We ask whether the quality of internal information matters for investment decisions. We predict that investment is more … sensitive to internal profit signals and less sensitive to external price signals when managers have higher quality internal … information properties. We find that the sensitivity of investment to profitability is increasing, while the sensitivity of …

benchmarks are earnings manipulators with earnings before accounting manipulation otherwise slightly below their benchmarks and …

This paper examines the association between conservatism and the value relevance of accounting information over the … 1975 through 2004 period. We measure conservatism using approaches developed in Penman and Zhang, The Accounting Review 77 …:237–264, (2002) and Beaver and Ryan, Journal of Accounting Research 38:127–148, (2000) and value relevance using (1) adjusted R2 from …

of variables of interest to accounting research (e.g., earnings, returns, investment, market-to-book) absent accounting …We propose the standard neoclassical model of investment under uncertainty with short-run adjustment frictions as a … benchmark for earnings-return patterns absent accounting influences. We show that our proposed benchmark generates a wide range …

of variables of interest to accounting research (e.g., earnings, returns, investment, market‐to‐book) absent accounting …We propose the standard neoclassical model of investment under uncertainty with short‐run adjustment frictions as a … benchmark for earnings‐return patterns absent accounting influences. We show that our proposed benchmark generates a wide range …

We study the intertemporal properties of accounting conservatism with a focus on managerial incentives. In our main … study overlapping projects that give rise to a multi-task setting. In the multi-task setting, unbiased accounting is …