Corporate Governance and Earnings Management: A Case of Karachi Stock Exchange Listed Companies

2015 ◽  
Vol 8 (2) ◽  
pp. 103-118 ◽  
Author(s):  
Amjad Iqbal ◽  
Xianzhi Zhang ◽  
Khalil Jebran
Keyword(s):  
Corporate Governance ◽  
Earnings Management ◽  
Stock Exchange ◽  
Listed Companies

scholarly journals Earnings manipulations in politically influenced firms

2017 ◽  
Vol 15 (1) ◽  
pp. 65-71 ◽  
Author(s):  
Muhammad Sadiq ◽  
Zaleha Othman
Keyword(s):  
Corporate Governance ◽  
Earnings Management ◽  
Positive Relationship ◽  
Stock Exchange ◽  
Earnings Quality ◽  
Listed Companies ◽  
Large Sample ◽  
Listed Firms ◽  
Political Influences ◽  
The Relationship

This paper investigates the relationship between political influences and earnings manipulations because little has been known about the relationship between both variables using multiple proxies. The authors measure earnings manipulation using models developed by Bhattacharya et al. (2003) and McNichols (2002), for a large sample of 129 listed firms in Pakistan Stock Exchange over the period 2009–2013. This study finds that politically influenced firms are involved in accruals earnings management and lack transparency, implying lower earnings quality. Our findings are consistent with prior studies, which show the positive relationship between political influences and earnings manipulations. However, the authors add contribution by using three proxies of political influences. The findings are useful for regulators to monitor earnings manipulations activities among public listed companies. In addition, the findings add to the growing literature in the field of corporate governance.

scholarly journals A Study of Association between Taiwan’s Corporate Governance Appraisal and Financial Performance: Evidence from Taiwan Listed Companies

2019 ◽  
Vol 12 (11) ◽  
pp. 66
Author(s):  
Li-Lun Liu ◽  
Yu-Ting Huang
Keyword(s):  
Corporate Governance ◽  
Earnings Management ◽  
Financial Performance ◽  
Stock Exchange ◽  
Earnings Quality ◽  
Listed Companies ◽  
Accounting Firms ◽  
Taiwan Stock Exchange ◽  
Big 4 ◽  
Corporate Governance Quality

To enable all listed companies to gradually upgrade and implement corporate governance, the appraisals are promoted to assist investors through the comparison of corporate governance appraisal (CGA) in Taiwan’s market. Using a panel data is based on the companies listed on the Taiwan Stock Exchange during the period 2014-2016; this paper provides evidence that earnings management is affected negatively by corporate governance quality. This is expected to guide healthy competition between enterprises and strengthen corporate governance. Recent studies have pointed out that managers are more favorable to their actions due to weak corporate governance. While most studies explored the relationship between corporate governance and financial performance, few studies have included in corporate governance appraisal (CGA). This study examines how CGA in Taiwan listed companies will affect their earnings quality and this study uses earnings management (EM) as measure of financial performance. In addition, reference is made to the Big 4 accounting firms to explain the consequences of CGA and, specifically, its effect on the quality of financial statements. The empirical results show that CGA and earnings management have a significantly negative correlation. In addition, the CGA of companies audited by the Big 4 indicate that those with better earnings quality also conduct less earnings management.

Audit Committee Effectiveness Among Malaysian Listed Companies

2020 ◽  
Author(s):  
Shamsul Nahar Abdullah ◽  
Ku Nor Izah Ku Ismail
Keyword(s):  
Corporate Governance ◽  
Audit Committee ◽  
Stock Exchange ◽  
Listed Companies ◽  
The Other ◽  
Interactive Effects ◽  
Committee Chairman ◽  
Kuala Lumpur ◽  
Political Costs ◽  
Leadership Structure

This study investigates further the previous paper by Shamsul Nahar and Al-Murisi (1997) by examining the interactive effects of the variables in that paper and introducing other variables associated with corporate governance and political costs. The present study postulated that percentage of external directors on audit committee interacted with the presence of an accountant on audit committee and with the number of years an audit committee in existence, respectively, to influence audit committee effectiveness. The study also posited that the interaction of the presence of an accountant on audit committee and the number of years an audit committee in existence positively and significantly influenced audit committee effectiveness. Addition. ally, the roles of leadership structure, audit committee chairman, and a firm's size on audit committee effectiveness were also investigated. Using a multiple regression from a sample consisting the Kuala Lumpur Stock Exchange listed companies, results showed that only a firm's size significantly influenced audit committee effectiveness in the predicted direction. Other variables, on the other hand, did not show any significant influence on audit committee effectiveness.  

HUBUNGAN BOARD DAN KOMITE AUDIT TERHADAP MANAJEMEN LABA

2010 ◽  
Author(s):  
Fivi Anggraini
Keyword(s):  
Corporate Governance ◽  
Moral Hazard ◽  
Earnings Management ◽  
Conflict Of Interest ◽  
Significant Relationship ◽  
Stock Exchange ◽  
Earning Management ◽  
Independent Directors ◽  
Relationship Of ◽  
The Relationship

Earnings management is the moral hazard problem of manager that adses because of the conflict of interest between the manager as agent and the stakeholder and the owner as principal. The behavior of earnings management will immediately influence the reported earning. The aims of this research at examining the relationship of board and audit committe to earnings management. The samples of this research is all of companies member Corporate Governance Perception Index (CGPI) in the years of 2003-2006 which were listed in Jakarta Stock Exchange. The results of this study show that (1) the proportion of independent directors on the board had not significant relationship to earning management, (2) competence of independent directors on the board had not significant relationship to earning management, (3) the size of board had significant relationship to earning management, (4) the proportion of independent directors on the audit committe had not significant relationship to earning management, and (5) competence of members of the audit committe had significant relationship to earning management.

Relationship between corporate governance and audit switching: Iranian evidence

2017 ◽  
Vol 59 (5) ◽  
pp. 673-686
Author(s):  
Mahdi Salehi ◽  
Ali Asgar Alinya
Keyword(s):  
Corporate Governance ◽  
Design Methodology ◽  
Stock Exchange ◽  
Listed Companies ◽  
Panel Analysis ◽  
Cross Sectional ◽  
Content Type ◽  
Effective Factors ◽  
Dependent Variables ◽  
The Relationship

Purpose This paper aims to investigate the relationship between corporate governance and auditors switching of listed companies on the Tehran Stock Exchange. Design/methodology/approach To achieve the objectives of this study, 12 hypotheses developed which and tests the relationship between corporate governance and selecting and switching auditors in Iran during 2008-20014 by selecting 116 listed companies on the Tehran Stock Exchange. To test the hypotheses, the cross-sectional time-series nature of research variables data, panel analysis is used. Also, to investigate the relationship between independent and dependent variables in each year, the logistic regression is used. Findings The results of the study indicate that there is a weak relationship between corporate governance auditors switching. Therefore, it could be concluded that there are some other effective factors on which selecting and switching auditors in studied companies are more dependent. Originality/value The current study is almost the first study which has been conducted in Iran, so the results of the study may be beneficial to the Iranian conditions as well as other developing countries.

scholarly journals The effect of financial distress and earnings management on tax aggressiveness with corporate governance as the moderating variable

2020 ◽  
Vol 9 (7) ◽  
pp. 167-176
Author(s):  
Ratih Pujirahayu Nugroho ◽  
Sutrisno T Sutrisno ◽  
Endang Mardiati
Keyword(s):  
Corporate Governance ◽  
Earnings Management ◽  
Financial Distress ◽  
Stock Exchange ◽  
Real Earnings Management ◽  
Audit Committees ◽  
Manufacturing Companies ◽  
Sample Collection ◽  
Financial Reports ◽  
Tax Aggressiveness

This study aims to verify the correlation between financial distress and earnings management of tax aggressiveness moderated by corporate governance. This study uses a population of manufacturing companies that publish their financial statement on the Indonesia Stock Exchange from 2017 until 2018. Sample collection was performed using a purposive sampling method, resulting in a total of 212 populations that published complete financial reports. This study was tested by using the Multiple Regression Analysis test. This research gave empirical proofs that financial distress and real earnings management positively influenced the tax aggressiveness was supported, the proportion of independent commissioners weakened the financial distress and negatively impacted the tax aggressiveness was supported, the total audit committees weakened the financial distress and negatively influenced the tax aggressiveness was not supported, the proportion of independent commissioners and total audit committees weakened the real earnings management and negatively affected the tax aggressiveness was not supported

scholarly journals THE INFLUENCE OF CORPORATE GOVERNANCE, COMPANY SIZE, AND LEVERAGE TOWARD EARNING MANAGEMENT

2019 ◽  
Vol 6 (1) ◽  
pp. 19
Author(s):  
Mayasari Mayasari ◽  
Ayu Yuliandini ◽  
Intan Indah Permatasari
Keyword(s):  
Corporate Governance ◽  
Earnings Management ◽  
Firm Size ◽  
Stock Exchange ◽  
Sampling Technique ◽  
Earning Management ◽  
Managerial Ownership ◽  
Company Size ◽  
Negative Effect ◽  
Positive Effect

<p><em>The purpose of this study is to examine the influence of GCG variables, firm size, and leverage on earnings management. The sample used is 35 public listed property and real estatecompanies in the Indonesia Stock Exchange (IDX) from 2015 until 2017. The sampling technique uses purposive sampling. This study uses multiple regression. The results of the analysis showed that managerial ownership does not have a negative effect on earnings management but oppositely, it has a positive effect on earnings management, while company size does not have any effect on earning management.</em><em> </em></p>

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