Researchers have used various measures as indications of “earnings quality” including
persistence, accruals, smoothness, timeliness, loss avoidance, investor responsiveness …

Regulatory pressure to increase both audit committee financial expertise and board
independence has resulted in lower status for audit committees relative to management …

We provide insights into earnings quality from a survey of 169 CFOs of public companies
and in-depth interviews of 12 CFOs and two standard setters. CFOs believe that (i) above all …

This study examines changes in CEOs׳ incentive to manage their firms׳ reported earnings
during their tenure. Earnings overstatement is greater in the early years than in the later …

What causes managers to misstate their financial statements? How best can investors,
auditors, financial analysts, and regulators detect misstatements? Addressing these …

We investigate whether ineffective internal control over financial reporting has implications
for firm operations by examining the association between inventory-related material …

This paper provides a new approach to test for accrual‐based earnings management. Our
approach exploits the inherent property of accrual accounting that any accrual‐based …

We hypothesize that short selling has a disciplining role vis-à-vis firm managers that forces
them to reduce earnings management. Using firm-level short-selling data for thirty-three …

Accounting studies often encounter observations with extreme values that can influence
coefficient estimates and inferences. Two widely used approaches to address influential …

An extensive literature examines the causes and effects of financial misconduct based on
samples drawn from four popular databases that identify restatements, securities class …