INVESTIGATION OF INCOME SMOOTHING AT THE COMPANIESLISTEDONTHESTOCK EXCHANGE BY THE USING INDEX ECKEL (CASE STUDY: TEHRAN STOCK EXCHANGE)
Journal Title: Asian Journal of Management Sciences and Education - Year 2013, Vol 2, Issue 2
Abstract
Investors, financial analysts and consumers interested in more information have about income smoothing in investee companies. Accounting is one of the techniques that are currently used in earnings management is income smoothing. This represents a deliberate act by the management to reduce the volatility of earnings. We have tried to investigate income smoothing in companies listed on the Stock Exchange. And to compare it with similar cases in previous years. Companies and see how much used of the income smoothing as an accounting technique. So we tried a 9-year period (2001-2009) to examine smoothing. For this purpose, using a stratified random sample of 132 companies from formula companies listed was chosen in Tehran Stock Exchange. To close resemblance to the sample, the first group of companies on the Stock Exchange was classified by category, then the proportion of firms in each group, were elected members of different groups. Resolution was used mechanism for smooth and non-smoothing companies Eckel model (coefficient of variation of a distribution of profits to sales). For this purpose, we have studied three levels of smoothing in net profit, gross profit, operating profit. And companies that have at least one level of profit required to smoothing have an income smoother we introduced with the previous results, we compared on the basis of the member companies of the number of firms smoothing was 78 and the number of companies, non-smoothing of 54 . Shows a slight increase compared to the previous research. However, we find that income smoothing is considered on three levels of profit.
Authors and Affiliations
Hossein Nejad, Sina Zeynali, Seyed Alavi
Keywords
Related Articles
- EP ID EP114946
- DOI -
- Views 120
- Downloads 0
SCHOOL BULLYING: VICTIMIZATION IN A PUBLIC PRIMARY SCHOOL IN MALAYSIA
This research paper examines the problem of school bullying in a primary school in the state of Selangor, Malaysia. Particularly the paper looks at bullying victimization with the focus on how bullying affects the thinki...
FEATURES OF DEVELOPMENT OF HEALTH INSURANCE IN UZBEKISTAN
This paper examines trends in the health care financing system development. In the article the experience of the best practices of countries will be explored. In particular, it analyzes the importance of the state budget...
THE IMPACT OF TRAINING ON CRISIS MANAGEMENT: HUMAN RESOURCE DEVELOPMENT MEDIATIONVARIABLE USING (SEM)
The study aimed to verify the impact model validity of Human Resource Trainingon Crisis Management. This model included an (external factor)Human Resource Training, and an (internal factor)Crisis Management. The study al...
Leveraging Modern Technologies in Developing Vocational Education Professionals in Nigeria Universities
Vocational education programmes in Nigerian Universities are greatly affected by technological advancement, changes in curriculum content and methodology both in teaching and learning. This paper sought to determine the...
A Focus on the External Analysis of Strategic Market Management: A Statistical Perspective
The paper entails the statistical correlation of the investigations carried out for opportunity and threat of the sales and profit prediction and analysis. In case of strategic uncertainty, there exists an essence of pr...