According to a method of earnings management activities that administrators can manage reported earnings from the definition of real activity. In particular they can be located across time and activities in a way that accounting period to achieve a certain revenue target. Conservative attitudes of auditors in presenting their views about the independence of the auditor can considered as a remar...

In this paper, we examine the effect of voluntary adoption of clawback provision on non-GAAP earnings disclosures. The extant literature documents that the voluntary adoption of clawback provisions improves financial reporting quality by increasing the costs of misstating GAAP earnings. However, managers may respond to perception of reduced discretion over GAAP reporting by increasing their rel...

We analyze the changes in earnings of paid workers (wage earners) in rural India from 2004/05 to 2011/12. Real earnings increased at all percentiles, and the percentage increase was larger at the lower end. Consequently, earnings inequality declined. Recentered influence function decompositions show that throughout the earnings distribution, except at the very top, both changes in “worker chara...

a r t i c l e i n f o Previous literature finds that situations that put managers under significant levels of pressure (e.g. IPO, upcoming credit rating changes, violation of debt covenant, etc.) might affect the way earnings are manipulated. The aim of this study is to investigate whether the pressure caused by the non-temporary level of financial distress, conditions the choice between real a...

Mincer wage equations focus on the earnings premium associated with additional schooling for a cross section of individuals of different ages but generally fail to account for changes in education quality over time. More fundamentally, school attainment is an inadequate proxy of individual skills, when both family inputs and ability affect cognitive skills. We combine quality-adjusted measures ...

SYNOPSIS: Earnings management remains a popular topic of debate and discussion among investors, regulators, analysts, and the public. One mechanism that might mitigate earnings management is auditors’ industry expertise. Using a large sample of clients of Big 6 auditors, this research examines the association between auditor industry expertise, measured in terms of both auditor market share in ...

In the present research, we found that endogenous testosterone and cortisol changes were jointly related to bargaining outcomes. In a face-to-face competitive negotiation (Study 1) and a laboratory-based bargaining game (Study 2), testosterone rises were associated with high earnings and high relationship quality, but only if cortisol dropped. If cortisol rose, testosterone rises were associate...

Interest in estimating the impact of school quality on earnings has increased. But most studies on this topic have important limitations, particularly in studies for developing countries. They tend to ignore behavioral decisions regarding schooling and individual and family background characteristics, use school quality measures aggregated to the regional level, and rely on crude indicators of ...

As signs of economic recovery continue to emerge, issues relating to quality of life, living standards, the provision of public services and adequacy of income are returning to the policy sphere. Included among these are issues related to earnings and pay levels. This paper examines low pay both in the context of the distribution of earnings within the income distribution and the distribution o...