The role of media in earning management’s strategy

Jamalianpour, Mozaffar

doi:10.22054/qjma.2023.72545.2442

Document Type : Research Paper

Author

Mozaffar Jamalianpour

Assistant Professor Allameh Tabataba'i University

https://doi.org/10.22054/qjma.2023.72545.2442

Abstract

The importance and role of Media and NEWS are increased by improvement of Information and Communication Technologies. This article try to find role of medias’ news in corporate earning management strategies. So, I investigate for show impact of media coverage on replacement and trade off between Accrual Earning Management (AEM) and Real Earning Management (REM) (Earning Management Strategy). For this purpose, I collect NEWS about listed companies during 2015 until 2020 and used Heckman's Two-Step for measure replacement between AEM and REM. I used Different in different and Feasible Generalized Least Squares (FGLS) methods for hypothesis testing.

Results show that earning management strategies are different in reaction of media coverage. Increase of media coverage cause companies decrease AEM but they use REM more than usual in this position. In additional, research findings show that companies with higher media coverage and suspect to earning management try to more change in board of directors. So, results show that media has controlling and pressure effect on companies for earning management’s strategy.

Keywords

Main Subjects

Accounting report

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Empirical Studies in Financial Accounting

The role of media in earning management’s strategy

References

References

Volume 19, Issue 76
March 2023
Pages 1-37

The role of media in earning management’s strategy

References

References

Volume 19, Issue 76March 2023Pages 1-37

Volume 19, Issue 76
March 2023
Pages 1-37