Purpose: The purpose of this study is to explore whether pension plan reporting readability affects earnings volatility. Moreover, as SFAS 158 requires firms to fully recognize their funded status on the balance sheet, the firms’ pension liabilities (inside debts) and financing ability have...

This study examines the accounting information uncertainty effects on corporate credit risk from the perspective of real earnings management (RM) activities by investigating 9,565 American bond observations from year 2001 to 2008. The main results show that the volatilities of RM activities...

We examine the association between readability of ‘Notes to consolidated financial statements' (Notes) in annual reports and corporate bond yield spread. We find that less readable narrative disclosure of Notes is significantly associated with greater bond yield spread. In addition, the...