Front Matter Source: The Accounting Review, Vol. 74, No. 4 (Oct., 1999) Published by: American Accounting Association Stable URL: http://www.jstor.org/stable/248453 . Accessed: 13/06/2014 00:26 Your use of the JSTOR archive indicates your acceptance of the Terms & Conditions of Use, available at . http://www.jstor.org/page/info/about/policies/terms.jsp . JSTOR is a not-for-profit service that helps scholars, researchers, and students discover, use, and build upon a wide range of content in a trusted digital archive. We use information technology and tools to increase productivity and facilitate new forms of scholarship. For more information about JSTOR, please contact [email protected]. . American Accounting Association is collaborating with JSTOR to digitize, preserve and extend access to The Accounting Review. http://www.jstor.org This content downloaded from 62.122.79.56 on Fri, 13 Jun 2014 00:26:58 AM All use subject to JSTOR Terms and Conditions
Transcript
Front MatterSource: The Accounting Review, Vol. 74, No. 4 (Oct., 1999)Published by: American Accounting AssociationStable URL: http://www.jstor.org/stable/248453 .
Accessed: 13/06/2014 00:26
Your use of the JSTOR archive indicates your acceptance of the Terms & Conditions of Use, available at .http://www.jstor.org/page/info/about/policies/terms.jsp
.JSTOR is a not-for-profit service that helps scholars, researchers, and students discover, use, and build upon a wide range ofcontent in a trusted digital archive. We use information technology and tools to increase productivity and facilitate new formsof scholarship. For more information about JSTOR, please contact [email protected].
.
American Accounting Association is collaborating with JSTOR to digitize, preserve and extend access to TheAccounting Review.
http://www.jstor.org
This content downloaded from 62.122.79.56 on Fri, 13 Jun 2014 00:26:58 AMAll use subject to JSTOR Terms and Conditions
PAQUITA Y. DAVIS-FRIDAY, L. BUKY FOLAMI, CHAO-SHIN LIU, and H. FRED MITTELSTAEDT
The Value Relevance of Financial Statement Recognition vs. Disclosure: Evidence from SFAS No. 106
MESSOD D. BENEISH Incentives and Penalties Related to Earnings Overstatements that Violate GAAP
WILLIAM R. BABER, SOK-HYON KANG, and KRISHNA R. KUMAR The Explanatory Power of Earnings Levels vs. Earnings Changes in the Context of Executive Compensation
PING ZHANG and LYNDA THOMAN Pre-Trial Settlement and the Value of Audits
STEPHEN E. RAU and DONALD V. MOSER Does Performing Other Audit Tasks Affect Going-Concern Judgments?
BRUCE K. BILLINGS Revisiting the Relation between the Default Risk of Debt and the Earnings Response Coefficient
A Q UA R TE RLY J OU R NAL O F T HE
AMERICAN ACCOUNTING ASSOCIATION
This content downloaded from 62.122.79.56 on Fri, 13 Jun 2014 00:26:58 AMAll use subject to JSTOR Terms and Conditions
The members of the 1999-2000 Executive Committee of the Association are as follows:
President Jan R. Williams, University of Tennessee President-Elect Mary S. Stone, University of Alabama Vice President Grace Pownall, Emory University Vice President-Education Jane F. Mutchler, Georgia State University Vice President-Finance Paul A. Copley, University of Georgia Vice President-International C. S. Agnes Cheng, University of Arkansas Vice President-Professional Relations Ellen Glazerman, Ernst & Young Foundation Vice President-Publications William L. Felix, Jr., University of Arizona Vice President-Research Joel S. Demski, University of Florida Vice President-Sections and Regions Silvia A. Madeo, University of Missouri-St. Louis Past President Michael A. Diamond, University of Southern California
The full-time Executive Director of the Association is Craig E. Polhemus.
The American Accounting Association was founded in 1916 as the American Association of University Instructors in Accounting. Its present name was adopted in 1936. The Association is a voluntary organization of persons interested in accounting education, research, and practice. Full membership entitles one to receive Accounting Education News, a selection of one, two, or all three of the Association-wide journals (The Accounting Review, Accounting Horizons, and Issues in Accounting Education) and the opportunity to purchase Association publications at a discount.
Membership in the Association is available at the following annual rates:
Full membership: The membership dues are based on the selection of one, two, or all three of the following Association-wide journals: The Accounting Review, Accounting Horizons, and Issues in Accounting Education. (This does not include Section journals.)
Select one Association-wide journal . ................................................. U.S. $85.00 Select two Association-wide journals .................................................. U.S. $95.00 All three Association-wide journals .................................................. U.S. $100.00
Associate membership for students residing in the United States and Canada: Select one Association-wide journal . ................................................. U.S. $20.00 Select two Association-wide journals .................................................. U.S. $30.00 All three Association-wide journals . ................................................. U.S. $35.00
In addition, full members may belong to one or more Sections: Accounting, Behavior and Organizations; Account- ing Programs Leadership Group; American Taxation Association; Artificial Intelligence/Emerging Technologies; Auditing; Financial Accounting and Reporting; Gender Issues in Accounting; Government and Nonprofit; Infor- mation Systems; International Accounting; Management Accounting; Public Interest; Teaching and Curriculum; and Two-Year College. Each Section assesses its own annual dues which are collected by the Association.
Subscriptions to The Accounting Review are available at the annual rate of U.S. $1 10.00, effective January 1, 1998.
Periodical postage paid at Sarasota, Florida and at additional mailing offices. POSTMASTER: Send address changes to American Accounting Association, 5717 Bessie Drive, Sarasota, FL 34233-2399.
Editorial correspondence and all manuscripts should be sent to Professor Linda S. Bamber, Editor, The Accounting Review, Tull School of Accounting, College of Business Administration, University of Georgia, 255 Brooks Hall, Athens, GA 30602-6252.
The submission fee of $75.00 for members of the AAA or $100.00 for nonmembers must accompany manuscripts when submitted. Books for review should be sent to Professor Thomas H. Williams, Accounting Area, McIntire School, University of Virginia, Charlottesville, VA 22903-2493. Request for reprint permission, subscriptions, advertisements and dues should be sent to American Accounting Association, 5717 Bessie Drive, Sarasota, FL 34233-2399 - Telephone: (941) 921-7747 - Fax: (941) 923-4093 - Email: [email protected]. Notice of change of address should be mailed at least eight weeks in advance to ensure undelayed receipt of The Accounting Review.
Accounting Review (ISSN 0001-4826) is published quarterly by the American Accounting Association, 5717 Bessie Drive, Sarasota, Florida 34233-2399. Subscriptions are available at the annual rate of U.S. $140. Periodical postage paid at Sarasota, Florida and additional mailing offices. POSTMASTER: Send address change to Accounting Review, 5717 Bessie Drive, Sarasota Florida 34233-2399.
Copyright C 1999 American Accounting Association. All rights reserved. Printed in the United States of America.
This content downloaded from 62.122.79.56 on Fri, 13 Jun 2014 00:26:58 AMAll use subject to JSTOR Terms and Conditions
THE ACCOUNTING REVIEW A Q UARTER LY J O U R NAL O F TH E
AMERICAN ACCOUNTING ASSOCIATION Editor
Gerald L. Salarmon Associate Editors
Stanley Baiman Mark W. Nelson Mary E. Barth Jamie H. Pratt Dan S. Dhaliwal Brett Trueman
VOL. 74 OCTOBER 1999 No. 4
PAQUITA Y DAVIS-FRIDAY, L. BUKY FOLAMI, CHAO-SHIN LIU, and H. FRED MITTELSTAEDT The Value Relevance of Financial Statement Recognition vs. Disclosure: Evidence from SFAS No. 106 . ......................................................... 403
MESSOD D. BENEISH Incentives and Penalties Related to Earnings Overstatements that Violate GAAP .... 425
WILLIAM R. BABER, SOK-HYON KANG, and KRISHNA R. KUMAR The Explanatory Power of Earnings Levels vs. Earnings Changes in the Context of Executive Compensation ......................................................... 459
PING ZHANG and LYNDA THOMAN Pre-Trial Settlement and the Value of Audits ............... .......................... 473
STEPHEN E. RAU and DONALD V. MOSER Does Performing Other Audit Tasks Affect Going-Concern Judgments? ...... ....... 493
BRUCE K. BILLINGS Revisiting the Relation between the Default Risk of Debt and the Earnings Response Coefficient ....................................................................... 509
BOOK REVIEWS, Thomas H. Williams, Editor
Robert S. Kaplan, David P. Norton, and Philip J. Ferneau, Balancing the Corporate Scorecard ............ ...................... DAVID SHIELDS 523
Gary John Previts, and Barbara Dubis Merino, A History of Accountancy in the United States: The Cultural Significance of Accounts ........ .......... PATRICIA ARNOLD 524
List of Books Received ...... ............. ................... 525 Editorial Data ................. ..................... 526 Editorial Policy and Style Information .................. .................... 527
This content downloaded from 62.122.79.56 on Fri, 13 Jun 2014 00:26:58 AMAll use subject to JSTOR Terms and Conditions
Editorial Staff of The Accounting Review 1998-1999
MANAGING EDITOR AND EDITOR Gerald L. Salamon, Indiana University
ASSOCIATE EDITORS Stanley Baiman, University of Pennsylvania
Mary E. Barth, Stanford University Dan S. Dhaliwal, University of Arizona
Mark W. Nelson, Cornell University Jamie H. Pratt, Indiana University
Brett Trueman, University of California at Berkeley BOOK REVIEW EDITOR
Thomas H. Williams, University of Virginia
American Accounting Association EXECUTIVE DIRECTOR
Craig E. Polhemus COMMUNICATIONS DEPARTMENT
Beverly Harrelson Diane Hazard Kathy Casper Helen Griffith
Patricia Horwell Jan Kovarik (subcontracted)
Julie Alt (subcontracted) OTHER AAA STAFF Tracey E. Sutherland
Debora Gardner Roland LaTulip
Patricia A. Hoban Mary Cole
Judy Cothern James Szelminski
Janice Cejka Kathi Faulkner
Linda Watterworth
Editorial Advisory and Review Board Ashiq Ali, University of Arizona Frances L. Ayres, University of Oklahoma William R. Baber, The George Washington University Stephen P. Baginski, Indiana University Ramji Balakrishnan, Georgia State University E. Michael Bamber, University of Georgia Linda S. Bamber, University of Georgia Messod D. Beneish, Indiana University Walter G. Blacconiere, Indiana University Robert J. Bloomfield, Cornell University Sarah E. Bonner, University of Southern California David C. Burgstahler, University of Washington Brian Bushee, Harvard University C. Bryan Cloyd, University of Texas at Austin Jean C. Cooper, University of Kentucky Ilia D. Dichev, University of Michigan Michael L. Ettredge, University of Kansas Jennifer J. Gaver, University of Georgia Kenneth M. Gaver, University of Georgia Frank B. Gigler, University of Chicago Mahendra Gupta, Washington University Karl E. Hackenbrack, University of Florida Susan F. Haka, Michigan State University John R. M. Hand, University of North Carolina at
Chapel Hill Vicky B. Hoffman, University of Pittsburgh Amy P. Hutton, Harvard University Raffi J. Indjejikian, University of Michigan Christopher D. Ittner, University of Pennsylvania Debra C. Jeter, Vanderbilt University Steven J. Kachelmeier, University of Texas at Austin S. Jane Kennedy, University of Washington Lisa L. Koonce, University of Texas at Austin William N. Lanen, University of Michigan
Marlys G. Lipe, University of Oklahoma Joan L. Luft, Michigan State University Russell J. Lundholm, University of Michigan Joseph Magliolo III, Southern Methodist University Laureen Maines, Indiana University Ella Mae Matsumura, University of Wisconsin-Madison Steven R. Matsunaga, University of Oregon Maureen F. McNichols, Stanford University Kenneth A. Merchant, University of Southern California H. Fred Mittelstaedt, University of Notre Dame Susan E. Moyer, Seattle University Arijit Mukherji, University of Minnesota Patricia C. O'Brien, York University Kathy R. Petroni, Michigan State University Madhav V. Rajan, University of Pennsylvania Robert J. Ramsay, University of Kentucky Judy D. Rayburn, University of Minnesota Richard C. Sansing, Dartmouth College Jeffrey W. Schatzberg, University of Arizona Rachel Schwartz, Washington University Douglas A. Shackelford, University of North Carolina at
Chapel Hill Wayne H. Shaw, Southern Methodist University Daniel T. Simon, University of Notre Dame Douglas Skinner, University of Michigan J. Reed Smith, University of Oregon Sri S. Sridhar, Northwestern University Mary S. Stone, University of Alabama Lynda Thoman, Purdue University Senyo Y. Tse, University of Texas at Austin Richard M. Tubbs, University of Iowa James M. Wahlen, Indiana University Terry D. Warfield, University of Wisconsin-Madison Richard A. Young, Ohio State University
This content downloaded from 62.122.79.56 on Fri, 13 Jun 2014 00:26:58 AMAll use subject to JSTOR Terms and Conditions
