In this study, we exploit the unique reporting requirements for employee stock options to provide large sample evidence on the accuracy of footnote disclosures related to a specific complex estimate, the fair value of options granted. We first document the frequency and magnitude of differences...

We investigate the association between financial constraints and cash savings generated through tax planning. We predict that an increase in financial constraints leads firms to increase internally-generated funds via tax planning. We measure financial constraints based on changes in...

We develop estimates of a firm's foreign earnings designated as permanently reinvested (PRE) and the unrecorded deferred tax liability (TAX) associated with PRE that are independent of whether a firm explicitly discloses this information. We then investigate firms' noncompliance with ASC 740...

Regulators have recently expressed concern that existing disclosure rules prevent financial users from fully understanding the location of a firm's operations. In this study, we develop an estimate of the location of firms' cash holdings using financial statement data and validate our estimate...