Noise in Accounting Information: The Signal Detection Theory Perspective.

Lau, Yeng Wai (2008) Noise in Accounting Information: The Signal Detection Theory Perspective. International Journal of Economics and Management, 2 (1). pp. 172-193. ISSN 1823-836X

[img] PDF
139Kb

Abstract

Accounting information constitutes a “noisy” representation of economic reality due to the spectrum of accounting alternatives available to meet a diversity of information needs. In the presence of noise, decisionmakers can either overlook signals that truly require attention or mistake noise for signals. This paper seeks to (1) discuss how decision-makers fare in discriminating accounting signals from noise based on extant empirical findings, (2) highlight the adverse effects of noise in accounting information from the signal detection theory perspective, and (3) offer recommendations on how best to fend of the adverse influence of noise.

Item Type:Article
Faculty or Institute:Faculty of Economics and Management
ID Code:687
Deposited By: Yusfauhannum Mohd Yunus
Deposited On:24 Nov 2008 14:58
Last Modified:27 May 2013 06:50

Repository Staff Only: Edit item detail

Document Download Statistics

This item has been downloaded for since 24 Nov 2008 14:58.

View statistics for "Noise in Accounting Information: The Signal Detection Theory Perspective."


Universiti Putra Malaysia Institutional Repository

Universiti Putra Malaysia Institutional Repository is an on-line digital archive that serves as a central collection and storage of scientific information and research at the Universiti Putra Malaysia.

Currently, the collections deposited in the IR consists of Master and PhD theses, Master and PhD Project Report, Journal Articles, Journal Bulletins, Conference Papers, UPM News, Newspaper Cuttings, Patents and Inaugural Lectures.

As the policy of the university does not permit users to view thesis in full text, access is only given to the first 24 pages only.