Title: Firm characteristics and voluntary disclosure of geographic segment data by US multinational companies

Authors: Mahmud Hossain, Santanu Mitra

Addresses: Department of Accounting, University of Houston-Clear Lake, 2700 Bay Area Boulevard, Houston, TX 77058-1098, USA. ' Department of Accounting Law and Taxation, School of Business, Montclair State University, Upper Montclair, NJ 07043, USA

Abstract: This study examines the role of firm specific factors such as size, leverage and assets-in-place in determining the level of voluntary disclosure of interim data on foreign operations made by US multinational companies. While prior studies test the impact of firm characteristics on the level of voluntary disclosure of segment data of Australian and New Zealand companies, no research to date has conducted such investigation with respect to the US multinational companies. The results of this study indicate that firm size, leverage and assets-in-place systematically influence the level of voluntary disclosure of geographic segment data of US multinational companies in interim periods. Thus, the study extends the existing disclosure literature by demonstrating that, among other things, certain firm-specific attributes significantly impact a US multinational company|s decision to voluntarily disclose interim geographic segment data.

Keywords: US multinational companies; voluntary disclosure; geographic segment; interim disclosure; firm characteristics; firm size; leverage; assets-in-place; foreign operations.

DOI: 10.1504/IJAAPE.2004.005923

International Journal of Accounting, Auditing and Performance Evaluation, 2004 Vol.1 No.3, pp.288 - 303

Available online: 28 Dec 2004 *

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