Doubts about the reliability of a company's qualitative financial disclosure increase market participant expectations from the auditor's report. The auditing process is supposed to serve as a monitoring device that reduces management incentives to manipulate reported earnings. Empirical research...

After the accounting scandals that have taken place mainly in the United States during the last years, some Spanish leading authorities have defended the idea that this kind of accounting problems cannot happen in Spain. They argue that accounting regulation in Europe, and specifically in Spain,...

This paper examines two principal categories of manipulative behaviour. The term 'macro-manipulation' is used to describe the lobbying of regulators to persuade them to produce regulation that is more favourable to the interests of preparers. 'Micro-manipulation' describes the management of...

This paper explores the nature and incidence of creative accounting practices within the context of ethical considerations.It explores several definitions of creative accounting and the potential and the range of reasons for a company's directors to engage in creative accounting. Later the paper...

Preparers of accounting information are in a position to manipulate the view of economic reality presented in this information to interested parties. These manipulations can be regarded as morally reprehensible because they are not fair to users, they involve an unjust exercise of power, and...