Corporate Earnings

Manipulated earnings played a central role in the slew of corporate scandals which surfaced during the last three years. This article focuses on the vulnerability of earnings to manipulation by managers: it surveys the empirical record of manipulation, their major objectives, and the means of manipulation. It then focuses on the major source of earnings manipulation--the multitude of estimates and subjective judgments underlying the comutation of earnings. The article accordingly concludes with a proposal to curb manipulation by requiring managers to routinely compare key estimates with ex post realizations, and revise earnings in case of large deviations

Business · Earnings · Economics · Multitude · Political science · Auditing, Earnings Management, Governance · Computer Science · Corporate Finance and Governance · Law · Risk Management in Financial Firms · Accounting

• Development and the lifeworld

  Joo Ean Tan, Gideon Sjoberg•International Journal of…•2005

  Añadir item

• Earnings management to avoid earnings decreases and losses

  Open Access•David Burgstahler, Ilia Dichev et al.•Journal of Accounting and Economics•1997

  Añadir item

• Audit committee, board of director characteristics, and earnings management

  Open Access•April Klein•Journal of Accounting and Economics•2002

  Añadir item

• The effect of bonus schemes on accounting decisions

  Open Access•Paul M Healy•Journal of Accounting and Economics•1985

  Añadir item

• Causes and Consequences of Earnings Manipulation

  Open Access•Patricia Dechow, PATRICIA M DECHOW et al.•Contemporary Accounting Research•1996

  Añadir item

• A Review of the Earnings Management Literature and Its Implications for Standard Setting

  Paul M Healy, James M Wahlen•Accounting Horizons•1999

  Añadir item

• Investor protection and corporate governance

  Open Access•Rafael La Porta, Florencio López‐de‐silane et al.•Journal of Financial Economics•2000

  Añadir item