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|Title:||Bank accounting conservatism and bank loan pricing||Authors:||Lim, Chu Yeong
|Keywords:||DRNTU::Business::Finance::Bank management||Issue Date:||2014||Source:||Lim, C. Y., Lee, E., Kausar, A., & Walker, M. (2014). Bank accounting conservatism and bank loan pricing. Journal of Accounting and Public Policy, 33(3), 260-278.||Series/Report no.:||Journal of accounting and public policy||Abstract:||This paper studies the effects of bank accounting conservatism on the pricing of syndicated bank loans. We provide evidence that banks timelier in loss recognition charge higher spreads. We go onto consider what happens to the relationship between spreads and timeliness in loss recognition during the financial crisis. During the crisis, banks timelier in loss recognition increase their spreads to a lesser extent than banks less timely in loss recognition. These findings are broadly consistent with the argument that conditional accounting conservatism serves a governance role. The policy implication is that banks timelier in loss recognition exhibit more prudent and less pro-cyclical loan pricing behaviour.||URI:||https://hdl.handle.net/10356/103900
|ISSN:||0278-4254||DOI:||http://dx.doi.org/10.1016/j.jaccpubpol.2014.02.005||Rights:||© 2014 Elsevier Inc. This is the author created version of a work that has been peer reviewed and accepted for publication by Journal of Accounting and Public Policy, Elsevier Inc. It incorporates referee’s comments but changes resulting from the publishing process, such as copyediting, structural formatting, may not be reflected in this document. The published version is available at: [DOI: http://dx.doi.org/10.1016/j.jaccpubpol.2014.02.005].||Fulltext Permission:||open||Fulltext Availability:||With Fulltext|
|Appears in Collections:||NBS Journal Articles|
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