Explain in your own words why the market response to accruals, as documented by Sloan (1996), is

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Explain in your own words why the market response to accruals, as documented by Sloan (1996), is an anomaly for securities market efficiency.

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Financial Accounting Theory

ISBN: 978-0132984669

7th edition

Authors: William R. Scott

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Question Posted: Sep 09, 2014 10:53 AM

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Explain in your own words why the market response to accruals, as documented by Sloan (1996), is

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The efficient market will respond more strongly to the GN or BN in earnings ie a higher ERC the grea...View the full answer

Financial Accounting Theory

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