Discretionary accounting changes from 'successful efforts' to 'full cost' methods: 1970-76

Article Abstract:

Choices of accounting methods in the petroleum industry are discussed. The characteristics of 'successful efforts' firms and the association between those characteristics and the decision to switch to 'full cost' accounting are examined. When compared to firms that retained successful efforts, firms that changed to full cost accounting show higher levels of financial risk and capital expenditures. These differences occur several years before the adoption of full cost accounting. Test results indicate that increases in debt financing and exploration are associated with the change to full cost.

Methods, Accounting and auditing, Petroleum industry, Cost accounting

---

SEC scrutiny and the evolution of non-GAAP reporting

Article Abstract:

The effects of intensified scrutiny over non-GAAP reporting on the quality of non-GAAP earnings exclusions are examined. Findings show that on average, exclusions are of higher quality following intervention be the Securities and Exchange Commission (SEC) in to non-GAAP reporting. It is believed that there may be unintentional consequences arising from the heightened examination over non-GAAP reporting.

Reporting & Disclosure, Financial statements, Accounting standards

---

The contagion effects of accounting restatements

Article Abstract:

A study was conducted to examine the effects of accounting restatements on share prices. Findings show that these restatements induce share price declines among non-restating firms in the same industry. These declines reflect investors' accounting quality concerns. Results also show that investors impose al larger penalty on the stock prices of peer firms with high accruals and high earnings.

Stocks, Stock prices, Accounting procedures

Similar abstracts:

• Abstracts: Measuring new product success: the difference that time perspective makes. "Honey, have you seen our hamster?" Consumer evaluations of autonomous domestic products
• Abstracts: Decision-making and firm success. Expanding the search for alternatives during strategic decision-making. Improving firm performance by matching strategic decision making processes to competitive dynamics
• Abstracts: Socialization tactics: longitudinal effects on newcomer adjustment
• Abstracts: Models and measures of emotional intelligence. Improving occupational stress through emotional intelligence development
• Abstracts: Stretchwork: Managing the career progression paradox in external labor markets. Network strategies and performance of Canadian investment banks

This website is not affiliated with document authors or copyright owners. This page is provided for informational purposes only. Unintentional errors are possible.