Information accessibility and analyst optimism: Evidence from China

The purpose of this study was to determine and analyze the effect of institutional ownership on earnings management. To find out and analyze the effect of managerial ownership on earnings management. To find out and analyze the effect of the size of the board of commissioners on earnings management. To find out and analyze the effect of the proportion of independent commissioners on earnings management. To find out and analyze the effect of the size of the audit committee on earnings management. To find out and analyze the effect of firm size on earnings management. To find out and analyze the effect of leverage on earnings management. To determine and analyze the effect of institutional ownership on financial performance. To find out and analyze the effect of managerial ownership on financial performance. To find out and analyze the effect of the size of the board of commissioners on financial performance. To find out and analyze the effect of the proportion of independent commissioners on financial performance. To determine and analyze the effect of the size of the audit committee on financial performance. To find out and analyze the effect of firm size on financial performance. To find out and analyze the effect of leverage on financial performance. To determine the effect and analyze the effect of earnings management on financial performance. The result of this research is that institutional ownership has no effect on earnings management. This explains that the occurrence of earnings management has no influence on the institutions that have shares in the company concerned. Managerial ownership has no effect on earnings management. This explains that the occurrence of earnings management has no influence from the directors or managers who have shares in the company concerned. The size of the board of commissioners has no effect on earnings management. This explains that the occurrence of earnings management has no effect on the number of commissioners in the company concerned. The proportion of independent commissioners has no effect on earnings management. This explains that the occurrence of earnings management has no effect on the proportion of independent commissioners owned by the company concerned. The size of the audit committee has no effect on earnings management. This explains that the occurrence of earnings management has no effect on the number of audit committees in the company concerned. Firm size has no effect on earnings management. This explains that the occurrence of earnings management has no effect on the size of the company in the company concerned. Leverage has no effect on earnings management. This explains that the occurrence of earnings management has no effect on the debt owned by the company concerned. Institutional ownership has no effect on financial performance. This explains that institutional ownership does not have any effect on the financial performance of a company. Managerial ownership has an influence on financial performance. This explains that share ownership owned by directors and managers has an influence on the company's financial performance. The size of the board of commissioners has no effect on financial performance. This explains that the size or number of commissioners does not affect the financial performance of a company. The proportion of independent commissioners has no effect on financial performance. This explains that the number of independent commissioners does not affect the financial performance of a company. The size of the audit committee has no effect on financial performance. This explains that the number of audit committees has no effect on the financial performance of a company. Company size has no effect on financial performance. This explains that the size of a company does not affect the good or bad financial performance of a company. Leverage has an influence on financial performance. This explains that the good or bad financial performance of a company, one of which is influenced by leverage. Earnings management has no effect on financial performance. Whether or not earnings management is applied to a company will not have an effect on financial performance.

Earning management is an implementation carried out by the company's management to carry out actions to manipulate financial statements in order to achieve certain targets. This study was conducted with the aim to find the effect of profitability, liquidity, company size, and institutional ownership on earning management. The population of this study is an industrial sector company listed on the Indonesia Stock Exchange for the period 2019-2022. Sampling techniques using purposive sampling and obtained by 19 companies. Data analysis using multiple linear regression. The results showed that profitability measured using Return on Assets has no effect on earning management, Net Profit Margin has an effect on earning management, Return on Equity has an effect on earning management. Liquidity as measured by The Current Ratio, Quick Ratio, and Cash Ratio does not affect earning management. The size of the company is measured by the natural logarithm of total assets resulting in the size of the company has an affects earning management. Institutional ownership is measured by the division between the ownership of the number of shares of the institution and the number of shares outstanding, resulting in that institutional ownership has no effect on earning management. High and low return on assets, liquidity, and institutional ownership have no effect on earning management. But the higher the value of net profit margin, return on equity, and company size in a company, the lower the value of earning management. Conversely, the lower the value of net profit margin, return on equity, and company size, the value of earning management value increases.

This study examines the relationship between disclosure quality and earnings management. Corporate disclosure and earnings management are both subject to managers' discretion; therefore, managers are likely to consider their interaction when exercising managerial discretion. This study employs a simultaneous equations model to test the hypothesis that disclosure quality and earnings management are negatively related. It uses ratings published by the Association for Investment Management and Research to measure corporate disclosure, and discretionary accruals from the modified Jones model to measure earnings management. Consistent with theoretical predictions, the empirical analysis indicates that there is a statistically significant negative relationship between corporate disclosure and earnings management. Firms that disclose less tend to engage more in earnings management and vice versa. This result holds even after controlling for the effects of potentially confounding variables, and for all three components of corporate disclosure: annual disclosure, quarterly disclosure, and investor relations disclosure. By documenting a consistent negative relationship between corporate disclosure and earnings management, the study provides evidence on how management uses the flexibility afforded it under current minimum disclosure requirements to exercise discretion in reporting earnings. This has implications for the interpretation of and information conveyed by reported accounting earnings. It also provides support for the SEC's approach to attenuating earnings management by requiring more informative corporate disclosure.

The purpose of this study is to empirically determine the effect of earning power, leverage, firm size, financial distress, and audit quality on earnings management and whether institutional ownership can affect the relationship between earning power and leverage on earnings management in listed basic industrial and chemical manufacturing companies on the IDX. The type of research used in this research is quantitative research. The approach used in this research is the causality approach. The population and sample in this study were manufacturing companies in the basic industry and chemical sectors listed on the Indonesia Stock Exchange in 2016-2019 with a total of 52 companies. The data analysis method used Moderated Regression Analysis (MRA). The results of this study show that: earning power has no effect on earnings management, leverage has a negative effect on earnings management, firm size has a positive effect on earnings management, financial distress has a negative effect on earnings management, audit quality has a negative effect on earnings management, institutional ownership does not strengthen the negative effect of earning power on earnings management, and institutional ownership does not weaken the positive influence between leverage and earnings management.

This study aims to determine the effect of good corporate governance (managerial ownership, institutional ownership, number of commissioners, and audit committees), Leverage, and Profitability on Earnings Management in banking sub-sector companies listed on the Indonesia Stock Exchange. In addition, this study also aims to determine whether firm size can be used as a moderating variable for the relationship between managerial ownership, institutional ownership, number of commissioners, audit committees, leverage, and profitability with earnings management. The research design carried out is a causal relationship research with a quantitative approach. The sample in this research is 30 banking sub-sector companies listed on the Indonesia Stock Exchange from 2017 to 2021. The type of data used in this research is secondary data. The technique of determining the sample using purposive sampling. The data analysis technique used multiple linear regression analysis and the residual test for the moderating variable, which was carried out with the help of Eviews 10 software. The results in this study indicate that partially Managerial Ownership has a negative but not significant effect on Earnings Management, Institutional Ownership has a negative but not significant impact on Earnings Management, the number of the Board of Commissioners has a positive but not significant impact on Earnings Management and the Audit Committee has a negative but not significant effect on Profit Management, Leverage has a negative but not significant impact on Earnings Management, and Profitability has a negative but not significant effect on Earnings Management. As well as other results show that firm size cannot moderate the impact of managerial ownership, institutional ownership, number of commissioners and audit committees, leverage, and profitability on company financial performance in banking sub-sector companies listed on the Indonesia Stock Exchange. Keywords: Good corporate governance, managerial ownership, institutional ownership, number of commissioners, audit committee, Leverage, Earnings Management Profitability, and Firm Size

Recent debates on the corporate governance role of institutional investors have centred around whether they monitor their portfolio firms (exercise voice) or vote with their feet (exit). We examine these competing views in the context of how institutions’ voice vs exit role, proxied by institutional ownership levels, is associated with their portfolio firms’ earnings management in multiple settings. We extend Koh (2003, The British Accounting Review, 35, 105–128) by examining the effect of both short-term and long-term oriented institutional ownership on the extent of earnings management by portfolios firms with different incentives for earnings management. Specifically, we expect that the non-linear relation between institutional ownership and earnings management found in Koh (2003) is more likely to be present for portfolio firms with stronger incentives to meet/beat earnings thresholds. Our results suggest that transient and long-term oriented institutions co-exist and have differential effects on portfolio firms’ earnings management. Transient institutions are associated with upward accruals management, while long-term oriented institutions constrain such upward accruals management for portfolio firms that have strong incentives to do so (specifically, firms with non-discretionary earnings below prior year earnings). This suggests long-term oriented institutions can act as a corporate governance mechanism to mitigate aggressive earnings management. Overall, we find that the association between institutional ownership and earnings management is not systematic across all firms and is context dependent, suggesting complex associations between institutional ownership and earnings management strategies exist.

This study aims to analyze the Effect of Managerial Ownership, Institutional Ownership and Deferred Tax Burden on Profit Management in Food and Beverage Companies on the Indonesia Stock Exchange 2017 – 2021. This study used a quantitative approach in the form of financial statements of food and beverage companies listed on the Indonesia Stock Exchange from 2017 to 2021. The sampling technique used in this study used a purposive sampling approach, the number of samples used in this study were 90 samples. The results of this study indicate that managerial ownership has no effect on earnings management, institutional ownership has an effect on earnings management, deferred tax expense has an effect on earnings management, simultaneously the variables managerial ownership, institutional ownership and deferred tax expense have an effect on earnings management. The limitations in this study are that the research object only focuses on food and beverage sector companies that are listed on the Indonesia Stock Exchange from 2017 to 2021. This study uses the dependent variable, namely earnings management and independent variables, namely Managerial Ownership, Institutional Ownership and Deferred Tax Expenses As material for consideration in making decisions related to earnings management and can be used as a reference for companies in determining policies related to financial reports regarding earnings management practices. This Paper is Original Research paper.

- This research aims to evaluate the impact of operational cash flow, profitability, and leverage on earnings management, by considering institutional ownership as a moderating factor. The data used in this analysis was obtained from financial reports periodically published on the IDX from 2020 to 2022. Financial reports are data that is collected. This information comes from the official IDX website. Consumer goods companies listed on the IDX for 2020–2022 are the population considered in this analysis. Regression analysis was carried out in this research using Eviews 10 software. The findings of this analysis state that operating cash flow has a negative effect on earnings management, profitability has a positive effect on earnings management, leverage has no effect on earnings management, institutional ownership cannot moderate the effect of operating cash flow on earnings management, institutional ownership cannot moderate the effect of profitability on earnings management, institutional ownership can moderate the effect of leverage on earnings management. Keywords: Operating Cash Flow; Profitability; Leverage; Profit Management; Institutional Ownership

Earnings management is a method used by company management to process numbers in the company's financial statements. This study aims to examine the effect of tax planning, deferred tax assets and deferred tax expense on earnings management by using institutional ownership as a moderating variable. This study uses a quantitative method using the Moderated Regression Analysis hypothesis with the help of the SPSS program. The results of this study indicate that there is an effect of tax planning and tax burden on earnings management by using institutional ownership as a moderating variable. Meanwhile, there is no effect of deferred tax assets on earnings management by using institutional ownership as a moderating variable. The results of this study can add reference material and literature for further research related to the effect of tax planning, deferred tax assets and deferred tax expense on earnings management by using institutional ownership as a moderating variable.

This study aims to analyze the factors that influence earnings management. The factors analyzed in this study were the audit committee, managerial ownership, institutional ownership, and the proportion of independent board of directors as independent variables while earnings management was the dependent variable.The population of this study is a manufacturing company in the consumer goods industry listed on the IDX for the 2013-2017 periods. While the research sample was determined by purposive sampling method to obtain 7 sample of the company. The data used is obtained from the company's financial statements published on the official website www.idx.co.id. The analytical method used is the Data Panel Regression at a significance level of 5% and with the help of software Eviews 9.0.The results showed that the audit committee had a significant negative effect on earnings management, managerial ownership had no significant effect on earnings management, institutional ownership had no significant effect on earnings management, the proportion of independent board had a significant positive effect on earnings management. But the audit committee, managerial ownership, institutional ownership, and the proportion of independent board of directors have a significant effect on earnings management. Keywords: Earnings Management, Audit Committee, Managerial Ownership, Institutional Ownership, and Proportion of Independent Commissioners.

The purpose of this study is to examine the effect of deferred tax expense, tax planning, and managerial ownership on earnings management moderated by institutional ownership in manufacturing companies listed on the Indonesia Stock Exchange (IDX) in 2015-2018. The number of research samples is 16 companies. The sampling technique used in the study is purposive sampling method. This study uses multiple linear regression analysis and Moderated Regression Analysis (MRA) assisted by the IBM SPSS 24 program. The results of this study show that deferred tax expense and managerial ownership haveno effect on earnings management, while tax planning has an effect on earnings management. Institutional ownership is not able to moderate the effect of deferred tax expense and managerial ownership on earnings management, but institutional ownership is able to moderate the effectof tax planning on earnings management. The limitation of this study is that the measurement technique used for earnings management is only accrual earnings management. In addition, researchers do not measure earnings management from real earnings management techniques so that the results obtained cannot explain the extent of deviations from normal business practices. The results of this study are expected to provide considerations for potential investors who wish to invest in a company so that they do not experience losses on their invested capital. Company managers are expected to be able to reconsider everything so that there will be no more fraud that can cause losses to the company and have a bad impact in the future.

This study aims to investigate the relationships between discretionary accrual earnings management (DEM), real earnings management (REM), institutional ownership, and audit quality in Malaysian firms. The study's findings are expected to offer insights into how these factors may influence Malaysia's progress towards the Sustainable Development Goals. We examine the relationship between DEM and REM to identify the potential simultaneous use of earnings management strategies. Additionally, we explore the impact of institutional ownership and audit firm size on a company's earnings management practices. Using data from the Kuala Lumpur Stock Exchange (KLSE) spanning 2016-2018 we conducted statistical analyses, including ANOVA, t-tests, and multiple regression. There were notable correlations between DEM and REM, suggesting that these earnings management techniques are being used concurrently. Notably, institutional ownership and audit firm size played substantial roles in firms' earnings management practices. Companies with higher institutional ownership and larger audit firms tended to exhibit lower levels of DEM and REM. However, these factors did not appear to moderate the DEM-REM relationship. These findings have critical implications for regulators and policymakers in addressing earnings management practices and enhancing corporate governance in Malaysia. Focusing on institutional ownership and audit firm size may help curtail such practices, contributing to Malaysia's progress towards the Sustainable Development Goals. Future research should explore other potential moderating variables and distinctive corporate governance features that could also impact the DEM-REM relationship.

General Background: Earnings management remains a critical concern in financial reporting, especially in sectors with high capital intensity like property and real estate. Specific Background: In Indonesia, such practices are increasingly scrutinized due to inconsistent findings regarding the roles of tax planning, deferred tax burden, leverage, firm size, and institutional ownership. Knowledge Gap: Few studies explore the moderating effect of profitability on these variables in earnings management, particularly in the post-pandemic period. Aims: This study investigates the influence of tax planning, deferred tax burden, firm size, leverage, and institutional ownership on earnings management, with profitability as a moderating variable, using 549 firm-year observations from 183 IDX-listed companies (2020–2023). Results: Results show leverage and deferred tax burden significantly affect earnings management. Profitability moderates the effects of deferred tax burden, leverage, and institutional ownership, while it has no moderating effect on tax planning or firm size. Novelty: This study provides new insights into the contingent role of profitability in shaping earnings management behaviors in emerging markets. Implications: The findings contribute to refining financial governance strategies, guiding investor risk assessments, and informing regulators on industry-specific supervisory frameworks that enhance financial reporting transparency.Highlight : Profitability as Moderator – Profitability affects the strength of the relationship between key financial factors and earnings management. Sector Focused – The study targets property and real estate companies listed on the Indonesian Stock Exchange. Tax and Leverage Role – Tax planning and leverage significantly influence earnings management practices. Keywords : Earnings Management, Profitability, Moderating Variable, Property and Real Estate, Indonesian Stock Exchange

The purpose of this research is to obtain empirical evidence regarding the factors that influence earnings management in consumer non-cyclicals and consumer cyclicals companies listed in Indonesia Stock Exchange (IDX). The independent variables used in this research are managerial ownership, institutional ownership, firm size, leverage, profitability, sales growth, board size, and free cash flow. The population of this research are consumer non-cyclicals and consumer cyclicals companies listed in Indonesia Stock Exchange (IDX) with a research period of 2020-2022. The sample used in this research amounted to 66 companies with 198 data obtained from data collection techniques in the form of purposive sampling. The hypothesis testing method used in this research is multiple regression method. The result of this research found that profitability has a positive effect on earnings management. In contrast, institutional ownership and free cash flow have negative effects on earnings management. On the other hand, managerial ownership, firm size, leverage, sales growth, and board size have no effect on earnings management. A company who has higher profits will attract investors because the company will have a higher rate of return. This motivates management to perform earnings management. Companies with a higher percentage of institutional ownership and amount of free cash flow might substantially reduce their earnings management. Having more institutional ownership would reduce the discretionary accounting accrual activities and a higher amount of free cash flow shows that a company has enough money to meet its financial and operational needs.

This study aims to obtain empirical evidence from Managerial Ownership, Institutional Ownership, Independent Board of Commissioners, and the Audit Committee which is an indicator of Good Corporate Governance as an independent variable, and other variables namely Leverage and Firm Size as control variables, and Pandemic Covid as a dummy variable, on the dependent variable namely Earnings Management in Manufacturing Companies sub-sector Food and Beverage listed on the Indonesia Stock Exchange (IDX). Discretionary accruals with the Kothari model used as a proxy for earnings management. The sample was obtained by purposive sampling method with predetermined criteria, and resulted 40 in manufacturing companies sub-sector food and beverage in the 2016-2020 period with a total of 200 data. Descriptive statistics and multiple regression were used as data analysis methods. The results of this study can be summarized as follows. The first regression analysis, namely before the covid pandemic period, showed that Institutional Ownership and Audit Committee had a significant negative effect on Earnings Management, while Managerial Ownership, Independent Board of Commissioners, Leverage, and Firm Size had no effect on Earnings Management. The second regression analysis, before and during the covid pandemic, showed that Managerial Ownership, Institutional Ownership, and Leverage had a significant negative effect on Earnings Management. Meanwhile, the Independent Board of Commissioners, Audit Committee, Firm Size, and the Covid Pandemic have no effect on Earnings Management. Based on this explanation, it can be concluded that the implementation of Good Corporate Governance in Manufacturing companies in the Food and Beverage Subsector can be said to be still relatively ineffective, because only Managerial Ownership, Institutional Ownership and Audit Committees in this study are able to carry out their duties effectively to minimize the practice of earnings management happened to the company.