How Long to Read Off-Balance-Sheet Activities, Earnings Persistence and Stock Prices

How Long Does it Take to Read Off-Balance-Sheet Activities, Earnings Persistence and Stock Prices?

It takes the average reader 1 hour and 40 minutes to read Off-Balance-Sheet Activities, Earnings Persistence and Stock Prices by Weili Ge

Assuming a reading speed of 250 words per minute. Learn more

Description

This paper examines the implications of the off-balance-sheet treatment of operating leases for future earnings and stock returns. The property rights granted by an operating lease contract generate both future benefits (off-balance-sheet capital investment) and future obligations (off-balance-sheet financing liabilities) for the lessee. The change in the off-balance-sheet capital investment can be viewed as a form of growth in net operating assets and also a form of off-balance-sheet accruals. By examining the footnote disclosure on operating leases, this paper shows that, after controlling for current earnings, greater off-balance-sheet operating lease activities lead to lower future earnings. This finding is consistent with diminishing marginal returns to investment in operating lease activities. Additional tests show that investors incorrectly estimate the implications of off-balance-sheet lease activities for future earnings. A long-short investment strategy that exploits this misestimation generates significant future abnormal stock returns. These results suggest that the accrual anomaly documented in prior research extends to off-balance-sheet lease accruals.

How long is Off-Balance-Sheet Activities, Earnings Persistence and Stock Prices?

Off-Balance-Sheet Activities, Earnings Persistence and Stock Prices by Weili Ge is 100 pages long, and a total of 25,000 words.

This makes it 34% the length of the average book. It also has 31% more words than the average book.

How Long Does it Take to Read Off-Balance-Sheet Activities, Earnings Persistence and Stock Prices Aloud?

The average oral reading speed is 183 words per minute. This means it takes 2 hours and 16 minutes to read Off-Balance-Sheet Activities, Earnings Persistence and Stock Prices aloud.

What Reading Level is Off-Balance-Sheet Activities, Earnings Persistence and Stock Prices?

Off-Balance-Sheet Activities, Earnings Persistence and Stock Prices is suitable for students ages 10 and up.

Note that there may be other factors that effect this rating besides length that are not factored in on this page. This may include things like complex language or sensitive topics not suitable for students of certain ages.

When deciding what to show young students always use your best judgement and consult a professional.

Where Can I Buy Off-Balance-Sheet Activities, Earnings Persistence and Stock Prices?

Off-Balance-Sheet Activities, Earnings Persistence and Stock Prices by Weili Ge is sold by several retailers and bookshops. However, Read Time works with Amazon to provide an easier way to purchase books.

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