دانلود رایگان مقاله پیامدهای اقتصادی تاثیر درآمدهای کسب شده از تبدیل به سرمایه اجاره

abstract

We observe a substantial earnings impact from capitalizing the operating leases for firms on Compustat over 1996–2010. This earnings impact is derived from the disclosed lease information and is similar to the earnings difference that arises from applying the accelerated versus the straight-line model, two alternative models proposed by the Financial Accounting Standards Board and the International Accounting Standards Board (the Boards) in 2013 to account for lease expense for lessees. Our focus is on the economic implications of this earnings impact. Applying a one-year cash flow prediction model, we observe a significant relationship between the negative impact and future operating cash flows. Using a return-earnings model, we find that both negative and positive impacts possess an incremental explanatory power for contemporaneous stock returns beyond reported earnings. Our findings provide timely empirical evidence for the Boards to evaluate two alternative models for lessees' expenses as they are in the midst of redeliberations of accounting for leases

7. Conclusion

We study the economic implications of the earnings impact from operating lease capitalization with respect to cash flow predictions and the association with contemporaneous stock returns. Employing one-year cash flow prediction models, we find that this earnings impact possesses incremental predicative value for future cash flows beyond reported earnings but only for the negative earnings impact. Since cash flow forecasts are used in credit risk assessments, debt repayments, and cash dividend distributions (Lore & Dillinger, 2011; Mills & Yamamura, 1998),29 our finding of the incremental cash flow predictive value of the negative earnings impact beyond reported earnings suggests that an oversight of this impact would reduce the accuracy of cash flow predictions and undermine the effectiveness of applying cash flow forecasts to financial decisions. To maximize the predictive power and fully capture the benefits of cash flow prediction models, the earnings impact from operating lease capitalization should be included in cash flow prediction models. Moreover, even though our finding of a predictive value of the negative earnings impact on cash flows validates the information relevance of the negative earnings impact in the context of SFAC No. 8, the lack of a predictive value of the positive earnings impact signifies the market's inability to fully exploit the earnings impact from operating lease capitalization in cash flow prediction models.