...Bradford F. Hepfer ABSTRACT I examine whether book-tax differences (BTDs) are mispriced. I predict that BTD mispricing is the operating cash flows-to-price (CFO/P) anomaly in disguise. Using both time-series asset pricing tests and cross-sectional returns tests, I provide consistent...

... Utke also thanks the University of Connecticut School of Business for financial support. Editor's note: Accepted by Mark L. DeFond. August 2015 July 2018 2019 audit quality industry specialization auditor tenure discretionary accruals book-tax differences auditor...

...Sabrina S. Chi; Morton Pincus; Siew Hong Teoh ABSTRACT We find evidence that investors misprice information contained in book-tax differences (BTDs), measured as the ratio of taxable income to book income, TI/BI. Low TI/BI predicts worse earnings growth...

...Bradley Blaylock; Terry Shevlin; Ryan J. Wilson ABSTRACT We investigate why temporary book-tax differences appear to serve as a useful signal of earnings persistence ( Hanlon 2005 ). We first test and show that temporary book-tax differences provide incremental information over the magnitude...