Information quality proxies analysis from precision Aspect

Document Type : Original Article

Authors

10.22034/iaar.2014.104364

Abstract

This Research Examined and Compares the usefulness of Information quality proxies Including persistency, predictability, smoothness, abnormal accruals, accrual quality, earnings surprise, earnings volatility and nearest to cash from precision aspect (earnings quality) by using absolute excess returns as one of the information quality consequences. To this end, information quality proxies, Backed by Research Literatures, is measured by the most Common models in this area. Thus, information about 67 firms (1139 year- firm) listed on Tehran stock exchange securities during 1996 to 2011 have been collected and studied with due consideration of certain characteristics. OLS and correlation method (Time series and Pooled data) for measuring independent variables and Hedging portfolio and Paired samples t-test for testing Research hypothesis have been applied. The Results reveal that Absolute Excess Returns can evaluate the usefulness of information quality proxies (persistency, predictability, smoothness, abnormal accruals, accrual quality, earnings surprise, earnings volatility and nearest to cash) that is investigated in this research. In addition, accrual quality and earnings volatility can earn significant more absolute excess returns (Positive) compared to other proxies.

Keywords

Accounting and Auditing Research
Volume 6, Issue 22
July 2014
Pages 18-35

Files

Share

How to cite

Statistics