Abstract
Recently there are many literatures studying the effect of factors such as size or book-market ratio on fluctuation of accounting earnings, stock price or earnings respectively, but so far their affection on accounting information value relativity has been scarcely addressed. This paper presents the detail analyses of their effect of the two factors to the relativity of accounting information value respectively by taking Shanghai and Shenzhen stock markets as sample. And the analyses supports the following two hypotheses, (1) The relativity of accounting information value of big size corporation is more than that of small size corporation. (2) The relativity of accounting information value of low B/M ratio corporation is more than that of low B/M ratio corporation.
This is a preview of subscription content, log in via an institution to check access.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
Preview
Unable to display preview. Download preview PDF.
References
Collins, D.W., Maydew, E.I., Weiss, I.S.: Changes in the Value-relevance of Earnings and Book Values over the Past Forty Years. Journal of Accounting and Economics 24, 39–67 (1997)
Bernard: The Feltham-Ohlson Framework: Implications for Empiricists, Contemporary, Accounting Research, pp. 733–747 (September 1995)
Lu, Y.: The Effective Invest Decision Performance of P/B ratio and M/E ratio. Shanghai Sanlian bookstore (2000)
Fama, E.F., French, K.: Common risk factors in the returns on stocks and bonds. Journal of Financial Economics 33, 3–56 (1993)
Fama, E.F., French, K.: Size and book-to-market factors in earnings and returns. Journal of Finance 50(1), 132–155 (1995)
hzao, Y.: The Information Content of Accounting Earnings disclosure: Evidence from Shanghai Security Exchange. Economic Study (China) 7, 41–49 (1998)
Author information
Authors and Affiliations
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2009 Springer-Verlag Berlin Heidelberg
About this paper
Cite this paper
Yu, J., Cheng, S., Xu, B. (2009). Size, Book-to-Market Ratio and Relativity of Accounting Information Value: Empirical Research on the Chinese Listed Company. In: Shi, Y., Wang, S., Peng, Y., Li, J., Zeng, Y. (eds) Cutting-Edge Research Topics on Multiple Criteria Decision Making. MCDM 2009. Communications in Computer and Information Science, vol 35. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-642-02298-2_109
Download citation
DOI: https://doi.org/10.1007/978-3-642-02298-2_109
Publisher Name: Springer, Berlin, Heidelberg
Print ISBN: 978-3-642-02297-5
Online ISBN: 978-3-642-02298-2
eBook Packages: Computer ScienceComputer Science (R0)