Measures of the Timeliness of Earnings
Australian Accounting Review, Forthcoming
28 Pages Posted: 19 Oct 2009 Last revised: 2 Jul 2011
Date Written: June 30, 2011
We explore relationships among four measures of ‘timeliness’ in the financial accounting research literature: the Ball and Brown (1968) measure; Dyer and McHugh’s (1975) reporting lag; the Khan and Watts (2009) measure; and the Beekes and Brown (2006) measure. There are good reasons why the measures might be related and also why they might differ. Thus we examine the extent to which they are empirically related, using data for a sample of Australian companies over the period 1994-2005. Overall, we find the four measures share a common label, ‘timeliness’, but not much else.
Keywords: Timeliness, Price Discovery, Conservatism
JEL Classification: M40
Suggested Citation: Suggested Citation