The Effect of Firm Life Cycle on the Relationship of CEO Compensation, Corporate Governance and Earning Management

• Main Authors: Ya-Ting Hsu, 許雅婷
• Other Authors: Yueh-Yu Hsu
• Format: Others
• Language: zh-TW
• Published: 2015
• Online Access: http://ndltd.ncl.edu.tw/handle/10092886262979195194

碩士 === 靜宜大學 === 會計學系 === 103 === In the past flawed corporate governance often led to frauds. Nowadays corporate governance issues and the relationship between CEO compensation and earnings management become more and more important. However due to different life cycles, companies might have different problems and strategies. Hence they need to undertake different earnings management to make adjustments. Using data from firms listed in Taiwan Stock Market during the period 2005 – 2013, 3,708 companies were selected as samples. Under different life cycles, this study investigated the relationship among corporate governance, CEO compensation and arnings management. As the results showed, under different life cycle: (1) Company’s CEO change salary occupies the total salary ratio and earnings management have significant negative correlations. (2) Company’s CEO change salary occupies the total salary ratio and corporate governance cross multiply items with earnings management have significant correlations. (3) Company’s characteristic factors and company’s CEO change salary occupies the total salary ratio with earnings management have significant correlations.