The Vuolteenaho (2002) return decomposition is linear because it assumes that the market’s return expectations are obtained solely from accounting information. By restricting accounting recognition rules to specific (and primarily) negative future cash flow shocks, conservative accounting drives a wedge between the market’s return expectations that are based upon all positive and negative cash ...

This paper investigates the impact of pay gap on accounting conservatism based basic data A-share listed companies in Shanghai and Shenzhen from 2008 to 2020 by using multivariate linear regression model OLS method, finding that two are significantly negatively correlated. By introducing Confucian culture, this further explores moderating role Confucianism finds enterprises influenced culture e...