Accounts manipulation has been the subject of research, discussion and even controversy
in several countries including the USA, Canada, the UK, Australia, Finland and France. The …

This book reviews the theory and methodology underlying the economics-based empirical
literature in accounting. An accounting theory theory is an explanation for observed …

This article provides the beginnings of a positive theory of accounting by exploring those
factors influencing management's attitudes on accounting standards which are likely to affect …

This paper investigates circumstances under which accruals are predicted to improve
earnings' ability to measure firm performance, as reflected in stock returns. The importance …

Earnings smoothing via accounting discretion could improve or garble actual earnings
information. Although managers prefer a less volatile earnings path and perceive lower risk …

Managers, security analysts, investors, and the press rely increasingly on modified
definitions of GAAP net income, known by such names as “operating” and “pro forma” …

We extend Healy (1985) by examining the relation between discretionary accruals and
bonus plan bounds for a sample of 102 firms for the 1980–1990 period. Contrary to Healy …

This paper studies the determinants of income smoothing by management of loan-loss
provisions in banks around the world. Using a panel database of 3221 bank-year …

This updated Ninth Edition of Accounting Theory: Conceptual Issues in a Political and
Economic Environment continues to be one of the most relevant and comprehensive texts …

T HIS paper presents tests of whether extraordinary revenues and expenses are used to
smooth ordinary or operating income over time. While the subject of income smoothing was …