Earnings quality at initial public offerings in China

REN, Shaohong (2016) Earnings quality at initial public offerings in China. [Dissertation (University of Nottingham only)]

[img] PDF - Registered users only - Requires a PDF viewer such as GSview, Xpdf or Adobe Acrobat Reader
Download (985kB)

Abstract

This paper examines earnings management during IPO process in the Chinese context. Disagreeing with previous research, this study finds that IPO firms are not motivated to manage earnings upward before IPO. Managers are inclined to overstate the earnings of IPO year and these inflated earnings would be reversed after issuing. Those firms that conduct more aggressive earnings management at IPO year are more likely to experience post-issue accounting performance deterioration. Two of CSRC regulations are tested to investigate whether they could influence earnings management before IPO or not. The results indicate that the minimum net income requirement may no longer be a motivation of pre-IPO earnings management and the intangible assets proportion limitation could constrain earnings management through R&D to some extent.

Item Type: Dissertation (University of Nottingham only)
Keywords: initial public offering; earnings quality; earnings management; CSRC regulation
Depositing User: REN, SHAOHONG
Date Deposited: 09 Mar 2017 14:44
Last Modified: 19 Oct 2017 17:04
URI: http://eprints.nottingham.ac.uk/id/eprint/36893

Actions (Archive Staff Only)

Edit View Edit View