Tunneling as an Incentive for Earnings Management During the Ipo Process in China

• المؤلفون الرئيسيون: Aharony, Joseph, Yuan, Hongqi, WANG, Jiwei
• التنسيق: text
• اللغة: English
• منشور في: Institutional Knowledge at Singapore Management University 2006
• الموضوعات: Related party transactions; Earnings management; Tunneling; Initial public offering; Finance and Financial Management; International Business; Portfolio and Security Analysis
• الوصول للمادة أونلاين: https://ink.library.smu.edu.sg/soa_research/219

Using a sample of 185 Chinese IPO firms listed on the Shanghai Stock Exchange during the period 1999 to 2001, we show that related party (RP) sales of goods and services could be used opportunistically to manage earnings upwards in the pre-IPO period. We also provide evidence that such behavior may...