Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
5086850 | Journal of Accounting and Economics | 2011 | 25 Pages |
Abstract
ⶠIn recent years, balance sheet covenants are used less frequently in debt agreements. ⶠI consider the role of accounting standards in this decline. ⶠSpecifically, I examine whether the shift to the “balance sheet approach” has influenced covenants. ⶠI find that accounting standards are associated with balance sheet covenant use. ⶠThe same is not true of income statement covenant use, which has not changed.
Related Topics
Social Sciences and Humanities
Business, Management and Accounting
Accounting
Authors
Peter R. Demerjian,