Review of Accounting and Finance: Volume 18 Issue 3

Degree of free cash flow leverage

David Yecham Aharon, Yoram Kroll, Sivan Riff

This paper aims to forgo the conventional (degree of operating leverage) risk measure by replacing elasticity of operating profits with respect to output with elasticity of free…

Do bank independency and diversification affect bank failures in Europe?

Mehdi Mili, Anis Khayati, Amira Khouaja

Motivated by agency theory, this paper aims to explore the impact of bank diversification and bank independency on the likelihood of bank failure. The effects of corporate…

Earnings informativeness in dual-class firms: An empirical investigation of the earnings quality and the information environment

Olesya Lobanova, Abhijit Barua, Suchismita Mishra, Arun J. Prakash

The purpose of this study is to explain the poor informativeness of earnings in dual-class firms by examining the quality of earnings and the information environment.

Do firms use early guidance to disclose the effect of conservatism on future earnings?

Carlo D’Augusta, Giulia Redigolo

By deferring profits and anticipating losses, conservatism makes earnings increases more persistent and earnings declines more likely to revert. Therefore, the level of…

Can non-CEO inside directors add value? Evidence from unplanned CEO turnovers

Laurie Krigman, Mia L. Rivolta

This paper aims to investigate the roles of non-CEO inside directors (NCIDs) in the new CEO-firm matching process using the context of unplanned CEO departures when immediate CEO…

Firm size, market conditions and takeover likelihood

Abongeh Tunyi

The firm size hypothesis – takeover likelihood (TALI) decreases with target firm size (SIZE) – has enjoyed little traction in the TALI modelling literature; hence, this paper aims…

Equal opportunity market: Sources and remedies of home bias in US market reactions to restatement announcements

Jennifer Bannister, Li-Chin Jennifer Ho, Xiaoxiao Song

This paper aims to compare US market reactions to the restatement announcements of foreign firms listed in the USA and those of US firms by applying the Capital Market Liability…