In: Business and Management

Submitted By lilylulu
Words 1707
Pages 7
1.0 Introduction
Conservatism is arguably one of the most prominent and prolonged characteristics in accounting practices (Basu, 1997). Over the centuries, many researchers have accomplished in-depth reports and thoughtful analysis regarding different focuses on conservatism. Literatures related are abundant and fruitful.

In next section, this paper will firstly give a brief review on a number of related literatures. Follows that, some of the most significant motivations to adopt conservatism such as contracting demand, litigation pressure, agency problem, tax implication, regulation concern and political economy will be discussed in section three. For the purpose of construction, regression analysis, as the most commonly used research technique, are also analyzed in section four of this paper, which also includes a summary of the requirements in sample selection process. Meanwhile, another crucial aim of this paper is to introduce the empirical evidence of a positive relationship between information quality and conditional conservatism. In section five, this paper intends to explain the empirical findings of Iatridis (2011) that a high quality accounting information discloser will apply conditional conservatism but restrict unconditional conservatism.

2.0 Literature Review
Researchers commonly characterize accounting conservatism as “asymmetric timeliness in recognition of accounting gains versus losses and systematic understatement of net assets” (Chi et al. 2009: 48). In other words, conservatism can be broadly described as the speed of good news acknowledgement relative to bad news acknowledgement in earnings (Bushman, 2006).

One of the most distinguished measure of conservatism was suggested by Basu (1997). Through regression analysis, Basu investigated the rate of the change in earnings with respect to the change in concurrent stock…...

Similar Documents


...Why Should We Conserve Species A question that comes up frequently when talking about conservation is why. Why care about something small and insignificant to humans why waste time and resources? Shouldn’t we focus on species that are more beneficial to humans? Why not use our natural resources so that humans receive the greatest benefit, are we not just as much a part of nature as the raven in your yard. The answers to these questions are complex and each with consequences. So why strive to save a species of mussel that is small and seems to be insignificant to humans or the stream where it’s found. Species are interdependent. Not only have species in communities evolved unique ways of avoiding predators, locating food, and capturing and handling prey, but mutualistic relationships are frequent. This is not to say that every species is essential for community function, but that there is always uncertainty about the interactions of species and about the biological consequences of an extinction. (Soule, M. 1985) So who are we to lump species in to some hierarchy of worth? It’s evident that biodiversity is a must if we want to keep a healthy environment for future generations. One of the reasons I feel we should conserve nature and all the species we possibly can has to do with aesthetic value. You might say that something small like a snail has no aesthetic value, you would have a slight point. However, who’s to say that if the snail goes extinct that a cascade of......

Words: 434 - Pages: 2

Water Conservation

... Environmental Science Final Project Tina Bell SCI/275 September 29, 2013 Bill McIntoch Environmental Science Final Project My environmental problem is conservation and my topic is water. What is water conservation? It is a way to keep the water we have clean and sustainable. That sounds easy but it is complex, it is more than just turning the water off when we brush our teeth. It is going to have to be a way of life, we can make this work but we have to get serious about our water. It means doing business in a way to conserve water; it involves using our best conservation habits. We have to let people know about our water, only three percent of all water on Earth is fresh. One percent is suitable for drinking, the other two percent is in frozen glaciers, lakes and the atmosphere. With all these people relying on one percent of all the water on Earth is why we need to educate. Ninety-seven percent is salt water, it looks like we have a great deal of water but that is not true. The people that are not educated about water do not help sustain it; they pollute, and waste our life-line. According to "Why Conserve Water?" (n.d.) “Only about ten percent of waste water is disposed of properly”. We do not have an endless supply of water. We need to learn to conserve our water now for the future; we have as much water on Earth now as we did when it was created. Limnologists (freshwater scientist) they help us to understand what is going on in the water, like if it is clean enough......

Words: 2402 - Pages: 10

Water Conservation

...Water Conservation For ages, since the beginning of time, humans have explored numerous ways in which we can harness water. The great Egyptian Civilization who depended fully on the Nile as a water resource, and the Romans who were the first to build huge aquifers in order to store and transport water to citizens. Today, technology has developed in a way that allows virtually anyone in the world to readily obtain water. In the United States, a developed country, clean, consumable water is made readily available to many people. However, this is not the case for many developing countries, who struggle simply to gain access to clean water. About “2.5 billion people, in the world, live without proper sanitation” and about “768 million people do not have access to safe, clean drinking water.(1)” These circumstances lead to unavoidable hardships, and leads to the death of 1,400 children globally, every day, simply from “ diseases directly linked to unsafe water or a lack of basic sanitation facilities.(1)” In today’s society, however, water is often taken for granted and consequently has led to increased water use by many individuals. In Texas, specifically, reservoirs continue to decrease year after year, and has been estimated that about 3% of Texas reservoirs have been used in the past year, decreasing from 67% full to 64% full(4). A viable cause of the increased water use in Texas, can be attributed to many things. Population growth, a changing climate and recurring drought......

Words: 1065 - Pages: 5

Water Conservation

...WATER CONSERVATION Water is very important content. Without water there is no life in earth. We use water in so many ways in our daily life. Water is a substance which covers ¾ part of the world. It means water is occupying more portion compared to land. But this water is becoming more polluted because of the environmental changes. So it is necessary to conserve the water. It is every one duty to protect the water because everyone uses this water and we the people are making water polluted. Now we may get the doubt how to conserve the water. A few simple changes in home about the water consumption make a vast contribution to water conservation. The basic changes we have to do is stop leaking of water. We have to see whether there is a leakage in our taps. Because of the water leakage taps we can’t protect the water. We can also protect the water by Installing Low-Flow Showerheads. With these we can protect the water because it flows lower. And we won’t use much water with these Low-Flow Showerheads. When we are brushing our teeth or when we are shaving we have to turn off faucets. After completing the work we have to use the water. By this change also we can preserve the water. Using sprinklers for yard is also a good remedy for water conservation. Turn off the water in the shower when shampooing the hair Water will be saved. It is better to replace the new toilets in place of old toilets. These are high efficiency and will use less water. To collect a rain water use a......

Words: 504 - Pages: 3

Preservation and Conservation

...Week 2 Graded Writing 1 Preservation and Conservation Ethics Elizabeth Vaught EG481: Environmental Issues ITT-TECH Roger Boeken Week 2 John Muir was the one who started the “preservation ethic” (Withgott & Laposata), Muir felt that the main object of nature was to be there to comfort us. Muir also thought that we should have a place to play and pray and that the ability of nature to be able to comfort us was enough, so when he started seeing the trees in the surrounding forests being cut down he was certain that this model of preservation would be the best alternative. Another thing he felt was important was that nature should be protected for its inherent value as well as promoting happiness for humans. One flaw in this thinking is if we are to leave things as there were we would eventually see the animal population over run, this would cause disease and the trees and grass lands would be come over grown to the point of choking out each other. Gifford Pinchot advocated that the “conservation ethic” (Withgott & Laposata) was what we should follow. This ethic allowed for us to use the natural resources that were available within reason. In other words, we were to use them responsibly, only using what we needed and not using to excess or wastefully so that the generations to come would have ample resources. The differences between the two is this, Muir felt that everything should be left in its natural state, for our enjoyment and spiritual......

Words: 522 - Pages: 3


...Conservation by relocation looks to move people, and there destructive activities from areas of rich biodiversity. I will begin by looking at the case of conservation in the Serengeti. During the 1970’s the Western view on conservation was to establish state protected areas and enforce laws prohibiting the access this land for natives. The aim was to create a barrier between ecosystems and what conservationists view as unsustainable uses of land practised by indigenous people and therefore allowing the area to flourish naturally. However, this view undervalued the role people have on the ecosystem. Early conservationists looked at conservation projects with a “western notion of wilderness” (J. Adams, 1997: XVII) where they neglected to appreciate that in areas like the Serengeti the wilderness did not have clearly defined borders in the sense that the native Maasai would utilise the wide expanses of the land as they have done over the course of their history. Grzimerick rejected this notion and viewed man as disrupting the natural conservation area, and by 1979 the Tanzanian government banned agriculture throughout the Ngorongoro section of the Serengeti national park. This action led to conflict between the native Maasai and the conservationists. The Maasai were forced off their native land onto marginal land outside the national park, leading to the Maasai over-grazing on the limited land and forced them to farm/graze illegally in areas of the state park. This resulted...

Words: 290 - Pages: 2

Energy Conservation

...Conservation and efficient use of energy in industry has for a long time been a priority of the government on India. In anticipation of enactment of federal legislation on energy management for industry, the state of Government of Tamil Nadu, Kerala and other Southern States, made energy audits mandatory for large-scale energy consuming industries. So among industrial consumers, the aspect of energy conservation is gaining due importance of the realization that “Energy Saved is Energy Produced and that too at Economical Cost”. This paper shares the experience of the authors on energy conservation projects carried out in a textile industry situated in Tamil nadu state. Economic and efficient measures of energy conservation have been followed subject to budget constraint and the effects of such measures were realized through reduction in energy cost with the added advantage of environmental safety. 1. Introduction Today, energy and environment are two areas that have sought the greatest attention at the international level. With the issue of the global environment, becoming as important as never before, energy particularly its conservation in industries, has become the main target for all parts of the world that has to be achieved as soon as possible. Textile industries are found to be energy-intensive [4% energy cost in total input cost[ compared to other industries like chemical, food, computer manufacturing, etc.. and hence extensive research has been focused on such......

Words: 2416 - Pages: 10

Water Conservation clean and safe water available, we need to use this necessity with great care, so that everyone can receive a share of it. After all, there is NO LIFE WITHOUT WATER. Objective The objective of this report is to make Malaysians understand the importance of water conservation, to come up with various strategies and tactics on how to use water wisely. Why water conservation specifically? Because earlier this year in Klang Valley, Malaysia, there was a water crisis, as there was not enough amount of stored water in a dam to be distributed throughout the affected areas, and therefore, the government had to step it to solve this issue (Winifred, 2014). And the solution was water-rationing. This problem would not have started in the first place, if Malaysians living in the Klang Valley consumed water smartly, as on average individuals in Malaysia are known to use around 225 liters of water on a daily basis (Ibrahim, 2013). Strategies Strategy originates from the Greek word “strategos” and is a term in military for coming up with ways to fight back enemies on the battlefield (Franklin et al., 2009). The best way to understand the strategies which can be used via PEST and SWOT analysis for water conservation in the Klang Valley need to be evaluated. ‘ First we will look at how PEST (Political, Economic, Social (and cultural), Technological) can be utilized to combat water wastage (Tench and Yeomans, 2014). We will look at the Economical and the Social aspects. In......

Words: 1981 - Pages: 8

Energy Conservation

...Energy Conservation Tips for Energy Efficient Home Robin Pitts Axia College Energy use and conservation is a much publicized topic in the world today. There are many different sources of energy and the focus of this paper will be on home uses. Energy used in the homes comes from a few different sources. Most home uses as of today are from nonrenewable resources. Resources that cannot replenish will be depleted forever, and future generations will need to create alternative sources of energy. Electricity is used to light homes and run appliances. Many electric companies use coal to create electricity. Oil and natural gas are used to heat our homes. This energy is wasted at an alarming rate and will soon be obsolete if we do not address the issues at hand. Nonliving and living factors are affected by the lack of energy, when mining for coal the environment is vastly affected. Valuable land is destroyed and can take years to replenish, if it ever does. Coal is mined two different ways, subsurface and surface mining. There are advantages and disadvantages to both. Strip mining, a form of surface mining is used for the retrieval of 60 % of the coal in the United States; is done if the coal is close to the surface, approximately 100 feet down. Surface mining, a less expensive form than subsurface mining, allows complete removal of coal and is safer for the miners. This is the preferred method, but with this comes an environmental impact. Large trenches...

Words: 1792 - Pages: 8

Conservation Principle

...Running head: STRUCTURED OBSERVATION OF CONSERVATION A Structured Observation of Conservation Tasks with a Four-year-old Child Cheryl Meyer University of Victoria PSYC 335 – S01 Dr. Ulrich Mueller April 7th, 2005 A Structured Observation of Conservation Tasks with a Four-year-old Child The purpose of this study is to observe the cognitive inability to conserve for a child in the preoperational stage of development. According to the Swiss cognitive theorist Jean Piaget, the preoperational stage refers to the second stage of cognitive development, which spans the years 2 to 7, when children begin to form mental representations yet still lack the ability to think logically (Berk, 2005). Piaget discovered a number of tasks that highlight these limitations of preoperational thought, including his well-known conservation task, which is what I used in my observation-based study. Conservation, or “the idea that certain physical characteristics of objects remain the same, even when their outward appearance changes” (Berk, 2005, p.320), is deficient in preoperational children. This study looks at three particular conservation tasks: the conservation of numbers, substance and continuous quantity. We will observe how a child at the preoperational stage of thinking is unable to conserve in each experiment. Jean Piaget believed in the cognitive-developmental theory, in which children actively discover and manipulate the world around......

Words: 2005 - Pages: 9

Energy Conservation

...Energy Conservation Preston L. Judd SCI/275 Environmental Science Axia College / University Of Phoenix April 10, 2011 Tisha Samosky It can begin simply by turning off a light switch as someone leaves a room or unplugging a device when not in use. From these small acts, the beginning seeds of energy conservation can be sown. Energy conservation has become one of the most hotly debated subjects in the world. Old power plants are struggling to keep up, sometimes causing power shortages or “brown outs”, and new power plants are being built, but most of the new plants still use the same technology as their predecessors. Some have even been ‘repackaged’ to appear cleaner in respect to exhaust, but they still pollute the atmosphere and use a dwindling source of fuel. Still others argue that fields of petroleum at deeper levels are more than sufficient to supply the world with oil1. The only real hope of the world is to either perfect some of the newer, greener power generation techniques such as wind, solar, or geothermal, or invent some new as-of-yet undiscovered method. Until that time, energy conservation is not just a good idea, it is a necessity. 1. The Population Explosion and Power Usage As the world’s population gets closer to the seven trillion mark (estimate as of April 2011 is 6,911,382,8582), the demand for power increases exponentially. The added strain on the generation facilities is causing rolling blackouts, or “brown outs”, in......

Words: 2083 - Pages: 9

Food Conservation

...abdominal cramps, diarrhea and vomiting. 2.2 Food preservation is the process of treating the food in order to maintain as long as possible a good food for consumption. Conservation is put both the flavour of food preservation, flavour, freshness, texture and the like of chemical and microbiological point of view, they are suitable for human consumption. Once the conservation process, some perishable food such as meat, fish, vegetables, which normally start to break down after a few hours or days can be eaten after a few years in a preserved condition. Conservation must prevent the effect of enzymes, microorganisms, mould, food drying, and oxidation. Drying and dehydration. It is one of the oldest processes used by humans for food storage. The method is that microorganisms do not grow easily in environments that lack of moisture. Meats, fruits, vegetables, herbs can be placed in the sun to dry and thus will last much longer. There are some foods that through this process changes the taste much above the original such as raisins. Salting and smoking Generally meats and fish are preserved by these techniques but there are some varieties of cheese, such as cheese or mixed cheese is preserved through these processes. Salting and acts as antiseptic scents forbid food which attack microorganisms. Conservation through chemical environments There are chemicals known as food additives, which helps to destroy microorganisms and thus preserve food. Most food additives used in......

Words: 837 - Pages: 4

Conservation of Resources

...Conservation of resources Management of the human use of natural resources to provide the maximum benefit to current generations while maintaining capacity to meet the needs of future generations. Conservation includes both the protection and rational use of natural resources. Earth's natural resources are either nonrenewable, such as minerals, oil, gas, and coal, or renewable, such as water, timber, fisheries, and agricultural crops. The combination of growing populations and increasing levels of resource consumption is degrading and depleting the natural resource base. The world's population stood at 850 million at the onset of the industrial age. The global population has grown to nearly seven times as large (6 billion), and the level of consumption of resources is far greater. This human pressure now exceeds the carrying capacity of many natural resources. Nonrenewable resources, such as fossil fuels, are replaced over geologic time scales of tens of millions of years. Human societies will eventually use up all of the economically available stock of many nonrenewable resources, such as oil. Conservation entails actions to use these resources most efficiently and thereby extend their life as long as possible. By recycling aluminum, for example, the same piece of material is reused in a series of products, reducing the amount of aluminum ore that must be mined. Similarly, energy-efficient products help to conserve fossil fuels since the same energy services, such as......

Words: 1080 - Pages: 5

Energy Conservation

...Final Environmental Science Tiffany Garris April 15, 2012 Marc Romine Energy Conservation Energy conservation is a simple way to solve many problems but the one we are focusing on today is called acid rain. Acid rain is a devastating effect of energy consumption. The only way to reduce it is to use less natural resources, or energy conservation. Energy consumption and air pollution has become a hot topic recently and is so linked to each other that you cannot have one without the other. One of the worst places for acid rain is China. This is due to their massive consumption of energy sources. The nonrenewable resource they mostly use is coal. Their high usage rate is in direct correlation to their high population. The more people they have the more of a need for coal and other nonrenewable resources. The higher usage of nonrenewable energy resources causes higher amounts of acid rain. If we are not careful we will be as bad if not worse than China. Our energy use increased 40% from 1970 to 2000. They are charted to grow another 40% by year 2020. That is at an even faster rate and we are at 2012 so in eight years we will have used 80% more energy than was used in 1969. That is a scary percentage. Acid rain damages everything from steel buildings to water supplies. One of the many things acid rain destroys is plants. That means it destroys the food we eat by destroying the grass and other flora that animals eat, the animals that eat......

Words: 1998 - Pages: 8

Marine Conservation

...Discuss one management practice for sustainability and conservation of natural resources in that ecosystem The protection of marine species and ecosystems in oceans and seas worldwide is marine conservation. Marine conservation involves the protection and restoration of species, populations and habitats while mitigating human activities such as overfishing, habitat destruction, pollution, whaling and other issues that affect marine life and habitats. The goal of marine conservation is accomplished by enforcing and creating laws, such as the Endangered Species Act and Marine Mammal Protection Act. It is also done by establishing marine protected areas, studying populations through conducting stock assessments and mitigating human activities with the goal of restoring populations. A recent practice that has become popular in marine conservation is the use of Marine Conservation Agreements (MCAs). Through recent years of research, Non-Governmental Organizations (NGOs) have realized that the creation of formal protected areas may not be adequate enough to protect ocean and coastal biodiversity, particularly in areas where rights have already been contracted to specific owners and users. In order to address this, NGOs have increased their usage of MCAs to complement other marine and coastal protection efforts. Marine Conservation Agreements consist of any formal or informal understanding in which one or more parties commit to delivering explicit economic incentives in......

Words: 443 - Pages: 2

We Young | Wojny na stadionach / The Real Football Factories International | A Star Is Born 2018 1080p KOR FHDRip H264 AAC-H2O