violation harder to detect “Easy” to do Constraints More costly to the firms Auditor and regulators’ scrutiny and litigation risk the sum of accruals must be zero over the life of the firm. Model Test
example is climate change risk and opportunity. The Ceres-led Carbon Asset Risk Initiative is posing tough questions to fossil fuel–based energy majors about their risk scenarios, and plans to devote new
/ regulatory action 5. Advertising, raising customer awareness • One state regulator describes their role as making advisors reveal their “verification of misconduct” (costly verification) • Conditional on a
estate development projects but due to the feasibility study of the project, the Company considered that the development of the project on such land is costly and not cost effective. The Company, therefore
to be a tough year for KCE. The Company experienced a number of challenges, such as the slowdown in the world automotive market that caused a delayed startup of new projects in the current year
account for newer, more costly production processes to comply with new social and environmental regulations (i.e. anti-pollution). Apply balance sheet impairment charges to reduce (“write down”) the book
Strategic Betas in use 36 Risk-based explanation Behavioral explanation Value Costly reversibility of assets inplace leads to high sensitivity to economic shocks in bad times Over-reaction to bad news and
Advanced Info Service Plc. Market and Competitive Environment In FY21, mobile competition remained tough as diminished purchasing power has prompted operators to compete on price plan to maintain customer
, 2022). Corporate culture matters because employees will ultimately face tough choices that cannot be effectively regulated ex ante (O'Reilly 1989; Griffin, Li, and Xu, 2021). In contrast to formal
require substantial water resources to operate Environmental sensitivities: Costly habitat relocation or remediation and additional permitting can be required if sites are located on environmentally