Lee, Hyun-Ah; Choi, Won-Wook - In: International Journal of Accounting & Information Management 24 (2016) 2, pp. 162-184
used as a tool of earnings management. Design/methodology/approach The authors investigate whether bad debt expense, which … show that firms manage bad debt expense downward to avoid losses, sustain the prior year’s earnings and meet or beat … analysts’ forecasts. The authors also find that the understatement of bad debt expense to meet earnings benchmarks is …