to simulate the flow of understanding of market value how accounting innovations into works in the real reported earnings. world. The biggest Basu arguments that of Beaver and Ryan unconditional is the contribution conservatism isn’t a in ordinary substitute for exploring new ways conditional to formalize and conservatism and state generate intuition that researchers can for future research. learn a lot more by consideration of the frictions between actual accounting and their simple models. 5 The Timeliness Ivana Raonic, Analyze of the First sample: Consist of All In this research paper This study provides of Income Stuart McLeay, asymmetric European they followed previous evidence of Recognition by Ioannis timeliness of companies(709firms) that work of practitioners accounting European Asimakopoulos income recognition traded their equity on like: Basu, Ball et al, conservatism with Companies: An 2004 of good and bad exchanges in more than Givoly and Hayn, Giner respect to different analysis of news in the one European country and Rees, and Pope and regulatory areas. Institutional and earnings of 366 between 1987 and 1999 Walker. Through They documented a Market firms Second sample: Consist algebraic modeling trend towards Complexity between 1987 and 366 European firms and they conduct a greater 1999 3724 firm-year regression analyses. conservatism for observations; Earnings With the results they firms domiciled and Yield and Stock Return. present additional listed in different (Resource: Datastream) evidence on markets. The main January/March 2004 conservatism and conclusion of this timeliness. In this paper is that in
to simulate the flow of market value innovations into reported earnings. Basu arguments that unconditional conservatism isn’t a substitute for conditional conservatism and state that researchers can learn a lot more by consideration of the frictions between actual accounting and their simple models. understanding of how accounting works in the real world. The biggest of Beaver and Ryan is the contribution in ordinary exploring new ways to formalize and generate intuition for future research. 5 The Timeliness of Income Recognition by European Companies: An analysis of Institutional and Market Complexity Ivana Raonic, Stuart McLeay, Ioannis Asimakopoulos 2004 Analyze of the asymmetric timeliness of income recognition of good and bad news in the earnings of 366 firms between 1987 and 1999 First sample: Consist of All European companies(709firms) that traded their equity on exchanges in more than one European country between 1987 and 1999 Second sample: Consist 366 European firms and 3724 firm-year observations; Earnings Yield and Stock Return. (Resource: Datastream) January/March 2004 In this research paper they followed previous work of practitioners like: Basu, Ball et al, Givoly and Hayn, Giner and Rees, and Pope and Walker. Through algebraic modeling they conduct a regression analyses. With the results they present additional evidence on conservatism and timeliness. In this This study provides evidence of accounting conservatism with respect to different regulatory areas. They documented a trend towards greater conservatism for firms domiciled and listed in different markets. The main conclusion of this paper is that in