Business Commons^™

The Effect Of Management Characteristics On Earnings Management Through Perceived Ambiguity In Accounting Standards, Patricia Paramitha Suci, Stella Marissa Permata Fajar

Jurnal Akuntansi dan Keuangan Indonesia

We investigated the influence of management characteristics, specifically narcissism, impulsivity, construal mindset, and Machiavellianism, on perceived ambiguity toward accounting standards and the impact of perceived ambiguity toward accounting standards on earnings management tendencies. We surveyed 116 respondents from undergraduate, master's, and doctoral programs at various universities in Indonesia. We found that construal mindset, impulsivity, and Machiavellianism positively were related to perceived ambiguity toward accounting standards. Perceived ambiguity toward accounting standards has also been shown to affect earnings management tendencies positively. However, we did not find that narcissism was related to perceived ambiguity toward accounting standards. Additionally, we did not find …

A Study Of Big Bath Practices In The Egyptian Capital Market: An Emphasis On Ceo Turnover And Origin, Engy Elhawary, Rasha Elbolok, Dina Hassouna

Business Administration

Purpose – This study aims to investigate how major big bath accounting practices and CEO turnover in Egypt relate to one another, as well as the first to use the CEO’s origin as a moderating factor.

Design/methodology/approach – This study uses 10-year longitudinal data from 2012 to 2021 and 290 firm-year observations from Egypt’s listed nonfinancial firms that witnessed CEO turnover to identify the significant big bath accounting practices in Egyptian businesses after the Egyptian revolution and the COVID-19 pandemic. Using fixed and random effect models, the authors investigate the impact of CEO turnover on company earnings during the first …

Local Institutional Investors And Corporate Monitoring: Evidence From Cross-Listed Korean Stocks In The Us Market, Changhwan Choi, Chune Young Chung, Jun Myung Song

Sim Kee Boon Institute for Financial Economics

Using Korean firms that are cross-listed in the US market, this paper investigates whether there are standalone effects of geographic and market proximity of institutional investors on monitoring performance. We find that Korean institutional ownership is negatively associated with earnings management while the US institutional ownership has no impact on earnings management. This suggests that there is the geographic proximity advantage over the market proximity advantage in the emerging markets. Furthermore, we also show that the impact of geographic proximity is stronger for firms with high informational opacity