The accrual anomoly: Australian evidence

UTSePress Research/Manakin Repository

Search UTSePress Research

Advanced Search


My Account

Show simple item record Clinch, Gregory en_US Fuller, Damian en_US Govendir, Brett en_US Wells, Peter en_US
dc.contributor.editor Stewart, J; Hay, D en_US 2010-05-28T10:04:42Z 2010-05-28T10:04:42Z 2007 en_US
dc.identifier 2008004111 en_US
dc.identifier.citation Clinch Gregory et al. 2007, 'The accrual anomoly: Australian evidence', AFAANZ, Gold Coast, Australia, pp. 1-37. en_US
dc.identifier.issn - en_US
dc.identifier.other E1UNSUBMIT en_US
dc.description.abstract This paper investigates whether the accrual anomaly identified by Sloan (1996), whereby investors overestimate the impact of accruals on the persistence of earnings exists within an Australian context. While there is general support for the existence of the anomaly in Australia there are a number of idiosyncrasies in the results. First, there is evidence that in Australia investors underestimate the persistence of earnings. Second, there are greater errors in assessing the impact of cash flows on the persistence of earnings than accruals (i.e., a cash flow anomaly rather than an accruals anomaly). Third, returns to the hedged portfolio trading strategy are increasing over the three year period subsequent to portfolio formation. Analysis of these results indicates that they are primarily attributable to a limited number of firm year observations in the extreme positive tail of returns. Additionally, a range of sensitivity tests were undertaken to address the robustness of these results. en_US
dc.language en_US
dc.publisher AFAANZ en_US
dc.relation.isbasedon NA en_US
dc.title The accrual anomoly: Australian evidence en_US
dc.parent 2007 AFAANZ Conference en_US
dc.journal.volume en_US
dc.journal.number en_US
dc.publocation Gold Coast, Australia en_US
dc.identifier.startpage 1 en_US
dc.identifier.endpage 37 en_US BUS.School of Accounting en_US
dc.conference Verified OK en_US
dc.for 150100 en_US
dc.personcode 995057 en_US
dc.personcode 999178 en_US
dc.personcode 106483 en_US
dc.personcode 920016 en_US
dc.percentage 100 en_US Accounting, Auditing and Accountability en_US
dc.classification.type FOR-08 en_US
dc.edition en_US
dc.custom Accounting and Finance Association of Australia and New Zealand Conference en_US 20070701 en_US
dc.location.activity Gold Coast, Australia en_US
dc.description.keywords Financial reporting, Accrual anomaly. en_US
dc.staffid 920016 en_US

Files in this item

This item appears in the following Collection(s)

Show simple item record