Accession Number:

ADA220346

Title:

An Investigation of the Quality of Earnings Concept as Applied to Defense Contractors

Descriptive Note:

Master's thesis

Corporate Author:

NAVAL POSTGRADUATE SCHOOL MONTEREY CA

Personal Author(s):

Report Date:

1989-12-01

Pagination or Media Count:

94.0

Abstract:

This thesis analyzes whether the quality of earnings concept can be usefully employed in the security analysis of defense contractors. Background is provided by an extensive review of the literature relevant to quality of earnings. Since the quality of earnings concept is very subjective, specific quantitative measures of quality of earnings are developed and used in a statistical analysis to validate the variables as explanatory predictors of a firms price earnings PE ratio. The statistical techniques employed include Pearsons Product Moment Correlation, Spearmans Rank Order Correlation, stepwise regression and other multiple linear regression models. Results of the study suggest that there are significant relationships between several hypothesized quality of earnings variables and a firms PE ratio. Quality of earnings Defense contractors.

Subject Categories:

  • Administration and Management
  • Personnel Management and Labor Relations

Distribution Statement:

APPROVED FOR PUBLIC RELEASE