文章基本信息

标题：Can Earnings Management be Influenced by Audit Quality?
本地全文：下载
作者：Mohammad Ebrahim Nawaiseh ; Mohammad Ebrahim Nawaiseh
期刊名称：International Journal of Finance and Accounting
印刷版ISSN：2168-4812
电子版ISSN：2168-4820
出版年度：2016
卷号：5
期号：4
页码：209-219
DOI：10.5923/j.ijfa.20160504.06
语种：English
出版社：Scientific & Academic Publishing Co.
摘要：The objective of this study is to examine the prediction that external audit quality is positively associated with earnings management. The primary aim is to help stakeholders predict earning management based on some proxies that are not publicly available in annual reports. This study investigates the informative of audit quality for estimate in earning management (EM) during the period of (2006-2010) of Jordanian Banking Firms listed in Amman Stock Exchange (ASE). Some leading proxies were taken based on audit quality; Audit tenure (AT), Audit fees (AF), and the affiliation with international big auditing firms (INT). Furthermore, other controlling variables used such as; Financial Leverage (FL), (Return on Assets) ROA, (Return on Equity) ROE, (Cash flow/Total assets) CFO, and EM already taken in the analysis. The population of the study comprised of thirteen (13) Jordanian working commercial Banks over a five year period. The study tested the effects of audit quality on earning management using the panel data methodology. The paper finds that; (AT), (AF), and the (INT) have significant relations with earning management. It means, future earning management forecast is predictable based on audit quality leading indicators (AT, AFEE, and INT). In addition to company size, that is, when external auditing is conducted, earning management mitigates. Moreover, no relationship is found between Leverage, ROA, CFO, and Earning management. I conclude, the study examines earning management forecast based on audit quality leading indicators (AT, AFEE, and INT), and company size. These groups; whether commercial banks, or audit quality indicators, have not been well researched in the past literature, especially in the Jordanian Banking Sector.
关键词：External Audit quality; Banking Sector; Earning Management; Jordan