While the sample size of the three earnings deviation samples is substantially smaller,
the results are generally qualitatively and statistically similar to those reported in Table 6.
In particular, the (untabulated) coefficient estimates on the AC interaction term are negative
and significant at p 0.10 in both the PTI and EBIT regressions for all three deviation
samples with one exception—the coefficient estimate is marginally insignificant
(p 0.105) in the EBIT regression for the 2 percent sample. The untabulated coefficient
estimates on the PC interaction term are insignificant (positive and significant at p 0.10)
in the EBIT (PTI) regressions for all three deviation samples. Overall, our inferences are
robust to using the earnings-deflated deviation samples.