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157 p.Thesis (Ph.D.)--University of Illinois at Urbana-Champaign, 1979.U of I OnlyRestricted to the U of I community idenfinitely during batch ingest of legacy ETD
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Abstract: Research into the potential determinants of corruption is myriad. Yet none of the studies to date have identified culture (by itself) as a potential underlying factor. While the role of the Protestant Christian religion has been... more
Abstract: Research into the potential determinants of corruption is myriad. Yet none of the studies to date have identified culture (by itself) as a potential underlying factor. While the role of the Protestant Christian religion has been examined as possible deterrence to ...
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... Ratios that should be helpful in predicting bankruptcy in this context are those relating to Interest Coverage, Receivables Intensiveness, Liquidity, and Long-Term Lever-age. (iii) Business cycle (recession/expansion phases). ...
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... of the Accounting Conservatism Doctrine: The Case of Premium Rate Regulation in the HMO Industry Yaw M. Mensah, Judith M. Considine, and ... often switch between HMOs to take advantage of differences in benefits and providers, and... more
... of the Accounting Conservatism Doctrine: The Case of Premium Rate Regulation in the HMO Industry Yaw M. Mensah, Judith M. Considine, and ... often switch between HMOs to take advantage of differences in benefits and providers, and employers are often tardy in notifying ...
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ABSTRACT We theorized that student test score performance will be positively related to the percentage of school district revenues raised from local taxes and with salary levels of school district administrators. Using both fixed and... more
ABSTRACT We theorized that student test score performance will be positively related to the percentage of school district revenues raised from local taxes and with salary levels of school district administrators. Using both fixed and random effects panel analyses, we examine data for 217 Kindergarten-to-Grade 12 school districts in New Jersey for the years 2002–2009. Our results support the inference that increases in the percent of school funds raised locally have a positive influence on student test scores. However, the results for our hypothesis involving administrative costs were mixed. Administrative salaries and administrative spending were found to be positively related to test score performance in the one-way time fixed effects model, but not in the two-way models. Finally, classroom spending and the student–faculty ratio were found to be positive and significant in some of the tests, although not robust to alternative specifications.
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Page 1. Exercising budgetary control in automated production environments* YAW M. MENSAH RutgUrs University Abstract. This study examines budgetary control in automated production environments. It is argued that the ...
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By KT McGahran and YM Mensah; THE EFFECTIVENESS OF COSMETIC INCOME-SMOOTHING ON CROSS-SECTIONAL RISK ASSESSMENT.
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By Yaw M. Mensah; Accounting issues in health care.
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Page 1. THE ACCOUNTING REVIEW Vol. 69, No. 1 January 1994 pp. 70-95 Statutory Insolvency Regulations and Earnings Management in the Prepaid Health-Care Industry Yaw M. Mensah Judith M. Considine Rutgers University Leslie Oakes University... more
Page 1. THE ACCOUNTING REVIEW Vol. 69, No. 1 January 1994 pp. 70-95 Statutory Insolvency Regulations and Earnings Management in the Prepaid Health-Care Industry Yaw M. Mensah Judith M. Considine Rutgers University Leslie Oakes University of Alberta ...
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Empirical and behavioral research suggests that workers don't always see work only as a means of obtaining income in return for production-related effort. Rather, they also exert nonproduction-related effort in order to... more
Empirical and behavioral research suggests that workers don't always see work only as a means of obtaining income in return for production-related effort. Rather, they also exert nonproduction-related effort in order to obtain greater control over their jobs, achieve balance with non-work activities and to further such personal goals as flexibility, self-growth and jobsatisfaction. By contrast, the large accounting literature
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... Yaw M. Mensah ABSTRACT: Given the recent history of double-digit inflation, there is an increased need for manufacturing firms to respond to possible changes in the relative prices of their inputs. ...Yaw M. Mensah is Assistant... more
... Yaw M. Mensah ABSTRACT: Given the recent history of double-digit inflation, there is an increased need for manufacturing firms to respond to possible changes in the relative prices of their inputs. ...Yaw M. Mensah is Assistant Professor of Accounting, Indiana University. ...
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... Yaw M. Mensah ABSTRACT: This paper evaluates the usefulness of specific price-level adjusted (SPL) data for bankruptcy prediction using data from the 'seventies. ... Yaw M. Mensah is Assistant Professor of Accounting,... more
... Yaw M. Mensah ABSTRACT: This paper evaluates the usefulness of specific price-level adjusted (SPL) data for bankruptcy prediction using data from the 'seventies. ... Yaw M. Mensah is Assistant Professor of Accounting, Indiana University. Manuscript received January 1981. ...
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Page 1. THE ACCOUNTING REVIEW Vol. 65, No. 3 July 1990 pp. 505-519 Measuring Production Efficiency in a Not-For-Profit Setting Robert D. Hayes Middle Tennessee State University James A. Millar University of Arkansas ...
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Government Expenditures This paper examines the economic effects of the adoption and implementation of performance-based budgeting (PBB) at the state government level. We examine the association between the implementation of PBB and... more
Government Expenditures This paper examines the economic effects of the adoption and implementation of performance-based budgeting (PBB) at the state government level. We examine the association between the implementation of PBB and aggregate state expenditures from the General Fund and Other State Funds, and further analyze whether PBB affects combined functional spending: Future-oriented expenditures (Public Education, Higher Education, and Transportation), Social expenditures (Public Aid, and Public Health/Medicaid), Public safety expenditures (Correctional Facilities) and Other expenditures. We find that the implementation of PBB is negatively associated with total expenditures from General Fund and positively associated with total expenditures from Other State Funds. The effect of PBB on combined functional spending is significantly negative for Future-oriented expenditures and Socially-oriented expenditures from the General Fund, but there is a positive relationship between PB...
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Extant theories in sociology, criminal justice, economics, and even political science posit the existence of periodicity in human affairs which exhibits the characteristics of a pendulum which swings from one extreme to the other. We... more
Extant theories in sociology, criminal justice, economics, and even political science posit the existence of periodicity in human affairs which exhibits the characteristics of a pendulum which swings from one extreme to the other. We examine in this study whether such a phenomenon exists in financial reporting, with periods of lax financial reporting followed by legislation which corrects the pendulum swing to the other direction, and eventually a reversal back to laxity. This phenomenon might be expected to exist because of the tension between management incentive to manage earnings and the desire of the public (through legislative action) to maintain some probity in financial statements. Focusing on the period from 1973 to 2017, we examine the effects of the three major legislations intended to address internal controls and greater probity in financial reporting, namely the Foreign Corrupt Practices Act (FCPA, 1977), the Omnibus Trade and Competitiveness Act of 1988 (OTCA, 1988), and the Sarbanes-Oxley Act (SOX, 2002). For this purpose, we focus on the longitudinal behavior of an accrual quality index as a proxy for financial reporting probity. Our findings essentially support a pendulum effect, but the periodicity expected of a pendulum (a movement in one direction followed by a counter-movement) is missing. Our results indicate that the successive laws appear to have had a cumulative deterrence effect. However, only the Sarbanes-Oxley Act has had a demonstrably sustained effect on aggregate corporate behavior towards greater financial probity in financial reporting.
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... Annual Earnings Forecast Accuracy and Dispersion YAW M. MENSAH” XIAOFEI SONG** SIMON SM Ho*** ... Thus, holding other factors constant, accounting conservatism should be positively related to higher levels of analysts' absolute... more
... Annual Earnings Forecast Accuracy and Dispersion YAW M. MENSAH” XIAOFEI SONG** SIMON SM Ho*** ... Thus, holding other factors constant, accounting conservatism should be positively related to higher levels of analysts' absolute forecast errors and forecast di~persion.~ ...
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In this paper, we propose a new method for assessing the usefulness of information, its inferential value. In the context of accounting and finance, we define the inferential value of information about a firm as how efficaciously the... more
In this paper, we propose a new method for assessing the usefulness of information, its inferential value. In the context of accounting and finance, we define the inferential value of information about a firm as how efficaciously the information enables investors to draw correct inferences regarding its future financial performance. On the basis of this definition, we develop a stylized model to measure the proximity of a firm’s future realized rates of return to the estimated rates of return implied by its current stock price. We then use the new measure to test the hypothesis that quarterly earnings announcements have a higher inferential value than other information arriving during interim (non-earnings announcement) periods. Our empirical findings suggest that investors are able to make more informative inferences about a firm’s future profitability based on quarterly earnings announcement than based on information available during interim periods. However, our findings also sug...
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ABSTRACT
Page 1. 58 Int. J. Corporate Governance, Vol. 2, No. 1, 2010 Copyright © 2010 Inderscience Enterprises Ltd. The role of corporate governance during the pre-and post-Sarbanes Oxley periods Anthony C. Ng* School of Accounting ...
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ABSTRACT This study examines the effect of the passing of Sarbanes-Oxley Act (SOX) of 2002 as well as managerial entrenchment characteristics of corporations on the value-relevance of earnings. Our sample of observations is partitioned... more
ABSTRACT This study examines the effect of the passing of Sarbanes-Oxley Act (SOX) of 2002 as well as managerial entrenchment characteristics of corporations on the value-relevance of earnings. Our sample of observations is partitioned into three sub-periods: the Pre-Scandal (Pre-SCA) period, the Enron scandal (SCA) period, and the period after the passage of the Sarbanes-Oxley Act (Post-SOX). We find that the value-relevance of earnings is significantly different for the three sub-periods. Using the existence of anti-managerial-entrenchment mechanisms as a measure of good corporate governance, we find that these measures have a positive impact on the value-relevance of earnings only during the SCA period. Furthermore, the positive impact only applies to firms that engaged in income-decreasing earnings managements during the prior year. We conclude that, from the standpoint of investors, there appears to be a substitution effect between good firm-specific corporate governance mechanisms and the strictness of the regulatory environment.
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ABSTRACT In the “Global Leadership and Organizational Behavior Effectiveness" (GLOBE) Research Program (House et al., 2004; Chokkar et al., 2007), research collaborators around the world studied leadership attributes by first... more
ABSTRACT In the “Global Leadership and Organizational Behavior Effectiveness" (GLOBE) Research Program (House et al., 2004; Chokkar et al., 2007), research collaborators around the world studied leadership attributes by first grouping 62 societies around the world into 10 country clusters based on their cultural similarities. Because the groupings were based on empirical cultural dimensions obtained from individuals surveyed from these countries, the extension of their methodology to include additional countries would similarly require such survey data. The difficulty of obtaining such data has hitherto prevented their cultural groupings from being extended to other countries beyond those included initially.The objective of this study is to derive a statistical model of their country cultural clustering using observable and easily obtained data from the countries included in the original study. We use multivariate discriminant analysis to examine the observable attributes of the countries used in the original GLOBE clusters, using the following factors: (1) racial/ethnic distribution; (2) religious distribution; (3) geographic proximity of the countries; (4) major language distribution; and (5) colonial heritage. Based on the degree of fit of the statistical model (discriminant analysis), we classify all other countries into the 10 cultural clusters identified in the GLOBE study. Finally, using the results from the statistical analysis, we derive general rules of thumb for classifying countries into the same 10 cultural clusters. This extension enables researchers seeking to apply global cultural groupings in their study to have a more reliable basis to do so.
ABSTRACT Evidence provided by the GLOBE study (2004) has shown that different cultures have definite preferences for different leadership styles. This study examines whether the cultural preference for specific leadership styles has... more
ABSTRACT Evidence provided by the GLOBE study (2004) has shown that different cultures have definite preferences for different leadership styles. This study examines whether the cultural preference for specific leadership styles has implications for the development of the rule of law and for transparency in government budgetary reporting. Our results show that, while the Performance-Oriented leadership style is positively related to the rule of law, the Self/Group-Protective was positively associated with greater budget transparency. No consistent relationships were found for the Team-Oriented and Participative leadership styles. The most surprising and unexpected findings were that Autonomous leadership had a negative relationship with economic development (measured by GNP per capita), while Humane leadership had a strong positive relationship. One major implication of this study is that the movement towards both greater rule of law and greater transparency in government budgeting may be facilitated by changes in cultural preferences for certain leadership styles.
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ABSTRACT Differences in cultural philosophy at the national level have been theorized to affect business practices, legal systems, social behavior norms, educational achievements, and even the rate of economic growth. We extend this... more
ABSTRACT Differences in cultural philosophy at the national level have been theorized to affect business practices, legal systems, social behavior norms, educational achievements, and even the rate of economic growth. We extend this literature to examine the effect of national culture on government budgeting practices, using Hofstede’s (1980, 1983) 4-factor cultural dimensions. Government budgeting practices are classified with respect to the extent to which the legislative body controls government expenditures (Legislative “Power of the Purse”), and also the extent to which the budgets are transparent to both the legislature and the general public (Budget Transparency). Using data from 49 countries covered in both the OECD/World Bank (2007/2008) Government Budgeting Practices Surveys and Hofstede’s national cultural dimensions study, we find the following: (1) Hofstede’s Masculinity and Uncertainty Avoidance indices are both positively related to the Legislative Power of the Purse measure; and (2) the Individualism index is significantly and positively related to Budgeting Transparency. The implications of these findings are then discussed.
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ABSTRACT We propose a new methodology to assess the usefulness of information - its inferential value. We define inferential value as the ability of the capital markets to draw the correct inference from the information signals regarding... more
ABSTRACT We propose a new methodology to assess the usefulness of information - its inferential value. We define inferential value as the ability of the capital markets to draw the correct inference from the information signals regarding future firm performance. We then examine the inferential value to investors of accounting versus non-accounting sources of information. Both average quarterly accounting rate of return on equity and excess stock returns are used as measures of firm performance. The findings indicate that a market-normalized accounting rate of return derived from stock prices around earnings announcement dates are more highly correlated with changes in future firm performance than similar measures in the non-disclosure periods. The findings support the prevalent view that accounting information disciplines information from other sources. Our findings also suggests that, despite the greater information environment of large firms, earnings announcements are as important in anticipating future profitability as they are for smaller firms.
ABSTRACT In this study we theorize that student achievement varies cross-sectionally with the percentage of school district revenues raised from local taxes and with salary levels of school district administrators (Superintendents and... more
ABSTRACT In this study we theorize that student achievement varies cross-sectionally with the percentage of school district revenues raised from local taxes and with salary levels of school district administrators (Superintendents and Principals). This theory is tested using a sample of 218 Kindergarten – Grade 12 school districts in the state of New Jersey. Our regression model includes sixteen variables to explain student achievement scores on standardized exams on Language and Mathematics from years 2001-2006. We find that increases to the percent of school funds raised locally has a positive influence on test scores, consistent with agency models that suggest local property tax funding (opposed to centralized financing) provide a disciplinary mechanism to improve the quality of output from local public good providers (Hoxby 1999). Consistent with our predictions, we find that higher administrative salaries are associated with higher test scores. But we also find that other costs of administration (excluding salaries) are associated with lower test scores. Taken in combination, these results help explain the mixed findings in prior studies that explore the nexus between administrative costs and student achievement.
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ABSTRACT This study examines the influence of taxpayer balloting on budget levels and its relationship with standardized test results in New Jersey school districts. The relation between efficiency, effectiveness, and budget voting... more
ABSTRACT This study examines the influence of taxpayer balloting on budget levels and its relationship with standardized test results in New Jersey school districts. The relation between efficiency, effectiveness, and budget voting outcomes is analyzed over a ten-year sample period. Cost and production functions are jointly estimated, where the two endogenous variables are comparative cost per pupil and weighted test scores. From these regressions, efficiency and effectiveness scores are derived for each school district. Granger causality tests with controls for other factors are then used to determine the presumed direction of causality between efficiency, effectiveness, and voting outcomes. We find a negative relation between the one-year lag of efficiency scores and the current year’s effectiveness scores, and vice-versa. This negative feedback loop suggests that cutting costs in one year may have an adverse effect on test scores in the following year, and that higher test scores are followed by more spending in the subsequent year. However, overall, we find that more cost-efficient school districts also tend to be more test outcome-effective. As for voting outcomes, we find that a defeated budget (i.e., “no vote”) is negatively related to efficiency, but positively related to effectiveness for the coming school year to which that budget relates. The negative relation suggests that the proposed budget observed by taxpayer’s signals inefficiencies that are not cured by remedial actions taken in response to the negative vote, and that the negative vote is instead used as an incentive to improve performance (in lieu of making substantial reductions in the budget).
ABSTRACT This study examines whether the provision of non-audit services by a firm’s own auditors provides value to the firm. We examine the future return on assets and sales growth as a function of the expenditures by the client firms on... more
ABSTRACT This study examines whether the provision of non-audit services by a firm’s own auditors provides value to the firm. We examine the future return on assets and sales growth as a function of the expenditures by the client firms on non-audit services, reasoning that if such payments are intended primarily to impair auditor independence, no association with future firm performance should be detected. Our findings show that, in fact, the payments to auditors for non-audit services are positively related to the one-period ahead sales growth. We interpret these findings as suggesting that firms do obtain value for their expenditures on non-audit services provided by their auditors. Thus, even if auditor independence is compromised by such hiring, the value obtained by the client firms for their non-audit services may justify their hiring.
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Page 1. 1 DISCLOSURE OF THE FAIR VALUE OF EXECUTIVE STOCK OPTIONS GRANTED TO TOP EXECUTIVES Kevin CK Lam School of Accountancy Faculty of Business Administration The Chinese University of Hong Kong Shatin, NT Hong Kong... more
Page 1. 1 DISCLOSURE OF THE FAIR VALUE OF EXECUTIVE STOCK OPTIONS GRANTED TO TOP EXECUTIVES Kevin CK Lam School of Accountancy Faculty of Business Administration The Chinese University of Hong Kong Shatin, NT Hong Kong kevinlam@cuhk.edu.hk ...
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Abstract: We present in this study a method for comparing the relative effectiveness of different non-profit institutions with similar objectives. In addition, we show how this measure of relative effectiveness is related theoretically to... more
Abstract: We present in this study a method for comparing the relative effectiveness of different non-profit institutions with similar objectives. In addition, we show how this measure of relative effectiveness is related theoretically to their relative efficiency. Finally, drawing ...
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Raj Aggarwal Michael Alderson Richard Baillie Randolph Beatty Victor Bernard Roger Bey John Binder Michael Bordo Ivan Brick Keith C. Brown Lawrence Brown Andrew Chen Carl Chen Ren Raw Chen CS Cheung Kee H. Chung Daniel Collins Charles... more
Raj Aggarwal Michael Alderson Richard Baillie Randolph Beatty Victor Bernard Roger Bey John Binder Michael Bordo Ivan Brick Keith C. Brown Lawrence Brown Andrew Chen Carl Chen Ren Raw Chen CS Cheung Kee H. Chung Daniel Collins Charles Corrado David Cummins Edward Dyl Larry Eisenberg Vihang Errunza Joseph Finnerty Michael Firth Mark Flannery Jack C. Francis Carol A. Frost John E. Gilster Larry Glosten Puneet Handu Ned Hill Ira Hirowitz ... Mark Hirschey David Hsieh Chin-Wen Hsin George WL Hui Charles Jacklin Bikki Jaggi Frank Jen Kose ...
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Page 1. Review of Quantitative Finance and Accounting, 2 (1992): 187-203 9 1992 Kluwer Academic Publishers, Boston. Manufactured in The Netherlands. Adjusted Accounting Beta, Operating Leverage and Financial Leverage as Determinants of... more
Page 1. Review of Quantitative Finance and Accounting, 2 (1992): 187-203 9 1992 Kluwer Academic Publishers, Boston. Manufactured in The Netherlands. Adjusted Accounting Beta, Operating Leverage and Financial Leverage as Determinants of Market Beta: ...