Influential Factors Affecting Earnings Management in Public Listed Companies: A Conceptual Model

Sayaf Algrady and Xie Xiaojun
Additional contact information
Sayaf Algrady: Faculty of Accounting, Zhejiang Gongshang University, 314423, Hangzhou, China.
Xie Xiaojun: Faculty of Accounting, Zhejiang Gongshang University, 314423, Hangzhou, China.

International Review of Management and Marketing, 2022, vol. 12, issue 2, 1-10

Abstract: The issue of earnings management in public listed companies has gained an increasing attention from academicians and policy makers due to its impact on stakeholders’ decision-making. Researchers found that the main factors influencing earnings management can be grouped under internal and external corporate governance aspects. This study proposed a comprehensive model combining some internal and external corporate governance factors affecting earnings management. Based on a review and synthesis of relevant literature, the current study concludes that audit committee characteristics, auditor reputation and audit opinion have a significant impact on earnings management. Further, we predict that auditor reputation has a potential mediating role on the relationship between audit committee characteristics and earnings management, and on the relationship between audit committee characteristics and audit opinion. This research extends the scholarship on earnings management literature and has the potential to provide a set of recommendations to investors and regulatory entities.

Keywords: Earnings Management; Audit Committee; Audit Opinion; Auditor Reputation (search for similar items in EconPapers)
JEL-codes: M41 M42 M48 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.econjournals.com/index.php/irmm/article/download/12920/6704 (application/pdf)
https://www.econjournals.com/index.php/irmm/article/view/12920 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eco:journ3:2022-02-1

Access Statistics for this article

International Review of Management and Marketing is currently edited by Ilhan Ozturk

More articles in International Review of Management and Marketing from Econjournals
Bibliographic data for series maintained by Ilhan Ozturk ().