Comparative Analysis of Real Earnings Management and Accrual-based Earnings Management before and after Convergence of IFRSs in Indonesia
Journal Title: International Journal of Academic Research in Business and Social Sciences - Year 2018, Vol 8, Issue 3
Abstract
This study aims to test and analyze real earnings management through cash flow from operations, production costs and discretionary expenses as well as accrual-based earnings management in the period before and after convergence of IFRSs. In this study using the financial statements of 83 manufacturing companies in Indonesia Stock Exchange. In the period before convergence of IFRSs used the financial statements of 2009, 2010 & 2011 and in the period after convergence of IFRSs used the financial statements of 2014, 2015 & 2016. The results show evidence of a decline in real earnings management through cash flow from operations, production costs and discretionary expenses as well as accrual-based earnings management after convergence of IFRSs. Another result shows that decline of total real earnings management is greater than decline of accrual-based earnings management after convergence of IFRSs.
Authors and Affiliations
Daniel Mas, Yossi Diantimala, Mulia Saputra
Keywords
Related Articles
- EP ID EP559570
- DOI 10.6007/IJARBSS/v8-i3/3899
- Views 77
- Downloads 0
The Influence of Competitive Remuneration, Comprehensive Training Program and Organizational Brand Factors on Students' Internship Placement Selection
This research is aiming to have an unconventional and valid reason for choices towards the placement; by accessing factors that influence students choosing their internship placement. The study focuses on hospitality stu...
Towards The Development of Islamic-based Research Methodology
There are a variety of research related to Islam and Muslims. However, the use of research methods commonly perceived to have problems and shortcomings that could undermine the accuracy of the findings of research conduc...
DIKW Application on Knowledge Based Framework with Situational Awareness
Currently, there is no formal method of collecting valuable tacit knowledge especially on MILOBS which they gained through experiences and formal training skills. The problem arises when the MILOBS have come to the end o...
The Globalization of Religious Freedom: Evolution, Debates and Issues
The paper explores the globalization of religious freedom as a universal human rights in the 21st century. It discusses the evolution of international religious freedom and depicts the importance of such freedom globally...
Concept Al-Hadith Al-Mawduiy as a Method of Collecting and Analyzing Research’s Data
This study aims in examining and evaluating the method of collecting and analyzing the data based on al-Hadith al-Mawdu’iyto be applied in Islamic-research based (IRB). This method of al-Hadith al-Mawdu’iy is one of the...