Have a personal or library account? Click to login
Determining the Level of Accounting Conservatism through the Fuzzy Logic System Cover

Determining the Level of Accounting Conservatism through the Fuzzy Logic System

Open Access
|May 2019

References

  1. 1. Ahmed, A. S., Duellman, S. (2013), “Managerial Overconfidence and Accounting Conservatism”, Journal of Accounting Research, Vol. 51, No. 1, pp. 1-30.10.1111/j.1475-679X.2012.00467.x
  2. 2. Ahmed, A. S., Duellman, S. (2007), “Accounting conservatism and board of director characteristics: An empirical analysis”, Journal of Accounting and Economics, Vol. 43, No. 2-3, pp. 411-437.10.1016/j.jacceco.2007.01.005
  3. 3. Ahmed, A. S., Bilings, K. B., Morton. R. M., Stanford-Harris, M. (2002), “The role of accounting conservatism in mitigating bondholder-shareholder conflicts over dividend policy and in reducing debt costs”, The Accounting Review, Vol. 77, No. 4, pp. 867-890.10.2308/accr.2002.77.4.867
  4. 4. Alcalá-Fdez, J., Alonso, J. M. (2016), “A Survey of Fuzzy Systems Software: Taxonomy, Current Research Trends, and Prospects”, IEEE Transactions on Fuzzy Systems, Vol. 24, No. 1, pp. 40-56.10.1109/TFUZZ.2015.2426212
  5. 5. André, P., Filip, A., Paugam, L. (2015), “The effect of mandatory IFRS adoption on conditional conservatism in Europe”, Journal of Business Finance and Accounting, Vol. 42, No. 3-4, pp. 482–514.10.1111/jbfa.12105
  6. 6. Beskese, A., Kahraman, C., Irani, Z. (2004), “Quantification of flexibility in advanced manufacturing systems using fuzzy concept”, International Journal of Production Economics, Vol. 89, No. 1, pp. 45-56.10.1016/S0925-5273(03)00195-6
  7. 7. Balakrishnan, K., Watts, R. L., Zuo, L. (2016), “The Effect of Accounting Conservatism on Corporate Investment during the Global Financial Crisis”, Journal of Business Finance and Accounting, Vol. 43, No. 5-6, pp 513-542.10.1111/jbfa.12206
  8. 8. Ball, R., Shivakumar, L. (2005), “Earnings quality in U.K. private firms: Comparative loss recognition timeliness”, Journal of Accounting and Economics, Vol. 39, No. 1, pp. 83-128.10.1016/j.jacceco.2004.04.001
  9. 9. Barker, R., McGeachin, A. (2015), “An Analysis of Concepts and Evidence on the Question of Whether IFRS Should be Conservative”, ABACUS, Vol. 51, No. 2, pp. 169-207.10.1111/abac.12049
  10. 10. Barker, R., McGeachin, A. (2013), “Why is there inconsistency in accounting for liabilities in IFRS? An analysis of recognition, measurement, estimation and conservatism”, Accounting and Business Research, Vol. 43, No. 6, pp. 579-604.10.1080/00014788.2013.834811
  11. 11. Basu, S. (1997), “The conservatism principle and the asymmetric timeliness of earnings”, Journal of Accounting and Economics, Vol. 24, No. 1, pp. 3-37.10.1016/S0165-4101(97)00014-1
  12. 12. Beatty, A., Liao, S. (2011), “Do delays in expected loss recognition affect banks’ willingness to lend?”, Journal of Accounting and Economics, Vol. 52, No. 1, pp. 1-20.10.1016/j.jacceco.2011.02.002
  13. 13. Beatty, A., Petacchi, R., Zhang, H. (2012), “Hedge commitments and agency costs of debt: Evidence from interest rate protection covenants and accounting conservatism”, Review of Accounting Studies, Vol. 17, No. 3, pp. 700-738.10.1007/s11142-012-9189-4
  14. 14. Beaver, W. H., Landsman, W. R., Owen, E. L. (2012), “Asymmetry in Earnings Timeliness and Persistence: A Simultaneous Equations Approach”, Review of Accounting Studies, Vol. 17, No. 4, pp. 781-806.10.1007/s11142-011-9174-3
  15. 15. Chai, Y., Jia, L., Zhang, Z. (2009), “Mamdani model based adaptive neural fuzzy inference system and its application”, International Journal of Computational Intelligence, Vol. 5, No. 1, pp. 22-29.10.1109/FSKD.2009.76
  16. 16. Čičak, J. (2018), “Fair Value of Financial Statement Elements”, University of Rijeka, Faculty of Economics and Business, doctoral dissertation.
  17. 17. Díaz, B., Morillas, A. (2012), “Some Experiences Applying Fuzzy Logic to Economics”, in Seising, R., Sanz Gonzalez, V. (Eds.), Soft Computing in Humanities and Social Sciences, Springer, Berlin, Heidelberg, pp 347-379.10.1007/978-3-642-24672-2_19
  18. 18. Dietrich, J. R., Muller, K. A., Riedl, E. J. (2007), “Asymmetric timeliness tests of accounting conservatism”, Review of Accounting Studies, Vol. 12, No. 1, pp. 95-124.10.1007/s11142-006-9023-y
  19. 19. Edelman, D., Nicholson, A. (2011), “Arthur Anderson Auditors and Enron: What happened to their Texas CPA licenses?”, Journal of Finance and Accountancy, Vol. 8, pp. 1-9.
  20. 20. Ettredge, M., Huang, Y., Zhang, W. (2012), “Earnings restatements and differential timeliness of accounting conservatism”, Journal of Accounting and Economics, Vol. 53, No. 3, pp. 489-503.10.1016/j.jacceco.2012.01.002
  21. 21. Gao, H., Huang, J. (2018), “Employee Firing Costs and Accounting Conservatism: Evidence From Wrongful Discharge Laws”, available at SSRN.10.2139/ssrn.3276474
  22. 22. Garcia Lara, J. M., Garcia Osma, B., Penalva, F. (2016), “Accounting conservatism and firm investment efficiency”, Journal of Accounting and Economics, Vol. 61, No. 1, pp. 221-238.10.1016/j.jacceco.2015.07.003
  23. 23. Garcia Lara, J. M., Garcia Osma, B., Penalva F. (2009), “Accounting conservatism and corporate governance”, Review of Accounting Studies, Vol. 14, No. 1, pp. 161-201.10.1007/s11142-007-9060-1
  24. 24. Giovanis, E. (2010), “A study of panel logit model and adaptive neuro-fuzzy inference system in the prediction of financial distress periods”, World Academy of Science, Engineering and Technology, Vol. 64, pp. 646-652.10.2139/ssrn.1667446
  25. 25. Givoly, D., Hayn, C. (2000), “The changing time-series properties of earnings, cash flows and accruals: Has financial reporting become more conservative?”, Journal of Accounting & Economics, Vol. 29, No. 3, pp. 287-320.10.1016/S0165-4101(00)00024-0
  26. 26. Huijgen, C., Lubberink, M. (2005), “Earnings conservatism, litigation and contracting: The case of cross-listed firms”, Journal of Business Finance & Accounting, Vol. 32m No. 7-8, pp. 1275-1309.10.1111/j.0306-686X.2005.00629.x
  27. 27. International Accounting Standards Board (2016), International Financial Reporting Standards – Red Book, London, IFRS Foundation.
  28. 28. Kaur, A., Kaur, A. (2012), “Comparison of Mamdani-Type and Sugeno-Type Fuzzy Inference Systems for Air Conditioning System”, International Journal of Soft Computing and Engineering, Vol. 2, No. 2, pp. 323-325.
  29. 29. Khan, M., Watts, R. L. (2009), “Estimation and empirical properties of a firm-year measure of accounting conservatism”, Journal of Accounting Economics, Vol. 48, No. 2-3, pp. 132-150.10.1016/j.jacceco.2009.08.002
  30. 30. Kim, S. M., Kim, S. M., Lee, D. H., Yoo, S. W.,(2019), “How Investors Perceive Mandatory Audit Firm Rotation in Korea”, Sustainability, Vol. 11, No. 4.10.3390/su11041089
  31. 31. Kim, Y., Li, S., Pan, C., Zuo, L. (2013), “The role of accounting conservatism in the equity market: Evidence from seasoned equity offerings”, The Accounting Review, Vol. 88, No. 4, pp. 1327-1356.10.2308/accr-50420
  32. 32. Lee, E., Wang, K., Wang, Q., Zhang, X. (2018), “Unintended Consequences of Economic Interventionism on Accounting Conservatism: A Natural Experiment”, available at SSRN.
  33. 33. Lee, C. C. (1990), “Fuzzy logic in control systems: fuzzy logic controller. II”, IEEE Transactions on systems, man, and cybernetics, Vol. 20, No. 2, pp. 419-435.10.1109/21.52552
  34. 34. Lin, J. W., Hwang, M. I., Becker, J. D. (2003), “A fuzzy neural network for assessing the risk of fraudulent financial reporting”, Managerial Auditing Journal, Vol. 18, No. 8, pp. 657-665.10.1108/02686900310495151
  35. 35. Nikolaev, V. (2010), “Debt Covenants and Accounting Conservatism”, Journal of Accounting Research, Vol. 48, No. 1, pp. 51-89.10.1111/j.1475-679X.2009.00359.x
  36. 36. Penman, S. H., Zhang, X. J. (2002), “Accounting conservatism and the quality of earnings, and stock returns”, The Accounting Review, Vol. 77, No. 2, pp. 237-264.10.2308/accr.2002.77.2.237
  37. 37. Pratt, J., (2008), Financial Accounting in an Economic Context, John Wiley & Sons.
  38. 38. Qu, X., Zhang, G. (2010), “Measuring the convergence of national accounting standards with international financial reporting standards: The application of fuzzy clustering analysis”, The International Journal of Accounting, Vol. 45, No. 3, pp. 334-355.10.1016/j.intacc.2010.06.008
  39. 39. Ruch, G. W., Taylor, G. (2015), “Accounting conservatism: A review of the literature”, Journal of Accounting Literature, Vol. 34, pp. 17-38.10.1016/j.acclit.2015.02.001
  40. 40. Solomons, D. (1986), Making Accounting Policy: The quest for credibility in financial reporting, New York, Oxford University Press.
  41. 41. Spandagos, C., Ng, T. L. (2018), “Fuzzy model of residential energy decision-making considering behavioral economic concepts”, Applied Energy, Vol. 213, pp. 611-625.10.1016/j.apenergy.2017.10.112
  42. 42. Tan, L. (2013), “Creditor control rights, state of nature verification, and financial reporting conservatism”, Journal of Accounting and Economics, Vol. 55, No. 1, pp. 1-22.10.1016/j.jacceco.2012.08.001
  43. 43. Zhang, J. (2008), “The contracting benefits of accounting conservatism to lenders and borrowers”, Journal of Accounting and Economics, Vol. 45, No. 1, pp. 27-54.10.1016/j.jacceco.2007.06.002
  44. 44. Wang, R. Z., Ó Hogartaigh, C., van Zijl, T. (2009), “A Signaling Theory of Accounting Conservatism”, Journal of accounting literature, Vol. 28., pp. 165-203.10.2139/ssrn.1415305
  45. 45. Wang, C., Xie, F., Xin, X. (2018), “CEO Inside Debt and Accounting Conservatism”, Contemporary Accounting Research, Vol. 35, No. 4, pp. 2131-2159.10.1111/1911-3846.12372
  46. 46. Watts, R. L. (2003a), “Conservatism in Accounting Part I: Explanations and Implications”, Accounting Horizons, Vol. 17, No. 3, pp. 207-221.10.2308/acch.2003.17.3.207
  47. 47. Watts, R. L. (2003b), “Conservatism in Accounting Part II: Evidence and Research Opportunities”, Accounting Horizons, Vol. 17, No. 4, pp. 287-301.10.2308/acch.2003.17.4.287
DOI: https://doi.org/10.2478/bsrj-2019-0007 | Journal eISSN: 1847-9375 | Journal ISSN: 1847-8344
Language: English
Page range: 88 - 101
Submitted on: Dec 5, 2018
|
Accepted on: Feb 28, 2019
|
Published on: May 9, 2019
In partnership with: Paradigm Publishing Services
Publication frequency: 2 issues per year

© 2019 Josip Čičak, Davor Vašiček, published by IRENET - Society for Advancing Innovation and Research in Economy
This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.