The Influence of Tax Costs on Accounting Conservatism

2007 ◽  
Author(s):  
Boyoung Kim ◽  
Kooyul Jung
Keyword(s):  
Accounting Conservatism ◽  
Tax Costs

The Effects of Contracting, Litigation, Regulation, and Tax Costs on Conditional and Unconditional Conservatism: Cross-Sectional Evidence at the Firm Level

2007 ◽  
Vol 82 (3) ◽  
pp. 759-796 ◽  
Author(s):  
Xinrong Qiang
Keyword(s):  
Accounting Conservatism ◽  
Firm Level ◽  
Cross Sectional ◽  
Conditional Conservatism ◽  
Tax Costs

Prior studies propose four explanations for accounting conservatism, and recent studies classify conservatism into two forms: conditional and unconditional conservatism. This paper examines whether each proposed explanation applies to conditional conservatism, unconditional conservatism, or both. The findings are as follows: (1) contracting induces conditional conservatism; (2) litigation induces both forms; (3) regulation induces unconditional conservatism; and (4) taxation induces unconditional conservatism. These findings indicate that the two forms of conservatism play distinct roles in contracting, regulation, and taxation, as well as a common role in litigation. They also play an interrelated role, as suggested by the finding that unconditional conservatism reduces conditional conservatism. The combined evidence implies that because the two forms meet distinct needs but are negatively interrelated, it is necessary to trade them off.

Accounting conservatism and the cost of bank credit in Brazil

2013 ◽  
Vol 10 (1) ◽  
pp. 27-48 ◽  
Author(s):  
Giovani Antonio Silva Brito ◽  
Eliseu Martins
Keyword(s):  
Accounting Conservatism ◽  
Bank Credit ◽  
The Cost

METHODS ASSESSMENT QUALITY OF ACCOUNTING REPORTING AND MODELS OF THEIR MEASUREMENT

2020 ◽  
Vol 3 (3) ◽  
pp. 95-99
Author(s):  
E. H. ABU ◽  
Keyword(s):  
Internal Control ◽  
Stock Prices ◽  
Control Method ◽  
Financial Statements ◽  
Accounting Conservatism ◽  
Standardized Assessment ◽  
Accrual Quality ◽  
Indirect Measures

The article explores individual approaches used to measure and evaluate the quality of financial state-ments: standardized assessment, accrual-based models (accrual quality), Beneise models (M-Score), in-dexes - the internal control method and the degree of accounting conservatism. The reason for the great dependence on the use of indirect measures (proxies for the quality of financial statements or stock prices) is that some of the qualities of financial statements are unobservable.

PENGARUH KONSERVATISMA AKUNTANSI TERHADAP EARNINGS RESPONSE COEFFICIENT (ERC) DENGAN CORPORATE GOVERNANCE SEBAGAI VARIABEL PEMODERASI

2008 ◽  
Author(s):  
Olliza Mayesti ◽  
Resti Yulistia Muslim
Keyword(s):  
Corporate Governance ◽  
Stock Exchange ◽  
Negative Influence ◽  
Accounting Conservatism ◽  
Managerial Ownership ◽  
Net Income ◽  
Manufacturing Companies ◽  
Earnings Response Coefficient ◽  
Response Coefficient ◽  
Earnings Response

The objective of this study is to examine whether corporate governance influence the relation between accounting conservatism and Earnings Response Coefficient (ERC). The accounting conservatism proxy used in this research is accruals obtained from differences between net income and cash flow. Sample consists of 31 manufacturing companies that listed in Indonesian Stock Exchange since 2003­2006. Hypotheses are examined by using multiple regressions. The result shows that there is a negative influence of accounting conservatism to Earnings Response Coefficient. Managerial ownership as a moderating variable did not affect the relation between accounting conservatism and Earnings Response Coefficient, but independent board of commissioner composition as a moderating variable affected the relation between accounting conservatism and Earnings Response Coefficient.

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