We compare the tax-paying behavior of U.S. firms substantially influenced by foreign-domiciled firms with other U.S. firms. Because public information is lacking on U.S. firms wholly-owned by foreign investors, we concentrate on publicly held firms with "significant," but not 100 percent,...

We rely on governance theory summarized in Adams, Hermalin, and Weisbach (2010) and Bushman (2009) which suggests that corporate governance characteristics may be endogenous. This differs from past research that links governance to fraud (i.e., Farber 2005) and assumes corporate governance is...

We use United States Securities and Exchange Commission (SEC) comment letters and accounting restatements to investigate the SEC's Division of Corporation Finance (DCF) financial reporting oversight procedures. We investigate how DCF compares with “other monitors” in identifying disclosures...

Research suggests that new information technologies can improve the functionality of business processes, leading to improved firm profitability. However, new technologies are not equal in their contributions to a company’s bottom line. Further, there is some debate as to whether early adopters...

Using absorption costing, manufacturing firms can manipulate production (relative to sales) to shift fixed costs between cost of goods sold and inventory accounts, thereby managing earnings either upward or downward. Considering two earnings targets (avoiding losses and consensus analyst...

We examine whether adoption of a fundamental business technology, JIT, is influenced by financial reporting and tax incentives. We find that adoption decisions are influenced by the interaction of firms' LIFO reserve levels with their income smoothing, debt covenant, and tax incentives. We also...

The 2004 American Jobs Creation Act (AJCA or the Act) was intended to encourage U.S. companies to repatriate foreign earnings and invest them domestically to increase capital spending and employment. We investigate combined effects of two tax provisions, i.e., the repatriation tax holiday and...