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We examine how short product life cycle lengths constrain real activities management among a group of manufacturing firms. Companies with short-cycle products face fast product obsolescence and constant pressure to develop and market new products. Fast product obsolescence increases the cost of overproduction, while constant pressure for new product development increases the cost of opportunistic spending cuts. We predict and find evidence that in general, short-cycle firms do not beat earnings thresholds through overproduction and discretionary spending cuts as extensively as long-cycle firms do. However, since the Sarbanes-Oxley Act came into effect, short-cycle firms have increasingly overproduced, and there is no longer a difference in overproduction between short- and long-cycle firms. Moreover, the presence of major customers attenuates the relationship between product life cycle lengths and real activities management, while a large market share and high fixed-assets intensity both accentuate the relationship. Finally, short-cycle firms are also less likely to use LIFO (last-in, first out) liquidation to inflate earnings than long-cycle firms. [ABSTRACT FROM AUTHOR]

Management earnings forecasts (MEFs) may reduce information risk by corroborating the inferences that lenders draw from their private communication with borrowers. Consistent with this idea, we find that among firms with a general policy of issuing MEFs, those providing MEFs in the 6 months before loan origination with a forecast horizon beyond the origination date enjoy lower loan spreads. The frequency and precision of MEFs are also negatively associated with loan spreads. The associations are stronger when lenders' need for corroboration of their private information is expected to be greater. The associations are not driven by a firm's general information environment, signaling of managerial ability, opportunistic disclosure, or competition between public and private debt markets. Moreover, the issuance, frequency, and precision of MEFs are associated with loan amounts more spread out among participating lenders, suggesting that MEFs also reduce information asymmetry within a loan syndicate. Our study provides insight into the corroboration role of publicly disseminated MEFs in private loan markets. [ABSTRACT FROM AUTHOR]

This article analyzes the impact of Public Company Accounting Oversight Board (PCAOB)-type regulatory oversight and legal liability on audit quality and social surplus. We show the conditions under which regulatory oversight can improve audit quality and social surplus, as compared with the impact of legal systems. Moreover, we demonstrate that regulatory oversight is not likely to substitute effectively for a legal system. This is the first study that analyzes the possible effects of an audit regulator on auditors under different legal systems, and our results enhance understanding of the complex relationship between regulatory oversight, a legal system, and social surplus. [ABSTRACT FROM AUTHOR]

The purpose of the article is to analyze the relevance of earnings fundamentals in predicting extreme price reversals of an emerging stock market. We collect monthly price data on six sector indices from Bombay Stock Exchange (BSE) of India for the period 2004–2019. The research decomposes industry stock returns into Potential Maximum Gains (PMG) and Potential Maximum Losses (PML) with price extremes at first and then tests price reversal behavior using Generalized AutoRegressive Conditional Heteroskedasticity (GARCH) and vector autoregressive (VAR) models. The study finds symmetry between PMG and PML in the banking, realty, and oil sectors, while the asymmetric reversal behavior is noted in the automobiles and capital goods industries. The presence of industry fundamentals in the models estimating the reversal behavior of share prices enhances their predictive power, which suggests the significance of value strategies in making gains from extreme price variations. The price reversal behavior is sector specific and found inconsistent in emerging market. Hence, the investors cannot overlook the relevance of the industry characteristics and earnings fundamentals while predicting the stock price behavior in emerging markets. [ABSTRACT FROM AUTHOR]

In this article, we bridge the gap between academia and practice by analyzing and presenting the results of allegations in more than 200 lawsuits against the largest public accounting firms. Our findings are critical as the lawsuits damage the firms' reputations, the credibility of the profession in general, and may result in large monetary losses and loss of clients. We find three key results not found in previous legal research. First, we find that Generally Accepted Accounting Principles (GAAP) issues, especially those focused on valuation, dominate Generally Accepted Auditing Standards (GAAS) issues in the allegations. Second, fraud allegations against the auditors themselves are a significant problem, although often ignored in the fraud literature. Third, the Public Company Accounting Oversight Board (PCAOB) reports on the accounting firms provide an unintended source of information for third parties in future legal allegations against those same firms. [ABSTRACT FROM AUTHOR]

Critics opine that full expensing of research and development (R&D) depresses near-term profits and incentivizes myopic managers to under-invest in R&D, compromising firm efficiency. Advocates of the expensing rule argue that little rigorous research evidence supports the claimed adverse consequences. We examine the impact of the R&D expensing rule on firm efficiency by exploiting an exogenous shock: a shift in the accounting regime in Germany from full expensing to partial capitalization of R&D when it mandated International Financial Reporting Standard (IFRS) adoption in 2005. We employ Stochastic Frontier Analysis and Data Envelopment Analysis to estimate efficiency for the same German firms before and after the IFRS adoption. We find robust evidence of efficiency improvement in the post-period relative to the pre-period for German R&D firms that report R&D expenditures, and for both early adopters and timely adopters. We also document that financially constrained firms and firms experiencing rapid R&D growth prior to the IFRS adoption show greater efficiency improvement. Moreover, we conduct three falsification tests to make sure our results are not attributable to other accounting changes associated with the IFRS adoption, and find no efficiency improvement for the three control groups (German "no-R&D" sample, U.K. firms, and Australian firms), respectively. We conclude that the change in the R&D reporting rule is the likely catalyst for improvements in efficiency of German R&D firms. [ABSTRACT FROM AUTHOR]

Copyright of Contemporary Accounting Research is the property of Canadian Academic Accounting Association and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Objective Although extensive literature exists on abnormal audit fees, their determinants remain relatively underexplored in contemporary accounting and auditing research. Audit fees have attracted the attention of standard developers, investors, and researchers. Recent studies highlight a growing perspective that the role of abnormal audit fees in shaping audit report quality has become increasingly contentious. In addition, credit status significantly affects abnormal audit fees. This study aims to investigate the asymmetric reactions of the abnormal audit fees component to changes in credit status. Methods Considering the data collection method, the current research is descriptive. Descriptive research is carried out to better understand the existing conditions or help the decisionmaking process. According to the different categories of descriptive research, the current research is of correlational type. To test the research hypotheses, data was gathered from 120 firms listed on the Tehran Stock Exchange from 2014 to 2022. Finally, to examine and analyze the proposed hypotheses according to the theoretical foundations, the regression approach was applied. Results The analysis of the first research hypothesis shows that the reduction of credit status has a positive and significant effect on abnormal audit fees. The second hypothesis of the research is that any decrease (increase) in the credit status has a positive (negative) and significant effect on the variable (short-term) part of the abnormal audit fee. The third research hypothesis, which claimed that bankruptcy risk significantly affects the relationship between the reduction (or increase) of credit status and the variable (short-term) component of the abnormal audit fee, was rejected. Finally, the results indicate that the risk of significant distortion has a significant effect on the relationship between the reduction (increase) of the credit status and the variable (short-term) part of the abnormal audit fee. Conclusion Based on the results, it can be concluded that as profit manipulation by the owners increases, the credit status of the companies declines. Auditors exert greater effort when dealing with owners who engage in manipulation, have a high likelihood of fraud, and exhibit low-profit quality, leading them to demand higher fees. In this regard, any decrease in credit status can result in problems, financial limitations, and the risk of bankruptcy in the future. Finally, higher profit quality attracts investors, leading to increased opportunities for financing. [ABSTRACT FROM AUTHOR]

This study aims to analyze the effect of corporate governance, share ownership, management compensation, and the Covid-19 pandemic on tax avoidance in mining companies listed on the Indonesia Stock Exchange (IDX) for the period 2018-2023. Corporate governance is measured by the number of independent commissioners and audit committees, while share ownership includes institutional and managerial ownership. This study uses 20 companies as samples with a total of 120 data observations using the purposive sampling method. The research data were analyzed using panel data regression using EViews12 software. The number of independent commissioners and institutional ownership contribute to a decrease in tax avoidance by increasing supervision and compliance. Conversely, the number of audit committees and management compensation are positively related to tax avoidance, indicating weaknesses in the effectiveness of supervision and compensation incentives that encourage tax avoidance. Managerial ownership has a negative but insignificant effect on tax avoidance. The Covid-19 pandemic shows a positive but insignificant effect, with government policies and corporate governance helping to limit its impact. Overall, the low tax ratio in the mining sector could be related to a combination of these factors, including weaknesses in corporate governance, audit committee effectiveness, institutional ownership, and inadequate compensation incentives. This study also found that the low tax ratio in the mining sector is closely related to tax avoidance practices carried out by companies. The implications of this study are the importance of increasing supervision of corporate governance, especially in terms of the effectiveness of independent commissioners and audit committees, as well as transparency in share ownership and management compensation. Government policies and related authorities need to be strengthened to minimize tax avoidance practices, in order to increase state tax revenues from the mining sector. [ABSTRACT FROM AUTHOR]

We examine how the culture of origin of sell-side financial analysts in the United States influences their forecasting. We find that analysts from individualistic cultures are more likely to issue bold earnings forecasts and stock recommendations than analysts from collectivist cultures. Individualistic (collectivist) analysts' tendency to overweight (underweight) their private information at least partly explains the results. The effect of culture decreases with the analysts' professional skills and their exposure to the U.S. culture but increases with task difficulty. For market consequences, short-window market reactions are stronger to bold reports by collectivist analysts than to those by individualistic analysts, consistent with the analysts' differential weighting of their private information. On average, however, a higher level of analyst individualism is associated with lower stock price synchronicity of the firm covered, indicating that more firm-specific information is impounded in the stock price. Our study extends research on the effect of national culture in the capital market by demonstrating how individualism, a central element of culture, affects analysts' information processing and the value of their work. [ABSTRACT FROM AUTHOR]

Purpose: This study aims to examine the direct influence of workplace bullying (WB) on internal auditors' independence using the nexus between the agency theory and social exchange theory. From the internal auditors' perspective, the investigation covered both government and private colleges and universities in one of the Middle East countries. Design/methodology/approach: A survey was administered and delivered to internal auditors at each of the 85 educational institutions. A total of 267 valid questionnaires were analysed. The study's measurement and structural models were tested and evaluated by using SmartPLS v.4 and partial least squares-structural equation modelling. Findings: The study results indicated that bullying is common among senior managers, and that it has a significant, negative, high-level and direct effect on the independence of internal auditors in the higher education sector. Practical implications: Regulators and other stakeholders should make a deliberate effort to promote positive behaviours and abandon negative ones regarding the independence of internal auditors and the performance of audit teams, which play a crucial role in enhancing the efficiency of audit units. For example, enhancing coordination and communication internally and externally. In addition to providing the internal auditors with equitable advancement and learning opportunities, senior management should also support their professional development. Originality/value: To the best of the author's knowledge, this study is the first to examine the relationship between WB and the internal auditor's independence in the context of government and private organisations in Southwest Asian countries. [ABSTRACT FROM AUTHOR]

Copyright of Feed Research is the property of Editorial Board of Feed Research and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Capsicum (Solanaceae) includes peppers and chilies. Phytophthora capsici (Peronosporaceae) and Bemisia tabaci (Hemiptera: Aleyrodidae) are two relevant problems in the production of this genus. Among the sustainable alternatives for disease and pest control, plant resistance and biological control stand out. The main objective of this research was to evaluate the resistance of Capsicum genotypes to damage by P. capsici and infestation by B. tabaci, as well as to diagnose whether the action of predators and parasitoids against B. tabaci could complement the resistance of the plants. The progression of disease caused by P. capsici and infestation by B. tabaci was estimated in 23 Capsicum genotypes, corresponding to the species: Capsicum annuum, Capsicum baccatum, Capsicum chinense, Capsicum frutescens and Capsicum. pubescens, from the GenBank of the National Institute of Agricultural Research (INIAP-Ecuador). Three genotypes: ECU-11993 (C. baccatum), ECU-11991 and ECU-2244 (C. pubescens) showed high susceptibility to both P. capsici damage and B. tabaci infestation. C. baccatum, C. chinense and C. frutescens genotypes showed the highest resistance to both pests, suggesting multiple resistance. Six taxa of predators and parasitoids reduced B. tabaci populations that developed in the most infested genotypes. Plant resistance is a control alternative that could allow the use of biological control, making it environmentally friendly. These results provide the basis for breeding programs in Capsicum. [ABSTRACT FROM AUTHOR]

The current study aimed to appraise extracts of Cleome simplicifolia (Cambess.) Hook. f. and Thomson leaves for chemical integrant and biological activities. In this study, different extracts of leaves were estimated for qualitative phytochemical screening, identification of functional groups, mineral content, and phyto-compounds and assessed for in vitro antioxidant and in vivo acute toxicity and hepatoprotective activity antagonistic toward paracetamol-intoxicated Wister albino rats. The results of the qualitative phytochemical assessment of the leaf extracts (acetone, methanol, and distilled water) exhibited the occurrence of useful metabolites. A Fourier transform infrared analysis confirmed the occurrence of O-H, N-H, C=C, S=O, C-O, C-N, C-Cl, and C-Br at 3367.14, 2920.79, 2850.32, 1631.04, 1384.59, 1168.64, 1063.78, 824.78, and 615.25 cm−1 wavelengths, whereas energy-dispersive X-ray showed the existence of carbon, oxygen, magnesium, aluminum, silicon, phosphorus, sulfur, chlorine, potassium, and calcium elements in the leaf, respectively. Thereafter, a gas chromatography–mass spectroscopy analysis unveiled the diverse volatile compounds in the methanolic leaf extracts, namely n-Heptyl acrylate—18.87%, undecane—17.49%, 2-Propenoic acid, 3-(3,4-dimethoxyphenyl)-, (E)—11.40%, Neophytadiene—11.02%, n-Hexadecanoic acid—10.78%, Glafenin—10.09%, Decane—7.45%, Phytol—6.0%, Benzene, (1-methyldodecyl)—3.48%, and 4-Cyclohexyl-1-butanol—3.41%, respectively. An analysis of in vitro antioxidant activity using the 2,2-diphenyl-1-picrylhydrazyl assay of methanolic leaf extract revealed elevated levels of antioxidant ability at 20 (46.18%), 40 (53.83%), 60 (66.64%), 80 (74.03%), and 100 (85.05%) μg/mL. In addition, in vivo acute toxicity determination proved that the methanolic leaf extract was innocuous and caused no mortality at 72 mg, 78 mg, or 82 mg/kg b.wt. doses. The methanolic leaf extracts' in vivo hepatoprotective activity against paracetamol revealed significant efficacy at 50 and 100 mg/kg b.wt. via reduction of aspartate transaminase, alanine transaminase, alkaline phosphatase, bilirubin, and cholesterol (serum blood biochemical markers) followed by an enhancement in superoxide dismutase, catalase, and glutathione (liver antioxidants) with lipid peroxidation depletion compared with the normal group rats. From the investigated study, it was concluded that the C. simplicifolia leaf are a potential source for the isolation of biologically active phyto-compounds and have the ability to prevent liver damage by paracetamol induction, where the hepatic restoration ability is indexed to its in vivo and in vitro antioxidant ability, which might be the result of its chemical constituents. [ABSTRACT FROM AUTHOR]

Improper waste management is causing global environmental problems. Waste glass may have adverse impacts on the ecosystem. While a substantial amount of soda-lime glass bottle (SGB) undergoes recycling to create new glass items, a significant volume still ends up in landfills. Therefore, the aim of this study was to explore the potential use of SGB in foamed concrete (FC) production as an aggregate replacement. SGB was substituted for sand in different weight fractions, ranging from 5 to 50%. The fresh state, mechanical, thermal, pore structure, and transport properties were examined. The findings showed a significant enhancement in the FC's mechanical properties when SGB replaced 20% of sand. The compressive, flexural, and splitting tensile strengths exhibited a rise of up to 17.7, 39.4, and 43.8%, respectively. The findings also demonstrated that the addition of SGB improved the thermal conductivity, sorptivity, water absorption, and porosity. The scanning electron microscopy analysis indicated that the inclusion of 20% SGB caused a substantial decrease in void diameter and enhanced its uniformity. A comparison was made between the experimental data and predictions of the mechanical properties using various models of international standards, such as IS 456, ACI 318, NZS-3101, EC-02, AS 3600, and CEB-FIB, along with several references in the literature. The findings implied a strong correlation between the strength properties. The outcomes of this research offer valuable insights into both the possible advantages and constraints of using SGB in FC. Furthermore, this extensive laboratory investigation may serve as a guideline for future study and aid in the advancement of greener and more environmentally friendly FC alternatives., (© 2024. The Author(s).)

Amyloodinium ocellatum is among the most devastating protozoan parasites, causing huge economic losses in the mariculture industry. However, the pathogenesis of amyloodiniosis remains unknown, hindering the development of targeted anti-parasitic drugs. The A. ocellatum in vitro model is an indispensable tool for investigating the pathogenic mechanism of amyloodiniosis at the cellular and molecular levels. The present work developed a new cell line, ALG, from the gill of yellowfin seabream (Acanthopagrus latus). The cell line was routinely cultured at 28°C in Dulbecco's modified Eagle medium (DMEM) supplemented with 15% fetal bovine serum (FBS). ALG cells were adherent and exhibited an epithelioid morphology; the cells were stably passed over 30 generations and successfully cryopreserved. The cell line derived from A. latus was identified based on partial sequence amplification and sequencing of cytochrome B (Cyt b). The ALG was seeded onto transwell inserts and found to be a platform for in vitro infection of A. ocellatum, with a 37.23 ± 5.75% infection rate. Furthermore, scanning electron microscopy (SEM) revealed that A. ocellatum parasitizes cell monolayers via rhizoids. A. ocellatum infection increased the expression of apoptosis and inflammation-related genes, including caspase 3 (Casp 3), interleukin 1 (IL-1), interleukin 10 (IL-10), tumour necrosis factor-alpha (TNF-α), in vivo or in vitro. These results demonstrated that the in vitro gill cell monolayer successfully recapitulated in vivo A. latus host responses to A. ocellatum infection. The ALG cell line holds great promise as a valuable tool for investigating parasite-host interactions in vitro., (© 2024 John Wiley & Sons Ltd.)