...Mollie E. Mathis ABSTRACT Krull (2004) finds evidence that firms manage earnings through the permanently reinvested earnings (PRE) designation using the backing-out methodology. However, Lim and Lustgarten (2002) demonstrate that studies using the backing-out methodology may be subject to Type...

...Lisa Eiler; Lisa A. Kutcher ABSTRACT We examine the determinants of disclosure decisions relating to the unrecognized deferred tax liability on permanently reinvested earnings (PRE). Prior research shows firm value is lower when firms disclose an estimated deferred tax liability for PRE...