ABSTRACT
This study examines the rounding up/down behavior of selected key accounting figures in BRICS countries. It also examines the role of global financial crisis (GFC) on this rounding up or down of such key numbers. Five key financial figures (Revenue, Operating Income, Net Income, and Earnings per share (EPS), Dividend per share (DPS)) are studied during year 2000 to 2015. Results show rounding up/down is more prevalent in two markets, China and India, for positive as well as for negative profit firms during both periods. Brazilian, Russian, and South African markets are showing less rounding up/down of earnings figures during pre-GFC and also for post-GFC period.
Acknowledgments
We are very grateful to Prof. Yue Ma, the Editor and an anonymous referee for pointing toward a robust testing methodology for enriching the analysis of this study. Suggestions and remarkable insights have helped us in improving this research work.
Disclosure statement
No potential conflict of interest was reported by the authors.
Notes
1. For details, please see Amiram, Bozanic, and Rouen (Citation2015).
2. We are thankful to an anonymous reviewer for correcting this anomaly.
3. We are thankful to an anonymous reviewer for suggesting this measure for the joint test of digits.
4. Complete z-test statistics can be availed on request.
5. We thank an anonymous referee for highlighting the risk of contrary behavior.