Performance Expectations Gap,R&D Accounting Policy Selection And Corporate Asset Pricing

The report of the 19th National Congress of the Communist Party of China pointed out that "my country’s economy has shifted from a stage of rapid growth to a stage of high-quality development",which puts forward higher requirements for the market’s decisive role in resource allocation.Asset pricing is the basis and guarantee for the capital market to allocate resources.Reasonable stock prices can guide the long-term capital flow in the market to companies with core technology,strong development,industry-leading and good reputation,cultivate and upgrade high-quality listed companies,and avoid the phenomenon of "good money" being expelled by "bad money".It is of great significance to optimize the allocation of resources,strengthen financial services to the real economy,and promote the optimization of the economic structure.However,in reality,the capital market is not efficient,and it is very common that stock prices deviate from the intrinsic value of the enterprise and lead to pricing bias.Behavioral finance theory points out that investors’bounded rationality and their behavioral deviations are the main causes of asset pricing biases,and the incompleteness of the market will aggravate investors’ decision-making biases and irrational investment judgments,and further aggravate corporate asset pricing biases.The performance expectation gap is the core content of the corporate behavior theory,which provides a new perspective for exploring the management decision-making process and corporate behavior.The gap in performance expectations amplifies the management’s performance expectations pressure,changes the management’s risk attitude and decision-making behavior,and has an important impact on investors’information acquisition and investment judgments.It can be seen that the gap in performance expectations can have an important impact on corporate asset pricing.After sorting out the existing literature,it is found that there are few literatures that examine the issue of corporate asset pricing from the perspective of the gap in performance expectations,which provides an opportunity for the study of this article.So,what impact will the gap in performance expectations have on corporate asset pricing?Furthermore,how will different situations affect the relationship between the two?In response to the country’s relevant policies to encourage innovation,the R&D activities of Chinese enterprises are increasing.While corporate R&D expenditure has received widespread attention from all walks of life,it has also become an important tool for companies to cater to investors and conduct speculation due to their large amount,high uncertainty,and strong concealment.Especially in high-tech companies,R&D accounting policy selection is an important means for management to manipulate earnings and whitewash information.So,will the choice of R&D accounting policy have an impact on corporate asset pricing?When faced with a gap in performance expectations,will the management in order to cope with the pressure of performance expectations and get rid of the "predicament" through R&D accounting policy selection,thereby exacerbating the enterprise’s asset pricing bias,that is,the R&D accounting policy selection is based on the performance expectations gap and the company’s Is there an intermediary effect between asset pricing?Based on this,this article constructs a theoretical framework of performance expectations gap-R&D accounting policy selection-corporate asset pricing,taking my country’s A-share high-tech listed companies as the research object,and comprehensively applying empirical analysis methods on this basis to achieve performance expectations gaps The relationship with corporate asset pricing and whether the choice of R&D accounting policy played an intermediary role between the two was tested.The full text is divided into four parts and 7 chapters.The specific arrangement is as follows:The first part is Chapter 1,which discusses the research background,research purpose and significance of this article,research content and methods,research innovation points,etc.The core concepts involved in this article are defined,laying a conceptual foundation for the subsequent research;the second part is Chapters 2-3,which combs and reviews historical documents related to the research of this article,and analyzes related research Theory;The third part is chapters 4-6,which is an empirical analysis part,respectively,on the relationship between performance expectations and corporate asset pricing,the relationship between R&D accounting policy choices and corporate asset pricing,and R&D accounting policy choices in performance The intermediary role between the expectation gap and corporate asset pricing is analyzed and empirically tested.The fourth part is Chapter 7,which summarizes the full text of the research,summarizes the research conclusions,and puts forward relevant policy recommendations.The main research conclusions of this paper are as follows:(1)The gap in performance expectations has significantly increased the level of corporate asset pricing bias.The longer the gap in performance expectations lasts and the wider the scope,the higher the degree of corporate asset pricing bias.Further research has found that strengthening external and internal supervision can effectively reduce the impact of performance expectations gaps on corporate asset pricing biases,that is,in groups with low analyst attention and poor internal control,performance expectations gaps have an effect on asset pricing bias.From the perspective of the management,the higher the level of risk-taking and the greater the power of the management,the greater the impact of the performance expectation gap on the enterprise asset pricing bias,which also shows from the side that the performance expectation gap will be Affect the behavior of the management,which in turn affects the asset pricing of the enterprise.(2)The management’s use of R&D accounting policy choices for earnings manipulation has significantly aggravated the company’s asset pricing bias.Through the examination of the role of R&D accounting policy selection and asset pricing,it is found that information transparency and investor sentiment play a part of the intermediary effect in the relationship between the two,that is,the behavior of earnings manipulation through R&D accounting policy selection is mainly through reducing information Transparency and the way in which it affects investor sentiment,thereby exacerbating corporate asset pricing bias.Further research shows that,compared with state-owned enterprises,the impact of R&D accounting policy selection on earnings management behavior on corporate asset pricing bias is more significant in nonstate-owned enterprises.Compared with the situation where the degree of economic policy uncertainty is low,when the degree of economic policy uncertainty is higher,the selection of earnings management behavior in R&D accounting policies has a more significant impact on corporate asset pricing bias.(3)The choice of R&D accounting policy plays a part of the intermediary effect between the gap in performance expectations and corporate asset pricing,that is,when faced with pressure from the gap in performance expectations,the management will use the method of R&D accounting policy selection for earnings management to Change the status quo,which will adversely affect the company’s asset pricing.The intermediary effect of R&D accounting policy selection for earnings management is more significant in the subgroups where analysts pay less attention,the quality of internal control is lower,the level of management risk is higher,and the management power is greater.The innovations of this article are mainly reflected in the following aspects.First,it has enriched the research on the influence factors of asset pricing bias.The current literature on the influence factors of corporate asset pricing biases mainly researches on investor behavior,investor sentiment,external environment,internal governance characteristics,etc.It has not paid attention to the influence factors related to decision makers’ choice willingness,and there is no literature research on performance expectations.The relationship between the gap and corporate asset pricing.The gap in performance expectations is an important perspective for studying the decision-making process of management and corporate behavior.The pressure on performance expectations brought about by the gap in performance expectations will change the management’s risk attitude and decision-making behavior,which will affect investors’information acquisition and investment judgments.Lead to asset pricing bias.Therefore,this article incorporates the performance expectation gap and corporate asset pricing into the same research framework,explores the relationship between the performance expectation gap and corporate asset pricing bias,and makes a useful supplement to the research on the influence factors of asset pricing bias.Second,it expands the research on the economic consequences of R&D accounting policy choices for earnings management.Most of the existing studies have explored the economic consequences of R&D accounting policy selection earnings management behavior based on the perspective of listed companies,such as corporate innovation performance,corporate performance,information environment,etc.,while there are few studies investigating the economic consequences from the perspective of capital markets.Only Xu Shoufu et al.(2016)examined the relationship between the capitalization of R&D expenditure and the mispricing of stocks.However,the capitalization of R&D expenditure and the selection of earnings management in the R&D accounting policy of this article are not essentially the same concept,and they are also different in terms of index quantification.Therefore,this article will focus on the capital market and analyze the economic consequences of R&D accounting policy selection earnings management from the perspective of corporate asset pricing,enriching the research on the economic consequences of R&D accounting policy selection earnings management.Third,this article also examines the mediating role of R&D accounting policy choices between the gap in performance expectations and asset pricing,and provides a new concrete path and empirical evidence for the gap in performance expectations to affect asset pricing.