The Financial Accounting Standard Board (FASB) recently issued Accounting Standards Update No. 2016-01 which requires firms to report unrealized gains and losses on available-for-sale (AFS) equity securities in net income, thus reducing firms’ ability to manage or smooth earnings. Previously,...

We examine the relation between the proportion of a firm’s top management team that is appointed during a CEO’s tenure (i.e., top management team, or TMT, co-option) and audit pricing. Using a sample of U.S. firms during the 2001-2018 period, we find that TMT co-option is positively...

We comprehensively examine the superiority of various statistical methods and analysts’ forecasts in predicting earnings to provide an updated view on the best surrogate of earnings expectations. We also evaluate the impact of specification choices used in recent studies that implement ML...

We investigate the determinants and informativeness of banks’ ROTCE non-GAAP disclosures. ROTCE is a common performance measure used in the banking industry that adjusts for items ignored by banking industry regulators for capital adequacy assessments (i.e., goodwill, intangible assets,...

The SEC and FASB recently expressed concerns that investors do not fully assimilate all of the information provided by complex and incomplete derivatives and other comprehensive income (OCI) disclosures. My evidence supports these concerns. Specifically, I examine the information content of...