Earnings management models: A trans-national study
Modelos de gestión de resultados: un estudio transnacional
Abstract
Accounting information is conceived as one of the most important resources for decision making by company personnel. Thus, this information must meet certain requirements to ensure its quality and in such a way that does not introduce bias. Thus, in recent years it has become very important to develop models and implement measures to reduce the opportunistic behavior of managers.There are some models in the literature to detect discretionary accruals. Thus, the aim of this work is to determine whether any of these models is better than others by using specification and strength tests. The sample consisted of 33,410 observations of non-financial listed companies in the United States, United Kingdom, Korea, Japan, Italy, Germany, France, Spain, Canada and Australia over the period 2005-2009. Our results show the superiority of the Jones model adjusted to ROA as regards the Jones model and Jones modified model.
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