Intro -- Copyright -- Table of contents -- Preface -- Foreword -- Acknowledgements -- 1 Introduction -- 2 Overview -- 3 Definition -- 4 Planning -- 5 Data collection -- 6 Analysis, review and action -- 7 Change management -- 8 Risk management -- 9 Systems review -- 10 Learning from experience --...

The great majority of the studies conducted on the problem of creative accounting concerns large countries with developed capital markets. Their results are not necessarily applicable to small countries that have a different setting. Thus, this opinion study investigates why, how, to what...

Terry Smith’s infamous Accounting for Growth (1992) clearly demonstrated the differences in the use of accounting policy manipulations, impacting on profit and loss account and balance sheet for companies and industries. Now evidence has emerged in Australia (Smith et al. , 1997), of...

There is increasing international concern about the escalation of fraud and, in particular, financial statement fraud. Detecting financial statement fraud and proving such fraud remains an elusive goal. Red flagging is an early warning system that has been used by auditors to determine the...

Smith (2003) responded to the Sarbanes‐Oxley Act by suggesting that government rules and regulations cannot preserve a profession where people lack integrity. He suggests that leaders in the profession and academe “call individuals to excellence” and “inculcate in practitioners and...

Purpose This paper aims to examine pricing differences regarding contingencies presented in statements of financial position or notes, which are considered an area for creative accounting. Design/methodology/approach The authors have chosen two countries with different cultural environments to...

Reviews previous research on share price response to annoucements of changes in top management and the accounting policies/reported earnings around such changes. Uses 1989‐1992 UK data for a sample of 420 announcements of changes in top management, divided into routine departures,...

Refers to previous research to suggest that US commercial bank managers use discretion to “manage” regulatory capital and that accounting discretion can influence a bank’s investment opportunity set (IOS) and therefore its share price. Challenges the assumption that using accounting...

Compares three definitions of earnings management used by accounting researchers and three methods of estimating it: aggregate accruals, specific accruals and discontinuities in earnings distribution. Discusses evidence relating to the reasons for income‐increasing earnings management,...