We show the unique form that must be taken by a tax system based entirely on realization accounting to implement a uniform capital income tax, or, equivalently, a uniform wealth tax. This system combines elements of an accrual based capital income tax and a traditional cashflow tax, having many of the attributes of the latter while still imposing a tax burden on marginal capital income. Like th...

    Project scheduling   Net present value   We consider a project scheduling problem with permitted tardiness and discrete time/resource trade-offs under maximum net present value objective. In this problem, a project consists of a set of sequential phases such that each phase contains one or more sub-projects including activities interrelated by finish-start-type precedence relations with a t...

We analyze a dynamic contribution game to a public project, in which a group of agents exert costly effort over time to make progress on a project. The project progresses gradually, and it is completed once a pre-specified amount of progress has been made, at which point it generates a lump sum payoff. A standard result in these games is that equilibrium efforts are inefficiently low due to the...

Agency cost theory is an important branch of capital structural theory. Free cash flow has significant impact on agency cost. The combination of research on these two fields would help to build and extend the theoretical system. Based on agency cost theory, the present study firstly categorized the characteristics of free cash flow as well as the statistical methodologies. Furthermore, the exis...

I examine the impact of management cash flow forecasts on investors and analysts. The news in management cash flow forecasts is priced beyond total earnings news. Analysts revise earnings forecasts more for the news in these forecasts than for the news in accruals. I further find that the market’s higher pricing of cash flow forecast news is greater for firms 1) with bad earnings news, 2) in fi...

1.0 INTRODUCTION In the past few decades, U.S. businesses have made large investments in information technology (IT), without decisive evidence about the value of such investments [1]. A natural question that arises in this context is whether managers have wasted organizational resources through large investments in IT. In his well-known free cash flow hypothesis, Michael Jensen argues that man...

The aim of a multi-mode resource-constrained project scheduling problem (MRCPSP) is to assign resource(s) with the restricted capacity to an execution mode of activities by considering relationship constraints, to achieve pre-determined objective(s). These goals vary with managers or decision makers of any organization who should determine suitable objective(s) considering organization strategi...

a r t i c l e i n f o We re-evaluate the cash flow–investment relation from a new angle in a setting where the firm can access capital markets and faces different investment opportunity sets. Instead of replying on cash flow, we introduce other forms of finance to interact with investment. We find that financial variables enter significantly into the investment regressions at different timing. ...