WALLACE, Wanda
The value relevance of accoutning : the rest of the story - 2000
When a story appears in the media reporting `restattements, frauds, and investigations`, how do reported dollar effects relat to value? Declines to out half the pre-event levels are observed even when the overall market has been increasing significantly. The declines in price (cum dividend) are significantly associated with the amount of the event`s effect, as reported in the media, when concurrently controlling for earnings, industry, market and scalar (book value) effects. The Value Line evaluations of these copanies`safet, financial strength, price stability, and technical ranking all deteriorate significantly post-event. Managers evaluating their accounting and control should consider such consequences
Restatements
Frauds
Investigations
Value Relevance
Value Line Evaluations
Stock Prices
The value relevance of accoutning : the rest of the story - 2000
When a story appears in the media reporting `restattements, frauds, and investigations`, how do reported dollar effects relat to value? Declines to out half the pre-event levels are observed even when the overall market has been increasing significantly. The declines in price (cum dividend) are significantly associated with the amount of the event`s effect, as reported in the media, when concurrently controlling for earnings, industry, market and scalar (book value) effects. The Value Line evaluations of these copanies`safet, financial strength, price stability, and technical ranking all deteriorate significantly post-event. Managers evaluating their accounting and control should consider such consequences
Restatements
Frauds
Investigations
Value Relevance
Value Line Evaluations
Stock Prices
