Год выпуска: 2012 Автор: Samithamby Senthilnathan Издательство: LAP Lambert Academic Publishing Страниц: 188 ISBN: 9783659103728
Описание
Considering reformulation of the Ohlson (1995) model, this book demonstrates how to improve the empirical specification of value relevance models that explore the relevance of accounting information by accommodating the most recent prior period’s equity price as an additional explanatory variable. When the model specification is improved by including the most recent prior period’s price as an additional explanatory variable, current trailing earnings are shown to be at best marginally value relevant when empirically explaining share prices in value relevance regression models. This book also demonstrates that inclusion of the most recent prior period’s price as an additional explanatory variable eliminates the scale problem in value relevance models whereby the scale (or size) of dependent and independent variables in value relevance studies affects the apparent explanatory power of the models. Therefore, this book specifically indicates that value relevance studies that use the...
