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Journal articles (2011), Journal of Accounting and Public Policy, 30 (2), pp. 145-165

Accounting choice and future performance: The case of R&D accounting in France

JENY Anne, JEANJEAN Thomas , JOOS P.

We examine whether managers’ decisions to capitalize or expense R&D expenditures convey information about the future performance of the firm. We show that the decision to capitalize R&D is generally associated with a negative or neutral impact on future performance, even after controlling for self-selection. Our results suggest that management is unable to truthfully convey information about future performance through its decision to capitalize R&D.

JENY, A., JEANJEAN, T. and JOOS, P. (2011). Accounting choice and future performance: The case of R&D accounting in France. Journal of Accounting and Public Policy, 30(2), pp. 145-165.

Keywords : #Capitalisation, #Choix-comptable, #Performance, #R&D