance reporting. We examine the relationship between the...