Earnings Management in times of CEO turnover: A quantitative study with the attributes – Industry, Company Size, CEO Origin, and CEO Age on the Swedish market
Independent thesis Advanced level (degree of Master (Two Years)), 20 credits / 30 HE creditsStudent thesis
This thesis researches to which extent companies use earnings management in times of CEO turnover, which is a continuing, complex and rather complicated issue. Earnings management was tested on different attribute such as: firm industry, firm size, CEO’s age, and the CEO’s origin (internal or external). The data was gathered through a quantitative study based on public companies’ financial reports. The sample includes 252 firms listed on Nasdaq OMX Stockholm and have been subject of a CEO change at some occasion during 2005-2011. The statistical result from the mixed-model ANOVA tests showed in general significant result of upward earnings management the year of CEO change, but not the following year. While there are many explanations to the findings of how earnings management is used on the Swedish market, the analysis and conclusion elaborate the reason that ought to be the blueprint of reality.
Place, publisher, year, edition, pages
2013. , 61 p.
CEO turnover; Earnings management; Discretionary accruals; The modified Jones model
IdentifiersURN: urn:nbn:se:uu:diva-202617OAI: oai:DiVA.org:uu-202617DiVA: diva2:632400
Subject / course
Master Programme in Social Sciences
UppsokSocial and Behavioural Science, Law