Summarizes previous research on the investment opportunity set (IOS) using price‐based and investment‐based proxies and variance measures; and develops hypotheses on the relationship between IOS, debt/equity ratios and dividend policies. Tests them on 1990‐1998 data from listed Australian...

Outlines the rapid growth of “new economy” companies in Australia and compares their levels of earnings management with “old economy” firms, using data on all Australian listed companies. Reviews the relevant research, explains the methodology and presents the results. Shows that the old...

Outlines Australia’s adoption of the direct method of cash flow reporting and presents a survey of 83 loan officers and 76 financial analysts to assess its decision relevance compared with traditional financial statements for commercial loan and investment decisions. Finds both groups (but...