Relative to recording securitizations as collateralized borrowings, the quot;gain on salequot; treatment allowable under SFAS 125/140 has several accounting benefits such as reducing leverage, increasing profits, and improving efficiency ratios. We argue that to maximize these accounting...

I first discuss the meaning of “sustainable reporting” and how this meaning has changed over time. I follow with a discussion of the term ESG and why this term is used with respect to the corporation. I then discuss how the shareholder primacy perspective plays a defining role in corporate...

We examine whether marathon runners exhibit behavior consistent with the assumptions of prospect theory. We test whether round number finishing times (three hours, four hours, etc.) are used as reference points and whether runners increase their effort at the end of the race to avoid the...

We examine the strategies adopted by people completing a well-defined but challenging task: running a marathon. We investigate whether the goal of a non-binding round number finish time (e.g., 3:00 hours) motivates runners to engage in more optimal running strategies to improve their performance...

Prior research has documented a "kink" in the earnings distribution: too few firms report small losses, too many firms report small profits. We investigate whether boosting of discretionary accruals to report a small profit is a reasonable explanation for this "kink". Overall, we are unable to...

This paper suggests a new measure of one aspect of the quality of accruals and earnings. The major benefit of accruals is to reduce timing and mismatching problems in the underlying cash flows. However, accruals accomplish this benefit at the cost of making assumptions and estimates about future...

A firm in a steady state generates predictable income and investors can generally agree on its valuation. However, when a significant corporate event occurs this creates greater uncertainty and disagreement about firm valuation, and investors could prefer to avoid holding such a stock. We...

A firm in steady state generates predictable income and investors can generally agree on valuation. However, when a significant corporate event occurs this creates greater uncertainty and disagreement about firm valuation and investors could prefer to avoid holding such a stock. We examine...