Results 271 to 280 of about 2,939 (303)

The role of discretionary pension accruals in earnings management

Journal of Applied Accounting Research, 2020
PurposeManagers of defined-benefit (DB) firms have considerable discretion in deriving pension costs and flexibility in cash contributions to pension plans. Pension accruals occur when cash contributions differ from pension costs. The manipulable nature of pension costs and cash contributions allows managers of DB firms to manipulate pension accruals ...
Su-Jane Hsieh, Yuli Su, Chun-Chia Amy Chang   +2 more
openaire   +1 more source

Accounting Accruals and Tests of Earnings Management

SSRN Electronic Journal, 2007
The success of the Jones model has inspired a long line of research on learnings management that utilizes it. In this paper, I augment the Jones and performance-adjusted Jones models by incorporating three measures from financial statements: abnormal beginning non-cash working capital, working capital intensity, and historical depreciation rates.
openaire   +1 more source

Accruals earnings management proxies: Prudent business decisions or earnings manipulation?

Journal of Business Finance & Accounting, 2022
AbstractOver the last 5 years, the top accounting journals have published 388 articles that incorporate an empirical proxy for accruals‐based earnings management. Researchers use these proxies to measure diverse managerial activities that represent fundamentally different constructs (from beneficial earnings management at one end of the spectrum to ...
Theodore E. Christensen, Adrienna Huffman, Melissa F. Lewis‐Western, Rachel Scott   +3 more
openaire   +1 more source

Dividend Policy and Earnings Management: Based on Discretionary Accruals and Real Earnings Management

Advanced Science and Technology Letters, 2015
In this paper, we attempt to identify the effect of high dividend payouts on earnings management by examining discretionary accruals and real earnings management. Firms experience pressure to payout dividends from institutional and foreign investors who pursue investments in firms with a high dividend policy.
Chae Chang Im, Jeong Ho Kim, Min Kyung Choi   +2 more
openaire   +1 more source

Discretionary accruals: signalling or earnings management in Australia?

Accounting & Finance, 2017
AbstractWe investigate the signalling effect of discretionary accruals (DAC). Although we find that discretionary accruals are insignificantly related to contemporaneous stock returns, we uncover that income‐increasing discretionary accruals of GAAP‐complying growth firms are significantly and positively related to contemporaneous stock returns ...
Hai Yen Pham, Richard Yiu‐Ming Chung, Eduardo Roca, Ben‐Hsien Bao   +3 more
openaire   +2 more sources

Real Earnings Management and Accrual-based Earnings Management

Advances in Economics, Management and Political Sciences
Against the backdrop of the rapid development of the capital market and increasingly fierce corporate competition, earnings engagement, working as an important means for enterprises to adjust financial information, has attracted much attention regarding its rationality and potential risks.
openaire   +1 more source

Managerial Foresight and Choice of Accruals in Earnings Management

SSRN Electronic Journal, 2008
This study investigates whether information about future earnings (i.e. foresight) affects a manager’s accrual choices in income smoothing. Accruals can be employed to set aside current earnings for future use (flexibility effect). However, the reversal of accruals can lead to more variable future earnings (complexity effect).
Hwee Cheng Tan, Karim Jamal
openaire   +1 more source

Earnings management through discretionary accruals: evidences from COMPUSTAT

International Journal of Services and Standards, 2006
This study examines the existence and prevalence of earnings management behaviour through Discretionary Accruals (DA). Using the modified Jones cross-sectional model to identify DA, firms listed in the COMPUSTAT database were classified into four groups based on their level of Pre-Discretionary Income (PDI): big-bath firms, loss avoidance firms, firms ...
Haiyan Zhou, Kai S. Koong
openaire   +1 more source

Management’s tone change, post earnings announcement drift and accruals

Review of Accounting Studies, 2009
This study explores whether the management discussion and analysis (MD&A) section of Forms 10-Q and 10-K has incremental information content beyond financial measures such as earnings surprises and accruals. It uses a classification scheme of words into positive and negative categories to measure the tone change in the MD&A section relative to prior ...
Ronen Feldman, Suresh Govindaraj, Joshua Livnat, Benjamin Segal   +3 more
openaire   +1 more source

Earnings Management of Chinese Listed Firms: Discretionary Accruals and Earnings Benchmarks

2011
This paper examines how earnings benchmarks of firms listed in Mainland China may lead to earnings management through use of discretionary accruals. We compared discretionary accrual levels of small profit firms and small loss firms before and after controlling for the effect of two published benchmarks.
Ying Que, Peter Secord
openaire   +1 more source