The Effect of the Reform of Information Disclosure System on the Earnings Management of Initial Public Offerings

• Main Authors: Kai-Ting Chien, 簡凱婷
• Other Authors: Cheng-Shou Lu
• Format: Others
• Language: zh-TW
• Online Access: http://ndltd.ncl.edu.tw/handle/24390456332301417604

碩士 === 國立高雄應用科技大學 === 商務經營研究所 === 100 === Prior literature examines earnings management behaviors of IPO firms. There are few studies that examine the relationship between earnings management and the reform of information disclosure system. In this study, we investigate whether the reform of information disclosure system affect IPO earnings management behaviors. The sample consists of all listed firms in Taiwan Stock Exchange in the period of 1999-2010. The empirical results show higher extent of earnings management in voluntary information disclosure system than in mandatory information disclosure system. In voluntary information disclosure system, discretionary accruals are positively associated with IPO valuation. It indicates that managers are more likely to manage earnings when discretionary accruals impact the market valuation.