Accrual accounting and equity valuation

Article Abstract:

A model that describes the relationship between accrual accounting and equity valuation is presented. This analysis demonstrates how accounting data summarize primitive transactions or events through accounting policies to retain value-relevant information about the firm. The model was developed through four steps: specification of the generic input in the accounting process representing transactions or events that may influence account balances of the firm, specification of a class of functions that map the transactions or events to accounting data, specification of the appropriate aggregation features of the accounting data, and performance of the analysis. The accounting rules that preserve all value-relevant information were operationalized through the concept of efficient accounting, which denote the value of a firm as a weighted average of capitalized earnings and book value.

Accrual Accounting, Stock price forecasting, Accrual basis accounting

---

On the theory of forecast horizon in equity valuation

Article Abstract:

The authors discuss corporations' forecasting of profits in attempts to define equity valuation. Models of various valuation systems, and differences between corporations' market value and assumed value are analyzed.

Statistical Data Included, Methods, Management, Finance, Forecasts and trends, Profits, Economic forecasting, Financial statements, Corporate profits

---

Accounting treatment of inherent versus incentive uncertainties and the capital structure of the firm

Article Abstract:

The impact of firm's accounting principles, on capital structure, is examined.

United States, Product standards, safety, & recalls, Standards, Analysis, Influence, Accounting, Accounting procedures

Similar abstracts:

• Abstracts: Investment opportunities and the structure of executive compensation. Estimates of economic rates of return for the U.S. pharmaceutical industry, 1976-1987
• Abstracts: Cost reductions or reputation enhancement as motives for mergers: the logic of multihospital systems. Getting to know you: a theory of strategic group identity
• Abstracts: An empirical test of product sampling and couponing. The effect of appeal, complexity and tone in a mail survey covering letter
• Abstracts: Accounting as discursive construction: the relationship between Statement of Financial Accounting Standards No. 106 and the dismantling of retiree health benefits
• Abstracts: On-line communication growing for mutual fund investors. E-commerce: the Internet represents a significant opportunity

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