largely accomplished through operating accruals. Our conservatism measures are higher in periods of high auditor liability …

This paper studies how religion influences corporate accounting conservatism choice. Accounting conservatism is a …' accounting conservatism choice in two contradictory ways. On one hand, religion calls for risk aversion, which predicts that … religion would enhance corporate accounting conservatism. On the other hand, religion, as a social norm, potentially impacts …

This paper examines the role of conservatism when an agent can manipulate upcoming earnings before all uncertainty is … resolved. An increase in conservatism, by reducing the likelihood of favorable earnings, requires steeper performance pay to … inducing effort and curbing manipulation predict an interior level of conservatism as optimal. The optimal level of …

between conservatism and strong corporate governance through the board's monitoring efficiency. We construct a model with a …, conservatism is harmful. However, conservatism is beneficial if accounting is relevant to the monitoring decision because it … enhances the net benefit of monitoring. The net benefit of conservatism increases if the board becomes more efficient in …

demand for accounting conservatism when suppliers or customers have bargaining advantages over it that enable them to dictate … customers are associated with its accounting practices and also support the contracting explanation for accounting conservatism …

This paper empirically tests the relation between a firm's degree of accounting conservatism and its level of operating … accounting conservatism which is recently proposed by Wang, O hOgartaigh and van Zijl (2010), who argue that a firm optimally … selects a degree of accounting conservatism in order to signal its own operating risk to the capital market. Consistent with …

We investigate changes in financial reporting conservatism arising from disclosure-related shareholder lawsuits filed … between 1996 and 2016. We find that sued firms respond to 10b-5 litigation with increased accounting conservatism. Consistent … with a spillover effect, we also find that non-sued peer firms increase accounting conservatism following litigation …