Bardos, Katsiaryna Salavei; Golec, Joseph; Harding, John P. - In: Journal of Financial and Quantitative Analysis 46 (2012) 06, pp. 1917-1946
This study investigates whether investors see through materially misstated earnings, and whether they anticipate earnings restatements. For firms that restate at least one annual report, we find that investors are misled by mistakes in reported earnings at the time of initial earnings...