Financial reporting is an important resource of information in the capital markets. the efficient market hypothesis consider that the role of accounting information signals is a vital factor for investors design making to get high return with lowest cost.
So this study investigates empirically the links between accounting information, cost of capital and excess stock returns for sample of 123 firms listed on the Tehran Stock Exchange and the panel data methodological approach over the period 1385-1389. The empirical findings displayed that accounting information, affects directly the firm’s cost of capital. This, in turn, implies that by incorporating all available pieces of information related to the accounting environment of the firm, tends to exert a negative effect on the firm’s excess stock returns.
Fakhari,H. and Ghorchaei,A. (2016). "Accounting Information, the Cost of Capital and Excess Stock Returns: The Role of Earnings Quality. Accounting and Auditing Studies, 5(18), 16-31.
MLA
Fakhari,H. , and Ghorchaei,A. . ""Accounting Information, the Cost of Capital and Excess Stock Returns: The Role of Earnings Quality", Accounting and Auditing Studies, 5, 18, 2016, 16-31.
HARVARD
Fakhari H., Ghorchaei A. (2016). '"Accounting Information, the Cost of Capital and Excess Stock Returns: The Role of Earnings Quality', Accounting and Auditing Studies, 5(18), pp. 16-31.
CHICAGO
H. Fakhari and A. Ghorchaei, ""Accounting Information, the Cost of Capital and Excess Stock Returns: The Role of Earnings Quality," Accounting and Auditing Studies, 5 18 (2016): 16-31,
VANCOUVER
Fakhari H., Ghorchaei A. "Accounting Information, the Cost of Capital and Excess Stock Returns: The Role of Earnings Quality. Accounting and Auditing Studies, 2016; 5(18): 16-31.
