JOURNAL OF ACCOUNTING LITERATURE Co-Editors Bipin B. Ajinkya and William F. Messier, Jr. University of Florida Associate Editors E. Michael Bamber, University of Georgia Rajiv D. Banker, University of Minnesota James R. Boatman, Arizona State University Dan S. Dhaliwal, University of Arizona John H. Evans III, University of Pittsburgh Robert N. Freeman, University of Texas Robert Libby, Cornell University Robert C. Lipe, University of Colorado Senyo Tse, University of Texas VOLUME 12 CONTENTS An Overview of the Analytic Heirarchy Process and its Use in Accounting Research Barbara Apostolou and John M. Hassell Managerial Flexibility in Capital Investment Decisions: Insights from the Real-Options Literature Joseph K. Cheung Chaos Theory and Nonlinear Dynamics: An Emerging Theory with Implications for Accounting Research Harlan L. Etheridge and Ram S. Sriram A Review of Accounting Research on Cognitive Characteristics Joanna L. Ho and Waymond Rodgers Executive Compensation: Issues and Research Ellen L. Pavlik, Thomas W. Scott and Peter Tiessen