Individual Financial Analysts Contribution In Earnings Per Share Forecasting

Financial analysts are among the most influential group of users of financial accounting information. The majority of existing accounting research concerning financial analysts focuses on aggregated analysts' earnings forecasts rather than individual analysts' forecasts. Studies in accounting have documented the superiority of aggregated analysts' earnings forecasts relative to computer models. This is in contrast to the robust result from years of psychology/judgment & decision making (JDM) research that human predictions are inferior to computer model predictions. Humans can make a significant contribution to accurate forecasting in spite of cognitive limitations. Some skills people bring to bear are cue identification, rapid adaptability to environmental changes and the evaluation of qualitative factors. Computer models offer consistency and significant computational power. This research documents the incremental predictive ability of both individual financial analysts and computer models in forecasting earnings per share. It also provides evidence that both individual financial analysts' and computer models' incremental predictive ability varies between industries

CPAs And Electronic Survey Media

Gathering and utilizing data about customers and other stakeholders has become vital to maintaining competitiveness in today’s business world. With the ongoing expansion of the Internet, new methods for data collection are available. The success of utilizing new methods depends on the technological capabilities of the audience from whom data are sought.  One group of business professionals perceived to possess above average technological skills is practicing Certified Public Accountants (CPAs). A study was designed to measure the response rates of CPAs to different survey administration methods. This study compares one traditional survey method (regular mail) with newer methods for collecting survey data (e-mail and WWW form)

Developing Essential Skills For Success In The Business World: A Look At Forecasting

As the business environment evolves, the skills required for success in business careers are also evolving. A major purpose of the undergraduate business curriculum is to prepare students for their careers in this evolving business environment.  Educators should periodically reassess the skills needed by business graduates and ensure that those skills are included in their undergraduate curricula.  According to leaders in business and industry, one of the most important skills needed in today’s competitive business environment is the ability to use data to make projections and forecasts about the future. Unfortunately, forecasting skills currently receive limited attention in undergraduate business curricula.  This paper addresses the limited attention given to forecasting skills and presents empirical evidence on the effect of providing students with forecasting instruction.  One group of students was instructed on the use of certain quantitative forecasting skills and was asked to provide a forecast using a real world data set.  Their results were compared to a control group that did not receive any instruction in forecasting methods.   The results show that certain forecasting skills can be effectively taught in the university classroom and students can utilize these skills to make projections and forecasts about the future