Date of Publication
2015
Document Type
Master's Thesis
Degree Name
Master of Science in Accountancy
Subject Categories
Accounting
College
Ramon V. Del Rosario College of Business
Department/Unit
Accountancy
Thesis Adviser
Florenz C. Tugas
Defense Panel Chair
Rodiel C. Ferrer
Defense Panel Member
Herminigilda E. Salendrez
Katherine U. Sobremonte
Abstract/Summary
Earnings management has been one of the most widely discussed phenomena. The exercise of managerial discretion and judgment in the financial reporting process has been a way used by some managers to exhibit an opportunistic behavior to mask the true economic performance of an entity and eventually mislead its stakeholders.
I focused on capital market incentives around earnings management in the Philippine setting, covering years 2007-2013. In particular, given the presence of financial statement evidence, I investigated how investors react to evidences of earnings management around the release of SEC Form 17-A. The study also explored two ways to facilitate earnings management- through discretionary accruals and reductions in discretionary expenditures. Results reveal that earnings management either through accounting-based or real-activities based manipulation does not significantly influence cumulative abnormal returns after the release of SEC Form 17-A. This can be attributed to the inherent complexity of the earnings management mechanism and the efficiency of the Philippine Stock Exchange (PSE).
Abstract Format
html
Language
English
Accession Number
TG06555; CDTG006555
Shelf Location
Archives, The Learning Commons, 12F Henry Sy Sr. Hall
Keywords
Earnings management
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Recommended Citation
Dela Cruz, A. C. (2015). An empirical study on the impact of earnings management on cumulative abnormal returns of selected publicly listed companies in the Philippines from 2007-2013: Earnings management choice between accounting-based and real activities-based manipulation. Retrieved from https://animorepository.dlsu.edu.ph/etd_masteral/5056
