A successful approach to integrating computer assignments into accounting information systems courses in a manner that complements theoretical readings

This article describes a relatively inexpensive method of bringing educationally sound computerized assignments into the accounting information systems' (AIS) classroom. The approach involves the development of a customized classroom version of an automated accounting information system that demonstrates many of the topics that are discussed in assigned readings and classroom lectures. While realistically complex, the system requires a small amount of valuable classroom time. The paper contains details of the development process, as well as the features incorporated into the developed software.     

Dividend imputation taxes and the curious case of a price premium between BHP and Billiton American depositary receipts

BHP Group was formed in 2001 when the Broken Hill Proprietary Company Limited in Australia merged with the Anglo–Dutch Billiton Plc in the UK to form a dual−listed company. The American Depositary Receipts (ADRs) for BHP and Billiton trade on the NYSE, and despite these two securities having exactly the same voting rights and US dollar denominated dividends, the BHP ADR generally sells at a premium to the Billiton ADR, though that premium has considerable time−series variation. We investigate whether differences in the imputation tax systems that apply to dividends in Australia and the UK help explain the time series variation in the premium of the ADR prices. Our results confirm that imputation tax differences are a significant determinant of the premium. Our paper hence provides direct evidence that imputation tax credits are capitalised into equity prices.     

Lead independent directors and accruals quality

We investigate the association between firms having a lead independent director (LID) who serves on the audit committee and accruals quality using a sample of 32,346 observations during 2001–2018 period. Our results suggest that firms with an LID who serves on the audit committee are associated with higher accruals quality. The results suggest that these firms are associated with an increase in accruals quality equal to 6.60% of the accruals quality metric's median value. We also find that as board size increases, the positive influence of an LID on accruals quality weakens—but only for firms with an LID who does not serve on the audit committee. Supplemental analyses indicate that our inferences still hold when using a changes model, when examining a firm's initial adoption or elimination of the LID position, and when using an entropy balancing approach.