The relationship between corporate governance and managerial choices for value creation is a topic of continuing interest for researchers. One of most significant managerial decisions that affect value is Discretionary Earnings Management (DEM) which is the judgmental adjustments in firm's...

We analyse to what extent the accrual anomaly is related to the choice of the accounting system as well as firm-level heterogeneity in corporate governance mechanisms. Using a unique dataset of listed German firms over the period 1995 to 2005 we first corroborate former results indicating that...

This paper aims to investigate the association between firm’s corporate governance and financial attributes (namely, board of directors’ size, board of directors’ independence, chief executive officer (CEO) duality, ownership structure, audit type, firm’s size, firm’s return and...

Cost and expense stickiness is an important issue in accounting and economics research, and the literature has shown that cost stickiness cannot be separated from managers' motivations. In this paper, we examine the effects that earnings management has on expense stickiness. Defining small...

Unlike previous studies that focus on accrual-based earnings management, this study analyzes real activities manipulation and investigates whether female directors on boards of directors (BoDs) affect managers' real activities manipulation. Using a large sample of 11,831 firm-year observations...

We analyze the effect of committee formation on how corporate boards perform two main functions: setting CEO pay and overseeing the financial reporting process. The use of performance-based pay schemes induces the CEO to manipulate earnings, which leads to an increased need for board oversight....

This paper aims to examine the relationship between different types of shareholders that command share ownership, family, institutions or external blockholders and earnings management. In addition, it examines the effect of company size on earnings management. Design/methodology/approach The...

The relationship between culture, earnings management and corporate governance has been studied in different ways, but the influence that culture has over the actual effectiveness of corporate governance to control earnings management has not, even though it should be a determinant factor to...