Following prior research, we operationalize accounting quality using earnings management, timely loss recognition, and value relevance metrics. Consistent with the predictions in this prior research, we predict that firms with higher quality earnings exhibit less earnings management, more timely loss recognition, and higher value relevance of earnings and equity book value. However, as noted below, there are plausible reasons for making the opposite prediction for several of our metrics. This is because accounting quality can be affected by opportunistic discretion exercised by managers and non opportunistic error in estimating accruals, and our metrics reflect these effects.