This paper examines the usefulness of accounting information in predicting earnings management. We investigate a comprehensive sample of firms from 1971-2000 that restated annual earnings. We find that firms restating earnings have high market expectations for future earnings growth and have higher levels of outstanding debt. We also find that a primary motivation for the earnings manipulation ...

Interpreting accruals as working capital investment, we hypothesize that firms optimally adjust their capital investment in response to discount rate changes. Consistent with the discount-rate hypothesis, we document that (i) the predictive power of accruals for future returns increases with the correlations of accruals with past and current stock returns; (ii) controlling for investment substa...

ABSTRACT A large body of empirical research in accounting investigates the causes and consequences accruals quality, reaching numerous influential conclusions. Yet little work has been done to systematically evaluate validity underlying measures quality. We these using three criteria: (1) Is measure unaffected by economic determinants accruals? (2) Does consistently reflect errors (3) facilitat...

The cash flow statement aids the management to ascertain profitability and liquidity position of a company. One can understand from how efficiently company is paying its obligation in various forms liability expense. This study aimed explore ability short-term accounting accruals predict flows. sample included 77 Jordanian companies listed between 2006–2019. Cash flows were measured by net oper...

The purpose of this article is to investigate the phenomenon earnings management and its impact on accounting performance at time listing event. analysis based a sample 189 firms their securities Ho Chi Minh, Vietnam stock exchange for period 2009 2017. Four cross–sectional models were adopted study estimate with two total accruals current accruals. first provides evidence that Vietnamese aggre...

A Rede Neural Artificial (RNA) tem capacidade de simular uma rede neural biológica e apresenta-se como ferramenta que pode auxiliar na redução problemas econométricos mediante modelos matemáticos. Modelos gerenciamento resultados apresentam um problema fundamental pelo fato dos accruals discricionários da gestão não serem diretamente observáveis, o vem a afetar avaliação do desempenho real empr...