The Accessibility and Perceived Usefulness of Information on the Capital Expenditure Intentions of UK Quoted Companies
Two questionnaire surveys are used to examine the accessibility and perceived usefulness of information relating to the capital expenditure plans of UK firms. The first survey was addressed to the finance directors of 424 UK-quoted companies; the 2nd survey was addressed to 185 equity analysts. The...
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Published in | Accounting and business research Vol. 22; no. 85; p. 3 |
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Main Authors | , , |
Format | Journal Article |
Language | English |
Published |
Abingdon
Taylor & Francis Ltd
01.12.1991
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Subjects | |
Online Access | Get full text |
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Summary: | Two questionnaire surveys are used to examine the accessibility and perceived usefulness of information relating to the capital expenditure plans of UK firms. The first survey was addressed to the finance directors of 424 UK-quoted companies; the 2nd survey was addressed to 185 equity analysts. The evidence indicates that analysts and company financial managers view such information as potentially useful for external investment purposes. There appears to be considerable cross-firm variation in the extent to which such information is made available to external investors. Companies seem to be more likely to disclose news about their capital expenditure intentions under the following conditions: 1. when their finance directors feel the information is useful to external shareholders, 2. when there is an associated requirement to raise additional external finance, and 3. when the news relates to an increase in capital expenditure. |
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ISSN: | 0001-4788 2159-4260 |
DOI: | 10.1080/00014788.1991.9729412 |