We investigate whether faultlines among senior executives are associated with internal control effectiveness and corporate disclosure outcomes. Faultlines are hypothetical dividing lines splitting a group into subgroups based on the simultaneous alignment or overlap of members’ demographic...

This study investigates whether the implementation of Accounting Standard Codification 842 (i.e., the new lease standards) is associated with the cost of bank loans. We hypothesize that the implementation of new lease standards improves the reporting reliability and transparency of operating...

We study the interrelation between conservatism and earnings management by examining the allowance for uncollectible accounts and its income statement counterpart, bad debt expense. We find that the allowance is conservative and that it has become more conservative over time. Conservatism may,...

This study identifies several interrelated reasons why firms' depreciation method choice is likely to influence managers' capital investment decisions. We find that firms that use accelerated depreciation make significantly larger capital investments than firms that use straight-line...