An examination of the impact of voluntary disclosure on the post-earnings announcement drift

The entire dissertation/thesis text is included in the research.pdf file; the official abstract appears in the short.pdf file (which also appears in the research.pdf); a non-technical general description, or public abstract, appears in the public.pdf file.Title from title screen of research.pdf file (viewed on July 31, 2009)Thesis (Ph. D.) University of Missouri-Columbia 2008.This study investigates the impact of voluntary disclosure in the form of management earnings guidance on post-earnings announcement drift (PEAD). Prior research contends that investors' delayed response to the information contained in earnings contributes to PEAD. This delayed response occurs because either investors fail to understand the full implications of current earnings for future earnings or transactions costs prevent a complete and immediate response to earnings news. To the extent that management earnings guidance (MEG) overcomes these shortcomings, I examine three research questions. First, does MEG mitigate PEAD? Second, what is causal channel through which MEG mitigates PEAD? Third, is the impact of MEG on PEAD sensitive to the quality of MEG? Using management earnings guidance data from First Call for the period between 1996 and 2006, I show that MEG mitigates PEAD. I also find that MEG not only improves the extent to which investors incorporate prior earnings information into their earnings expectations but also provides information about future earnings which is uncorrelated with prior earnings information. Further, I find the mitigation effect of guidance on PEAD increases with guidance quality in terms of precision, accuracy, and usefulness. Overall, my study provides evidence on the effectiveness of voluntary disclosure and the channel through which it can alleviate the accounting anomaly of PEAD.Includes bibliographical reference

CFO Promotion-based Incentives and Earnings Management

This study examines whether CFO promotion-based incentives induce opportunistic reporting activities. We find that CFO promotion-based incentives, measured by the pay gap between the CEO and the CFO, are positively associated with accruals management and accounting misconduct in the pre-SOX period and the probability of meeting or beating analysts’ forecasts in both the pre- and post-SOX periods. Further analysis shows that CFO promotion-based incentives are negatively associated with real earnings management in both the pre- and post-SOX periods. In addition, we find some evidence that the association between CFO promotion-based incentives and opportunistic reporting activities is stronger before CEO turnovers. We also document that CFOs engage in more opportunistic financial reporting when the pay gap between the CFO and other VPs is greater. Overall, our findings suggest that CFO promotion-based incentives may encourage CFOs to engage in opportunistic reporting activities but mitigate real earnings management

High-Resolution Structure of the N-Terminal Endonuclease Domain of the Lassa Virus L Polymerase in Complex with Magnesium Ions

Lassa virus (LASV) causes deadly hemorrhagic fever disease for which there are no vaccines and limited treatments. LASV-encoded L polymerase is required for viral RNA replication and transcription. The functional domains of L–a large protein of 2218 amino acid residues–are largely undefined, except for the centrally located RNA-dependent RNA polymerase (RdRP) motif. Recent structural and functional analyses of the N-terminal region of the L protein from lymphocytic choriomeningitis virus (LCMV), which is in the same Arenaviridae family as LASV, have identified an endonuclease domain that presumably cleaves the cap structures of host mRNAs in order to initiate viral transcription. Here we present a high-resolution crystal structure of the N-terminal 173-aa region of the LASV L protein (LASV L173) in complex with magnesium ions at 1.72 Å. The structure is highly homologous to other known viral endonucleases of arena- (LCMV NL1), orthomyxo- (influenza virus PA), and bunyaviruses (La Crosse virus NL1). Although the catalytic residues (D89, E102 and K122) are highly conserved among the known viral endonucleases, LASV L endonuclease structure shows some notable differences. Our data collected from in vitro endonuclease assays and a reporter-based LASV minigenome transcriptional assay in mammalian cells confirm structural prediction of LASV L173 as an active endonuclease. The high-resolution structure of the LASV L endonuclease domain in complex with magnesium ions should aid the development of antivirals against lethal Lassa hemorrhagic fever

Analysis of heat transfer and thermal environment in a rural residential building for addressing energy poverty

Reducing energy consumption and creating a comfortable thermal indoor environment in rural residential buildings can play a key role in fighting global warming in China. As a result of economic development, rural residents are building new houses and modernizing existing buildings. This paper investigated and analyzed a typical rural residential building in the Ningxia Hui Autonomous Region in Northwest China through field measurements and numerical simulation. The results showed that making full use of solar energy resources is an important way to improve the indoor temperature. Reasonable building layout and good thermal performance of the building envelope can reduce wind velocities and convective heat loss. Insulation materials and double-glazed windows should be used to reduce energy loss in new buildings, although it is an evolution process in creating thermally efficient buildings in rural China. This research provides a reference for the design and construction of rural residential buildings in Northwest China and similar areas for addressing energy poverty

Electrical stress on the medium voltage medium frequency transformer

This paper proposes an equivalent circuit model to obtain the transient electrical stress quantitatively in medium voltage medium frequency transformers in modern power electronics. To verify this model, transient simulation is performed on a 1.5 kV/1 kHz transformer, revealing voltage overshoot quantitatively between turns and layers of the transformer’s HV winding. Effects of rise time of the input pulse voltage, stray capacitance of the winding insulation, and their interactions on the voltage overshot magnitude are presented. With these results, we propose limiting the voltage overshoot and, thereafter, enhancing medium voltage medium frequency transformer’s insulation capability, which throws light on the transformer’s insulation design. Additionally, guidance on the future studies on aging and endurance lifetime of the medium voltage medium frequency transformer’s insulation could be given