Note(s): The table presents the relation between financial reporting statement and the implied cost of equity capital. The dependent variable is the implied cost of equity capital. The independent variable of interest is Accounting Restatement, which indicates a firm has a restatement for a given year. Other variables are defined in Appendix A. The regressions also include year fixed effects and firm fixed effects. t-statistics is based on standard errors adjusted for heteroscedasticity and clustered at the firm level. *, ** and *** denote significance at the 10%, 5% and 1% levels, respectively