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Full-Text Articles in Accounting

Contracting In Direct Asset Sales, Xin Yuan Jun 2021

Contracting In Direct Asset Sales, Xin Yuan

Dissertations, Theses, and Capstone Projects

Using a unique, hand-collected dataset of direct asset sales agreements in the SEC filings, I provide the first large-sample evidence on how contracting mechanisms are used to mitigate information frictions in these important transactions. The conflict of interests is unique because the scarcity of asset-specific financial information makes target assets difficult to value and monitor, especially when such transactions are usually consummated in a short period. I first show an extensive use of representations and warranties, covenants, and special payment arrangements in these contracts when severe information asymmetry exists between buyers and sellers. Importantly, further results suggest that these contracting …


Law School News: Staff Person Of The Year 2021: Ann Marie Thompson 05/18/2021, Michael M. Bowden May 2021

Law School News: Staff Person Of The Year 2021: Ann Marie Thompson 05/18/2021, Michael M. Bowden

Life of the Law School (1993- )

No abstract provided.


Tax Reform Throughout U.S. History And The Economic Impact, Jacob Christopher Michel May 2021

Tax Reform Throughout U.S. History And The Economic Impact, Jacob Christopher Michel

Honors Thesis

The three largest tax reforms in recent years, The 1986 Tax Reform Act (TRA of 1986), The Bush Tax Cuts Act, and The Tax Cuts and Jobs Act (TCJA), differed in the treatment of taxable income through capital gains tax rate, depreciation treatment, limitation of losses, standard deduction, and the marginal rates in general. These provisions were studied to provide insight into how they affected various stakeholders. The TRA of 1986 and the Bush Tax Cuts Act have data determining whether they benefitted high-income taxpayers to the highest extent. The low-income taxpayers were also given tax breaks, however, not to …


Economic Moat: A Line Of Defense For The Defense Industry, Karina M. Fernando Mar 2021

Economic Moat: A Line Of Defense For The Defense Industry, Karina M. Fernando

Theses and Dissertations

Defense contractor financial performance is traditionally measured using accounting profit. In academic literature, accounting profit has been proxied through different applications of accounting rates of return. However, the use of these rates pose certain limitations. First, accounting rates of return have been applied inconsistently. Next, academic research has not typically assessed accounting returns against a firms opportunity costs. As a result, there is a literature gap in defense research that assesses whether defense contractors earn sustainable returns beyond the cost to produce those returns.


A Hebrew Republic Of Taxation?: Henry George’S Single Tax, Hebraic Law, And Unearned Income, Joshua Cutler Jan 2021

A Hebrew Republic Of Taxation?: Henry George’S Single Tax, Hebraic Law, And Unearned Income, Joshua Cutler

Accountancy Faculty Publications and Presentations

Can millennia-old religious ideas offer insights into modern tax law? I explore this question through the hugely popular, yet largely forgotten, tax movement of political economist Henry George. Seeking to explain why poverty always seemed to increase along with progress, George proposed that, as societies advanced, land owners were able to capture an increasing share of unearned wealth. To remedy this, George proposed a “Single Tax” on the unearned income from land. George’s tax movement gained popularity largely because it was founded on widely-held ideas originating in the Hebrew Bible. Yet, the religious foundation of George’s tax movement has been …


Stanley Surrey, The Code And The Regime, Reuven S. Avi-Yonah, Nir Fishbien Jan 2021

Stanley Surrey, The Code And The Regime, Reuven S. Avi-Yonah, Nir Fishbien

Articles

Stanley Surrey (1910-1984) was arguably the most important tax scholar of his generation. Surrey was a rare combination of an academic (Berkeley and Harvard law schools, 1947-1961 and 1969-1981) and a government official (Tax Legislative Counsel, 1942-1947; Assistant Secretary for Tax Policy, 1961-1969). Today he is mostly remembered for inventing the concept of tax expenditures and the tax expenditure budget. This paper will argue that while Surrey was influential in shaping domestic tax policy for a generation and had an impact after his death on the Tax Reform Act of 1986, his longest lasting contributions were in shaping the international …


Reversing The Fortunes Of Active Funds, Adi Libson, Gideon Parchomovsky Jan 2021

Reversing The Fortunes Of Active Funds, Adi Libson, Gideon Parchomovsky

All Faculty Scholarship

In 2019, for the first time in the history of U.S. capital markets, passive funds surpassed active funds in terms of total assets under management. The continuous growth of passive funds at the expense of active funds is a genuine cause for concern. Active funds monitor the management and partake of decision-making in their portfolio companies. Furthermore, they improve price efficiency and managerial performance by engaging in informed trading. The buy/sell decisions of active funds provide other market participants reliable information about the quality of firms. The cost of active investing is significant and it is exclusively borne by active …