The information content of annual reports: a price and trading response analysis
Article Abstract:
Stock market reaction to the date of the issuance of annual reports was researched. Information beyond preliminary price earnings data is contained in annual reports, and prior research typically has focused on the information content of the annual reports. Valuable insight is gained by expanding research to incorporate price and trading measures. Trading measures include transaction size, mean transaction size, and size-stratified transactions. Research results indicate that there is no price response, and the results offer little support for a volume of shares response. The number of transactions does increase significantly at the time of the date of the release of annual reports, indicating that investors find annual reports informative and that annual reports display a social welfare value.
Publication Name: Accounting Review
Subject: Business, general
ISSN: 0001-4826
Year: 1991
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Understanding accounting changes in an efficient market - a comment, replication, and re-interpretation
Article Abstract:
A replication and correction is presented of 1978 research by Abdel-khalik and McKeown on security market response to discretionary accounting changes: a change to last in, first out (LIFO). The paper studied contains an experimental design flaw. After the design is adjusted, some of the conclusions contained in the original paper require revision. The corrected results do not alter the finding that security market response to LIFO adoption is conditional on earnings.
Publication Name: Accounting Review
Subject: Business, general
ISSN: 0001-4826
Year: 1987
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Equity accounting for reciprocal stockholdings
Article Abstract:
Equity accounting is a way of accounting for investments made in non-subsidiary associated firms. The challenge of equity accounting for reciprocal holdings in stock is discussed. Some of the options are discussed, based on actual practices in New Zealand. Treatments are categorized and assessed based on two broad, underlying equity accounting theories.
Publication Name: Accounting Review
Subject: Business, general
ISSN: 0001-4826
Year: 1988
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- Abstracts: The utilization of contingent work, knowledge creation, and competitive advantage. Strategy and structure in the multiproduct firm
- Abstracts: The public-private distinction in organization theory: a critique and research strategy. Commitment and the organization: The Organization Man revisited
- Abstracts: Differential price and volume reactions to accounting earnings announcements. Unexpected earnings, firm size, and trading volume around quarterly earnings announcements