那位好心人帮我翻译一下,英文文献的翻译,万分感谢!
不过..........貌似有点长
Earnings management to avoid earnings decreases and losses
Abstract:This paper provides evidence that firms manage reported earnings to avoid earnings decreases and losses. Specifically, in cross-sectional distributions of earnings changes and earnings, we lind unusually low frequencies of small decreases in earnings and small losscs and unusually high frequencies of small increases in earnings and small positive income. We find evidence that two components of earnings, cash flow from operations and changes in working capital, are used to achieve increases in earnings. We present two theories, based on stakeholder use of information-processing heuristics and prospect theory, about the motivation for avoidance of earnings decreases and losses.
Several recent studies offer more systematic evidence of incentives to maintain consistent increases in earnings. Barth et al. (1995) report that firms with a consistent pattern of earnings increases command higher price-to- earnings multiples, after controlling for earnings levels. Additionally, they find that this premium is larger for longer series of earnings increases and that the premium is eliminated or reduced substantially when the established pattern of earnings increases is broken. These findings are similar to those in DeAngelo et al. (1996), who document that firms breaking a pattern of consistent earnings growth experience an average of 14% negative abnormal stock return in the year the pattern is broken. Thus, there seem to be strong incentives for earnings manage- ment to aviod the reporting of earnings decreases, and the incentives appear to be increasing in the length of the preceding string of earnings increases.
There is also much anecdotal evidence of incentives to maintain positive earnings. References to the desirability of 'consistent profitability' are common- place in annual reports, news releases, and press coverage, suggesting that there are incentives to aviod losses. A recent paper by Hayn (1995) reports more direct evidence that firms try to aviod reporting losses:
Interestingly, there is a point of discontinuity around zero. Specifically, there is a concentration of cases just above zero, while there are fewer than expected cases (assuming the above normal distribution) of small losses (i.e., just below zero). The frequency of observations in both the region just above and that just below zero departs significantly from the expected frequency under the normal distribution at the 1% significance level using the binomial test. These results suggest that firms whose earnings are expected to fall just below the zero earnings point engage in earnings manipulations to help them cross the 'red line' for the year.
请再帮我翻译一下第五部分(5. Conclusion, implications, and suggestions for further research ),下面是网址http://www.business.uiuc.edu/doogar/ACCY493/Sp%2003/BDJAE97.pdf
参考资料:你把后面的部分发上来我打不开那网页!!!要求加分