Earnings management: A perspective

Managerial Finance

Volumn 27, Issue 12, 2001, Pages 3-17

  Beneish, Messod D ^a  

^a INDIANA UNIVERSITY   (United States)

Author keywords

Accounting research; Creative accounting; Income; Islam; Motivation

Indexed keywords

EID: 41749122968     PISSN: 03074358     EISSN: 17587743     Source Type: Journal    
DOI: 10.1108/03074350110767411     Document Type: Article

References (58)

1. Bagnoli, M., and Watts, S.G. (2000) “The effect of relative performance evaluation on earnings management: A game-theoretic approach.” Journal of Accounting and Public Policy, 19 (4/5), pp.377-397.
2. Beatty, A., Chamberlain, S., and Magliolo, J. (1995) “Managing financial reports of commercial banks: The influence of taxes regulatory capital, and earnings.” Journal of Accounting Research, 33 (Autumn), pp.231-261.
3. Beaver, W.H. and McNichols, M.F. (1998) “The characteristics and valuation of loss reserves of property casualty insurers.” Review of Accounting Studies, (3), pp.73-95.
4. Beaver, W.H., McNichols, M.F. and Nelson, K.K. (2000) Management of loss reserve accrual and the distribution of earnings in the property-casualty insurance industry. Working paper. Stanford University.
5. Beneish, M.D. (1997) “Detecting GAAP Violation: Implications for assessing earnings management among firms with extreme financial performance.” Journal of Accounting and Public Policy, 16(3), pp.271-309.
6. Beneish, M.D. (1998a) “A Call for Paper: Earnings Management.” Journal of Accounting and Public Policy, 17, pp.85-88.
7. Beneish, M.D. (1998b) Discussion of “Are accruals during initial public offerings opportunistic?" Review of Accounting Studies, 3(1/2), pp.209-221.
8. Beneish, M.D. (1999) “Incentives and Penalties Related to Earnings Overstatements That Violate GAAP.” The Accounting Review, (4), pp.425-457.
9. Beneish, M.D. and Press, E. (1993) “Costs of technical violation of accounting-based debt covenants.” The Accounting Review, 68 (April), pp.223-257.
10. Beneish, M.D. and Press, E. (1995). “The resolution of technical default.” The Accounting Review, 70 (April), pp.337-353.
11. Beneish, M.D., Press, E.G. and Vargus, M.E. (2000) An Empirical Examination of the Relation Between Incentives to Avoid Debt Covenant Default and Insider Trading. Working Paper, Indiana University.
12. Beneish, M.D., and Vargus, M.E. (2000) Insider Trading, Accrual and Earnings Quality. Working Paper, Indiana University.
13. Burgstahler, D., and Dichev, I. (1997) “Earnings management to avoid earnings decreases and losses.” Journal of Accounting and Economics, 24(1), pp.99-126.
14. Carlton, D., and Fischel, D. (1983) “The regulation of insider trading.” Stanford Law Review, 35 (May), pp.857-895.
15. Collins, J.H., Shackelford, D.A., and Wahlen, J.M. (1995) “Bank differences in the coordination of regulatory capital, earnings and taxes.” Journal of Accounting Research, 33 (Autumn), pp.263-291.
16. Datar, S.M., Feltham, G.A., and Hughes, J.S. (1991) “The Role of Audits and Audit Quality in Valuing New Issues.” Journal of Accounting and Economics, (March), pp.3-49.
17. DeAngelo, H., DeAngelo, L., and Skinner, D.J. (1994) “Accounting choice in troubled companies.” Journal of Accounting and Economics, 17 (1/2), pp.113-143.
18. DeAngelo, L. (1986) “Accounting numbers as market valuation substitutes: A study of management buyouts of public stockholders.” The Accounting Review, (July), pp.400-420.
19. Dechow, P.M., Sloan, R.G., and Sweeney, A.P. (1995) “Detecting Earnings Management.” The Accounting Review, 70(2), pp.193-225.
20. Degeorge, F., Patel, J. and Zeckhauser, R. (1999) “Earnings management to exceed thresholds.” Journal of Business, 72, pp.1-33.
21. Defond, M.L. and Jiambalvo, J. (1994) “Debt Covenant Effects and the Manipulation of Accruals.” Journal of Accounting and Economics, (January), pp.145-176.
22. Dichev, I.D., Skinner, D.J. (2000) Large sample evidence on the debt covenant hypothesis. Working paper. University of Michigan.
23. Dye, R. C. “Insider trading and incentives.” Journal of Business, 53 (July), pp.295-313.
24. Erickson, M. and Wang, S. (1999) “Earnings management by acquiring firms in stock for stock mergers.” Journal of Accounting and Economics, pp.149-176.
25. Gaver, J., Gaver, K., and Austin, J. (1995) “Additional Evidence of Bonus Plans and Income Management.” Journal of Accounting and Economics, pp.3-28.
26. Guay, W.A., Kothari, S.P. and Watts, R.L. (1996) “A market-based evaluation of discretionary-accrual models.” Journal of Accounting Research, 34 (Supplement), pp.83-105.
27. Healy, P.M. (1985) “The effect of bonus schemes on accounting decisions.” Journal of Accounting and Economics, (April), pp.85-107.
28. Healy, P.M., and Wahlen, J.M. (1999) “A review of the earnings management literature and its implications for standard setting.” Accounting Horizons.
29. Holthausen, R.W., Larker, D.F., and Sloan, R.G. (1995) “Annual bonus schemes and the manipulation of earnings.” Journal of Accounting and Economics, 19(1), pp.29-74.
30. Holthausen, R.W. and Leftwich, R.W. (1983) “The economics consequences of accounting choice.” Journal of Accounting and Economics, 5(2), pp.77-117.
31. Hughes, P.J. (1986) “Signaling by Direct Disclosures Under Asymmetric Function.” Journal of Accounting and Economics, (1986), pp.119-142.
32. Jaffe, J.F. (1974) “Special information and insider trading.” Journal of Business, 47 (July), pp.410-428.
33. Jarrell, G.A. (1979) “Pro-Producer regulation and accounting for assets: The case of electric utilities.” Journal of Accounting and Economics, (August), pp.93-116.
34. Jones, J. (1991) “Earnings management during important relief investigations.” Journal of Accounting Research, 29 (Autumn), pp.193-228.
35. Kaplan, R. (1985) “Comments on Paul Healy: Evidence of the effect of bonus schemes on accounting procedure and accrual decisions.” Journal of Accounting and Economics, (April), pp.109-114.
36. Leland, H.E. and Pyle, D.H. (1977) “Informational asymmetries, financial structure, and financial intermediation.” Journal of Finance, 32 (May), pp.371-387.
37. Liberty, S.E. and J.L. Zimmerman (1986) “Labor Union Contract Negotiations and Accounting Choices.” The Accounting Review, 61(4), pp.692-712.
38. McNichols, Maureen (2000) “Research design issues in earnings management studies.” Journal of Accounting and Public Policy, 19 (4/5), pp.313-345.
39. McNichols, M. and Wilson, G.P. (1988) “Evidence of earnings management from the provision for bad debts.” Journal of Accounting Research, 26 (Supplement), pp.1-31.
40. Moyer, S. (1990) “Capital adequacy ratio regulations and accounting choices in commercial banks.” Journal of Accounting and Economics, 13 (July), pp.123-154.
41. National Association of Certified Fraud Examiners. (1993) “Cooking the books: What every accountant should know about fraud.” New York: NASBA.
42. Nelson, M.W., Elliott, J.A. and R.L. Tarpley (2000) Where Do Companies Attempt Earnings Management, and When Do Auditors Prevent It? Working Paper, Cornell University.
43. Noe, T.H. (1997) “Insider trading and the problem of corporate agency.” Journal of Law, Economics and Organization, 13 (October), pp.287-318.
44. Petroni, K. (1992) “Optimistic reporting in the property-casualty insurance industry.” Journal of Accounting and Economics, (15), pp.485-508.
45. Rangan, S. (1998) “Earnings around seasoned equity offerings: Are they overstated?" Journal of Financial Economics, 50 (October), pp.101-122.
46. Schipper, K. (1989) “Earnings management.” Accounting Horizons, 3 (4), pp.91-102.
47. Seyhun, H.N. (1986) “Insider profits, cost of trading, and market efficiency.” Journal of Financial Economics, 16 (June), pp.189-212.
48. Seyhun, H.N., and Bradley, M. (1997) “Corporate bankruptcy and insider trading.” Journal of Business, 70 (April), pp.189-216.
49. Shivakumar, L. (2000) “Do firms mislead investors by overstating earnings before seasoned equity offerings?" Journal of Accounting and Economics, pp.339-371.
50. Summers, S.L., and Sweeney, J.T. (1998) “Fraudulently misstated financial statements and insider trading: An empirical analysis.” The Accounting Review, 73 (January), pp.131-146.
51. Sweeney, A. (1994) “Debt covenant violations and managers’ accounting responses.” Journal of Accounting and Economics, 17, pp.281-308.
52. Teoh, S.H., Welch, I., and Wong, T.J. (1998a) “Earnings management and the long-term under performance of initial public offerings.” Journal of Finance, 53 (December), pp.1935-1974.
53. Teoh, S.H., Welch, I., and Wong, T.J. (1998b) “Earnings management and the long-term under performance of initial public offerings.” Journal of Finance, 53 (December), pp.1935-1974.
54. Thomas, J., and Zhang, X.J. (2000) “Identifying unexpected accruals: A comparison of current approaches.” Journal of Accounting and Public Policy, (forthcoming).
55. Titman, S., and Trueman, B. (1986) “Information Quality and the Valuation of New Issues.” Journal of Accounting and Economics, (June), pp.159-172.
56. Watts, R.L., and Zimmerman, J.L. (1986) “Positive accounting theory.” Englewood Cliffs: Prentice Hall.
57. Watts, R.L., and Zimmerman, J.L. (1978) “Towards a Positive Theory of the Determination of Accounting Standards.” The Accounting Review, (January), pp.112-134.
58. Watts, R.L., and Zimmerman, J.L. (1990) “Positive accounting theory: A ten year pespective.” The Accounting Review, 65 (1), pp.131-156.