In this article, I study the interaction between cost accounting systems and pricing decisions in a setting where a monopolist sells a base product and related support services to customers whose preference for support services is known only to them. I consider two pricing...

In this paper, we model a manufacturer that contracts with two retailers, who then choose retail prices and stocking quantities endogenously in a Bayesian Nash equilibrium. If the manufacturer designs a contract that is accepted by both retailers, it sets the wholesale price as a compromise...

Two of the most pervasive cost accounting systems for coordinating activities and facilitating decisions within firms are transfer pricing and product costing. These systems allow decentralized decision making that can take advantage of the local knowledge of managers. The choice of transfer...

We examine whether taxes affect stock sales by mutual funds. For certain funds, the expected amount of a given stock sold in a given quarter is 62% greater when liquidation would trigger a capital loss equal to 1% of the value of the portfolio than when a like-size gain would be triggered, a...

We examine whether taxes affect stock sales by mutual funds. For certain funds, the expected amount of a given stock sold in a given quarter is 62% greater when liquidation would trigger a capital loss equal to 1% of the value of the portfolio than when a like-size gain would be triggered, a...

We examine whether taxes affect stock sales by mutual funds. For certain funds, the expected amount of a given stock sold in a given quarter is 62% greater when liquidation would trigger a capital loss equal to 1% of the value of the portfolio than when a like-size gain would be triggered, a...

This paper provides a theory to explain how recent phenomena in the retailing industry, such as electronic data interchange, continuous replenishment, and consignment sales, are related to mitigating agency costs in a distribution channel. These phenomena are linked to the manufacturer?s ability...

This paper presents an analytical model to study the trade- offs that managers face when they use accounting signals for multiple uses. We analyze the situation where a signal is informative about the agent's effort (and hence useful for contracting with the agent) and about the attractiveness...

This paper examines whether the trading decisions of institutional investors can be explained in part by the effects of taxation on portfolio returns. We find that advisers managing portfolios on behalf of persons who are taxable entities are 26 percent less likely to sell securities that...