Bruno Meirelles Salotti

Ensaio Sobre a Teoria da Divulgação

The present essay is based on the paper by Verrecchia (2001) and seeks to present and discuss the analytical models developed from the theory of disclosure. Initially, research on this subject is classified into three categories: based on association, discretion and efficiency. Mathematical relations are shown for each category seeking to represent the disclosure phenomenon and the variables related to it. Besides this, game theory is presented as another possible approach to model the disclosure process. It is hoped that such models will serve as a theoretical base to develop hypotheses and conduct further research for empirical verification of these hypotheses, and consequently, based on such evidence, to improve the models to better represent the reality of the disclosure process.

Fatores Determinantes do Nível de Divulgação de Informações sobre Combinações de Negócios com a Entrada em Vigor do Pronunciamento Técnico CPC 15

This paper aimed to investigate information disclosure on business combination transactions that took place in Brazil in 2010, when the Accounting Standard CPC 15 entered into force, and evaluate which were the determining factors of the level of disclosure of information related to it. To evaluate the disclosure level, a disclosure index of business combinations (INDCOMB) was prepared, having the disclosure index developed by Shalev (2009) as a basis. We evaluated, in the light of the literature on disclosure and business combinations, whether the following factors influenced on the disclosure level: acquiring company size, recognized percentage of overprice for expected future profitability in relation to the transaction value, dispersion of capital of the acquiring company, audit firm size, and participation of the acquiring company in American Depositary Receipts (ADRs) programs. The control variables used were listing of the acquiring company in the various segments of BM&FBOVESPA, operation sector, origin (state, private company with national capital or private company with foreign capital), and relative acquired company size in relation to the acquiring company. We analyzed business combination transactions that took place in 2010, reported by 40 open capital companies involved in 76 transactions. We conclude that the audit firm size and the relative acquired company size were factors that influenced on the level of disclosure of information regarding business combinations in 2010. The other factors showed no conclusive results.

Hegemonies, Politics and the Brazilian Academy in Social and Environmental Accounting: A Post-Structural Note

We present a critical literature review debating Brazilian research on social and environmental accounting (SEA). The aim of this study is to understand the role of politics in the construction of hegemonies in SEA research in Brazil. In particular, we examine the role of hegemony in relation to the co-option of SEA literature and sustainability in the Brazilian context by the logic of development for economic growth in emerging economies. The methodological approach adopts a post-structural perspective that reflects Laclau and Mouffe’s discourse theory. The study employs a hermeneutical, rhetorical approach to understand and classify 352 Brazilian research articles on SEA. We employ Brown and Fraser’s (2006) categorizations of SEA literature to help in our analysis: the business case, the stakeholder–accountability approach, and the critical case. We argue that the business case is prominent in Brazilian studies. Second-stage analysis suggests that the major themes under discussion include measurement, consulting, and descriptive approach. We argue that these themes illustrate the degree of influence of the hegemonic politics relevant to emerging economics, as these themes predominantly concern economic growth and a capitalist context. This paper discusses trends and practices in the Brazilian literature on SEA and argues that the focus means that SEA avoids critical debates of the role of capitalist logics in an emerging economy concerning sustainability. We urge the Brazilian academy to understand the implications of its reifying agenda and engage, counter-hegemonically, in a social and political agenda beyond the hegemonic support of a particular set of capitalist interests.

Firm Incentives, Institutional Factors and Accounting Quality: The IFRS Adoption in Brazil

This study examines the role of firm-specific factors that influence the company decision to improve the level of accounting quality after the IFRS adoption. Particularly, we focus on an emerging market economic with an institutional setting characterized by weak governance mechanisms and low-speed institutional changes. The chosen setting allows to contribute with further evidence to the current literature relative to the role of institutional vs. firm-specific factors on reporting incentives and therefore, on the financial reporting decisions. Changing the accounting system is not enough to improve the context of financial opacity across emerging markets, as any new accounting regulation must be simultaneously accompanied by significant institutional changes that strength the enforcement mechanisms in place (Fan et al., 2011, Ball et al., 2000). When these “formal” institutional changes do not take place, companies may be force to establish a firm-specific commitment towards the appropriate enforcement of the new accounting system, in order to obtain the attained benefits of a accounting regulatory change. Consistent with this idea, we look at the impact of a set of firm-specific variables that may affect the financial reporting decision and therefore, the degree of accounting quality. Particularly, we focus a set of variables related to (a) the ownership structure, (b) a set of governance mechanisms: auditor and listing status; (c) the degree of internationalization, and (d) other financial characteristics. The results provide evidence on the relevance of a set of firm-specific characteristics on the level of earnings quality increase. Particularly, internationalization and growth opportunities are clear determinants of increases in earnings quality. Consistent with the previous literature, the ownership concentration reveals as a limiting factor to increases in earnings quality after the IFRS adoption. Finally, the results also suggest the lack of strong oversight and enforcement mechanisms compared to other institutional settings may harm the expected role of the auditors or alternative governance mechanisms such as the capital markets listing categories.

OS MÉTODOS DE DIVULGAÇÃO DA DEMONSTRAÇÃO DOS FLUXOS DE CAIXA NO BRASIL

One of the most discussed issues in Brazil recently has been the substitution of the Statement of Origins and Applications of Funds for the Statement of Cash Flow. This substitution is included in the project to change Law no 6.404/76, known as the “Law for Public Companies”. Thus it seems necessary to discuss the Statement of Cash Flow, mainly its disclosure method: direct or indirect. The theory indicates that the Direct Method is simpler to understand than the Indirect Method. However, the Indirect Method is considered to be more informative because it reconciles earnings and cash. This paper analyses the opinions of academics, market analysts and accountants, and with the objective of identifying whether one of the disclosure methods is preferred. The results indicate that there is no specific