The joint effect of investor protection, IFRS and earnings quality on cost of capital: An international study

Carbon disclosure, emission intensity and cost of equity capital: multi‐country evidence

“…The COC is our dependent variable and reflects firms' funds for operations obtained from investors (i.e., capital providers). The COC is a useful determinant of a firm's valuation because it incorporates investors' estimated discounted future cash flows and the anticipated rate of return for investing in the firm (Sharfman and Fernando, 2008;Kim et al, 2015;Persakis and Iatridis, 2017). In estimating a firm's COC, the riskiness of the firm relative to its peers is an important parameter impounded in the rate of return investors consider optimal.…”

“…3 In our sensitivity tests, we follow the approach of Gupta (2018) in constructing an alternative measure for CDS where the disclosure score for each firm is benchmarked relative to firms in their industry (Alt_CDS_Ind) or 1 In our sensitivity tests (not reported) we use the average of the Easton (2004) and Ohlson and Juettner-Nauroth (2005) models in re-estimating our COC and found similar results with our reported results in Section 4. Essentially, in both models the approach is to use price and analysts' earnings forecasts to derive the ex-ante cost of capital (Francis et al, 2005;Persakis and Iatridis, 2017). Thus, both approaches provide similar information about a firm's cost of equity capital based on the sequence of expected (abnormal) earnings derived from analysts' forecasts.…”

Earning Quality e o Desempenho das Companhias Brasileiras de Capital Aberto

“…A qualidade do lucro responde por importante parcela das pesquisas em contabilidade, podendo ser caracterizada como a capacidade de se sustentar no futuro, i. e., o lucro atual com alta (baixa) correlação com lucros futuros teriam alta (baixa) qualidade (Lustosa, Fernandes, Nunes, & De Araujo Junior, 2010 (Caskey & Hanlon, 2013;Dichev et al, 2013;Lawson & Wang, 2016), auditoria (Lambert, Jones, Brazel, & Showalter, 2017;Lennox, Wu, & Zhang, 2016), custo de capital (Affleck-Graves, Callahan, & Chipalkatti, 2002;Ghosh & Moon, 2010;Karamanou & Nishiotis, 2009;Lambert, Leuz, & Verrecchia, 2007;Liu, Ning, & Davidson III, 2010;Munteanu, 2011;Persakis & Iatridis, 2017), estrutura de governança corporativa (Athanasakou & Olsson, 2012;Choi, Lee, & Park, 2013;Core & Guay, 1999;El-Sayed Ebaid, 2013;Fan & Wong, 2002;Hazarika, Karpoff, & Nahata, 2012;Houqe & Zijl, 2010;Jiang & Anandarajan, 2009;Jiang, Lee, & Anandarajan, 2008;Kent, Kent, Routledge, & Stewart, 2016;Lin & Hwang, 2010;Machuga & Teitel, 2009;Sáenz González & García-Meca, 2014;Shiri, Vaghfi, Soltani, & Esmaeli, 2012;Shleifer & Vishny, 1997), adoção às International Financial Reporting Standards (IFRS) (Barth, 2013;Black & Nakao, 2017;Daske, Hail, Leuz, & Verdi, 2008;Healy & Palepu, 2001;…”

“…Y. . Chen, Lin, & Zhou, 2006;Chen, 2016;Chia, Lapsley, & Lee, 2007;De Bos & Donker, 2004;De Miguel, Pindado, & De La Torre, 2004;Fama & Jensen, 1983;Gabrielsen, Gramlich, & Plenborg, 2002;Houqe & Zijl, 2010;Lefort, 2005;Yeo, Tan, Ho, & Chen, 2002 Ainda, outras pesquisas procuram destacar a relação entre qualidade do lucro e a adoção ao padrão full IFRS (Barth, Landsman, & Lang, 2007;Barth, Landsman, Lang, & Williams, 2012;Bushman & Smith, 2001;Byard, Brown, Dahya, Darrough, Davisfriday & Gore 2010;Covrig, Defond, & Hung, 2007;Daske et al, 2008;Iatridis, 2010;Landsman et al, 2012;Li, 2010;Persakis & Iatridis, 2017;Samarasekera, 2013;Silva et al, 2017;Tan, Wang, & Welker, 2011). Essas pesquisas sugerem que as empresas que usam IFRS geralmente apresentam a informação contábil com maior qualidade do que àquelas que utilizam Generally Accepted Accounting Principles (GAAPs) locais (e.g., Barth et al, 2007).…”

“…A qualidade da informação contábil, sobretudo do lucro, tem sido objeto de pesquisas prévias nos últimos anos (e.g., Chaney, Faccio & Parsley, 2011;Chen, Tang, Jiang, & Lin, 2010;Dechow, Ge, & Schrand, 2010;Dichev, Graham, Harvey, & Rajgopal, 2013;Iatridis, 2010;Klann & Beuren, 2012;Oluoch, Namusonge & Onyango, 2015;Persakis & Iatridis, 2017;Rajgopal & Venkatachalam, 2011;Samarasekera, 2013) em virtude da sua destacada relevância, assim como em virtude da adoção ao padrão IFRS (Iatridis, 2010;Klann & Beuren, 2012;Silva, Bonfim, Niyama, & Silva, 2017).…”