Study Effect of Earnings Management Forecast News on Earnings Predictability and Disclosure Noises

Marjanian, Yazdan; Shahveisi, Farhad; Eivani, Farzad; Khanzadi, Azad

doi:10.22054/qjma.2020.46188.2047

Document Type : Research Paper

Authors

¹ Department of Accounting / Faculty of Social and Educational Sciences / Razi University / Kermanshah / Iran

² .Assistant Professor of Accounting Department of Razi University

³ Instructor of Accounting Department, Razi University

⁴ assistant professor department of Economics,Faculty of Social Sciences and Education, Razi University

https://doi.org/10.22054/qjma.2020.46188.2047

Abstract

The purpose of this study is to investigate the value relationship between good and bad news of management earnings forecasting with emphasis on impairment in management earnings forecasting. In this regard, to test the research hypotheses, data from 153 companies listed in Tehran Stock Exchange during the period 2012-2018 were used. The Results according to Generalized Least Squares method show that bad news earnings management predictions are more predictive than first and last earnings management forecasts. The results also show that good news Earnings management forecast First and last Earnings management forecast have higher disclosure noises in earnings forecasts. Finally, the results showed that, There is a significant difference between the stock price response to the last earnings forecasted and the deviations from good news and bad news management earnings forecasting, But there is no statistically significant difference between the stock price response to the first earnings forecasted and the deviations from good news and bad news earnings management forecasting.

Keywords

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Empirical Studies in Financial Accounting

Study Effect of Earnings Management Forecast News on Earnings Predictability and Disclosure Noises

References

References

Volume 17, Issue 66
April 2020
Pages 87-122

Study Effect of Earnings Management Forecast News on Earnings Predictability and Disclosure Noises

References

References

Volume 17, Issue 66April 2020Pages 87-122

Volume 17, Issue 66
April 2020
Pages 87-122