IFRS adoption and real earnings management in Bangladesh: The role of board characteristics

References

• Abdul Rahman, R., & Haniffa, R. M. (2005). The effect of role duality on corporate performance in Malaysia. Corporate Ownership and Control, 2(2), 40–20. https://doi.org/10.22495/cocv2i2p4
   Google Scholar
• Abdullah, H., & Tursoy, T. (2021). Capital structure and firm performance: Evidence of Germany under IFRS adoption. Review of Managerial Science, 15(2), 379–398. https://doi.org/10.1007/s11846-019-00344-5
   Web of Science ®Google Scholar
• Adams, R. B., & Ferreira, D. (2009). Women in the boardroom and their impact on governance and performance. Journal of Financial Economics, 94(2), 291–309. https://doi.org/10.1016/j.jfineco.2008.10.007
   Web of Science ®Google Scholar
• Adams, R. B., Gray, S., & Nowland, J. (2010). Is there a business case for female directors? Evidence from the market reaction to all new director appointments. Paper presented at the 23rd Australasian finance and banking conference. Australasian Finance & Banking Conference 2010.
   Google Scholar
• Adib, M., & Xianzhi, Z. (2019). Board characteristics and corporate social performance nexus - A multi-theoretical analysis - evidence from South Africa.
   Google Scholar
• Ajina, A., Bouchareb, M., & Souid, S. (2013). Corporate governance mechanisms and earnings management after and before the adoption of IFRS. The Business & Management Review, 3(4), 147. https://www.researchgate.net/publication/322790814_Corporate_governance_mechanisms_and_earnings_management_after_and_before_the_adoption_of_IFRS
   Google Scholar
• Allison, P. (2012). when can you safely ignore multicollinearity? Retrieved April 25, 2019, from https://statisticalhorizons.com/multicollinearity
   Google Scholar
• Baron, R. M., & Kenny, D. A. (1986). The moderator–mediator variable distinction in social psychological research: Conceptual, strategic, and statistical considerations. Journal of Personality and Social Psychology, 51(6), 1173. https://doi.org/10.1037/0022-3514.51.6.1173
   PubMed Web of Science ®Google Scholar
• Barth, M. E., Landsman, W. R., & Lang, M. H. (2008). International accounting standards and accounting quality. Journal of Accounting Research, 46(3), 467–498. https://doi.org/10.1111/j.1475-679X.2008.00287.x
   Web of Science ®Google Scholar
• BEI. (2004). The code of corporate governance for Bangladesh (Vol. 2016). Bangladesh Enterprise Institute.
   Google Scholar
• Bhuiyan, M. H. U. (2015). Earnings management to exceed earnings threshold: Evidence from Bangladesh. Journal of Business Studies, XXXVI(3). https://www.fbs-du.com/news_event/15053071271.%20Dr.%20Md.pdf
   Google Scholar
• Boghdady, A. (2019). The impact of ownership type on the relationship between corporate governance and earnings management: An empirical study. Corporate Ownership & Control, 16(4), 31–44. https://doi.org/10.22495/cocv16i4art3
   Google Scholar
• Brüggemann, U., Hitz, J.-M., & Sellhorn, T. (2013). Intended and unintended consequences of mandatory IFRS adoption: A review of extant evidence and suggestions for future research. European Accounting Review, 22(1), 1–37. https://doi.org/10.1080/09638180.2012.718487
   Web of Science ®Google Scholar
• BSEC. (2012). Corporate governance guidelines for Bangladesh (Vol. SEC/CMRRCD/2006-158/134/Admin/44). Bangladesh Securities and Exchange Commission.
   Google Scholar
• Cadbury, A. (1992). Report of the committee on the financial aspects of corporate governance (Vol. 1). Gee and Co. Ltd.
   Google Scholar
• Callao, S., & Jarne, J. I. (2010). Have IFRS affected earnings management in the European Union? Accounting in Europe, 7(2), 159–189. https://doi.org/10.1080/17449480.2010.511896
   Google Scholar
• Chalmers, K., Clinch, G., & Godfrey, J. M. (2011). Changes in value relevance of accounting information upon IFRS adoption: Evidence from Australia. Australian Journal of Management, 36(2), 151–173. https://doi.org/10.1177/0312896211404571
   Web of Science ®Google Scholar
• Chang, J. C., & Sun, H.-L. (2009). Crossed-listed foreign firms’ earnings informativeness, earnings management and disclosures of corporate governance information under SOX. The International Journal of Accounting, 44(1), 1–32. https://doi.org/10.1016/j.intacc.2008.12.004
   Google Scholar
• Chouaibi, J., Harres, M., & Ben Brahim, N. (2018). The effect of board director’s characteristics on real earnings management: Tunisian-listed firms. Journal of the Knowledge Economy, 9(3), 999–1013. https://doi.org/10.1007/s13132-016-0387-3
   Web of Science ®Google Scholar
• Chua, Y. L., Cheong, C. S., & Gould, G. (2012). The impact of mandatory IFRS adoption on accounting quality: Evidence from Australia. Journal of International Accounting Research, 11(1), 119–146. https://doi.org/10.2308/jiar-10212
   Google Scholar
• Cohen, D. A., & Zarowin, P. (2010). Accrual-based and real earnings management activities around seasoned equity offerings. Journal of Accounting and Economics, 50(1), 2–19. https://doi.org/10.1016/j.jacceco.2010.01.002
   Web of Science ®Google Scholar
• Coles, J. L., Daniel, N. D., & Naveen, L. (2008). Boards: Does one size fit all? Journal of Financial Economics, 87(2), 329–356. https://doi.org/10.1016/j.jfineco.2006.08.008
   Web of Science ®Google Scholar
• Dakhlallh, M. M., Rashid, N., Amalina, W., Abdullah, W., & Al Shehab, H. J. (2021). The moderate effect of audit committee independence on the board structure and real earnings management: Evidence from Jordan. Journal of Contemporary Issues in Business and Government|, 27(2), 124. https://www.researchgate.net/publication/349350459_The_Moderate_Effect_of_Audit_Committee_Independence_on_the_Board_Structure_and_Real_Earnings_Management_Evidence_from_Jordan
   Google Scholar
• Daoud, J. I. (2017). Multicollinearity and regression analysis. Paper presented at the Journal of Physics: Conference Series
   Google Scholar
• Daske, H., Hail, L., Leuz, C., & Verdi, R. (2008). Mandatory IFRS reporting around the world: Early evidence on the economic consequences. Journal of Accounting Research, 46(5), 1085–1142. https://doi.org/10.1111/j.1475-679X.2008.00306.x
   Web of Science ®Google Scholar
• Dechow, P. M., Sloan, R. G., & Sweeney, A. P. (1996). Causes and consequences of earnings manipulation: An analysis of firms subject to enforcement actions by the SEC. Contemporary Accounting Research, 13(1), 1–36. https://doi.org/10.1111/j.1911-3846.1996.tb00489.x
   Google Scholar
• Dechow, P. M., & Dichev, I. D. (2002). The quality of accruals and earnings: The role of accrual estimation errors. The Accounting Review, 77(s–1), 35–59. https://doi.org/10.2308/accr.2002.77.s-1.35
   Web of Science ®Google Scholar
• Deloittee: IAS Plus. (2012). Status of adoption of IFRSs in Bangladesh as at July 2012. Retrieved April 21, 2022, from https://www.iasplus.com/en/othernews/bangladesh/adoption-as-at-july-2012
   Google Scholar
• Doukakis, L. C. (2014). The effect of mandatory IFRS adoption on real and accrual-based earnings management activities. Journal of Accounting and Public Policy, 33(6), 551–572. https://doi.org/10.1016/j.jaccpubpol.2014.08.006
   Web of Science ®Google Scholar
• DSE. (2016). Performance of DSE at a Glance. Retrieved December 14, 2016, from http://www.dsebd.org/mglc.php
   Google Scholar
• Garcia Osma, B. (2008). Board Independence and real earnings management: The case of R&D expenditure. Corporate Governance: An International Review, 16(2), 116–131. https://doi.org/10.1111/j.1467-8683.2008.00672.x
   Web of Science ®Google Scholar
• Goncharov, I., & Zimmermann, J. (2006). Do accounting standards influence the level of earnings management? Evidence from Germany. https://doi.org/10.2139/ssrn.386521
   Google Scholar
• Hamilton, L. C. (2012). Statistics with Stata: Version 12. Cengage Learning.
   Google Scholar
• Han, F., & Ellis, R. A. (2019). Identifying consistent patterns of quality learning discussions in blended learning. The Internet and Higher Education, 40, 12–19. https://doi.org/10.1016/j.iheduc.2018.09.002
   Web of Science ®Google Scholar
• Hasan, M. T., Fakir, M. S. I., & Chakraborty, M. (2011). Evaluation of auditors compliance with ISA’s: Evidence of Bangladesh. The Cost and Management, 39(1), 21–24.
   Google Scholar
• Hasan, M. S., Hossain, S. Z., & Rahman, R. A. (2014). Corporate governance and corporate accruals: The situation in Bangladesh. Aestimatio, 9(2014), 90. https://doi.org/10.5605/IEB.9.5
   Google Scholar
• Hasan, M. T., & Rahman, A. A. (2017). IFRS Adoption and earnings management: A review and justification of earnings management model for developing countries. ELK ASIA PACIFIC JOURNAL OF FINANCE AND RISK MANAGEMENT, 8(3), 43–60. https://doi.org/10.16962/EAPJFRM/
   Google Scholar
• Hasan, M. T., & Rahman, A. A. (2019). Conceptual framework for IFRS adoption, audit quality and earnings management: The case of Bangladesh. International Business and Accounting Research Journal, 3(1), 58–66. https://doi.org/10.15294/ibarj.v3i1.56
   Google Scholar
• Hasan, M. T., Molla, M. S., & Khan, F. (2019). Effect of board and audit committee characteristics on profitability: Evidence from pharmaceutical and chemical industries in Bangladesh. Finance & Economics Review, 1(1), 64–76.
   Google Scholar
• Hasan, M. T. (2020). The effect of IFRS adoption on earnings management and the moderating role of corporate governance: Evidence from Bangladesh. (Doctor of Philosophy Doctoral), Universiti Utara Malaysia. https://www.researchgate.net/publication/350088682_THE_EFFECT_OF_IFRS_ADOPTION_ON_EARNINGS_MANAGEMENT_AND_THE_MODERATING_ROLE_OF_CORPORATE_GOVERNANCE_EVIDENCE_FROM_BANGLADESH
   Google Scholar
• Hasan, M. T., & Rahman, A. A. (2020). The role of corporate governance on the relationship between IFRS adoption and earnings management: Evidence from Bangladesh. International Journal of Financial Research, 11(4), 329. https://doi.org/10.5430/ijfr.v11n4p329
   Google Scholar
• Hasan, M. T., Rahman, A. A., Sumi, F. R., Chowdhury, A. H. M. Y., & Miraz, M. H. (2020). The moderating role of audit quality on the relationship between IFRS adoption and earnings management: Evidence from Bangladesh. International Journal of Mechanical and Production Engineering Research and Development (IJMPERD), 10(3), 9141–9154. https://doi.org/10.24247/ijmperdjun2020868
   Google Scholar
• Hashed, A., & Almaqtari, F. (2021). The impact of corporate governance mechanisms and IFRS on earning management in Saudi Arabia. Accounting, 7(1), 207–224. https://doi.org/10.5267/j.ac.2020.9.015
   Google Scholar
• Hashim, H. A., & Devi, S. S. (2008). Board independence, CEO duality and accrual management: Malaysian evidence. Asian Journal of Business and Accounting, 1(1), 27–46.
   Google Scholar
• Humayun Kabir, M., Sharma, D., Islam, A., & Salat, A. (2011). Big 4 auditor affiliation and accruals quality in Bangladesh. Managerial Auditing Journal, 26(2), 161–181. https://doi.org/10.1108/02686901111095029
   Google Scholar
• Iraya, C., Mwangi, M., & Wanjohi, G. (2014). The effect of corporate governance practices on earnings management of companies listed at the Nairobi securities exchange. https://eujournal.org/index.php/esj/article/view/4945
   Google Scholar
• Ismail, W. A. W., Kamarudin, K. A., Zijl, T. V., & Dunstan, K. (2013). Earnings quality and the adoption of IFRS-based accounting standards: Evidence from an emerging market. Asian Review of Accounting, 21(1), 53–73. https://doi.org/10.1108/13217341311316940
   Google Scholar
• Jaggi, B., Leung, S., & Gul, F. (2009). Family control, board Independence and earnings management: Evidence based on Hong Kong firms. Journal of Accounting and Public Policy, 28(4), 281–300. https://doi.org/10.1016/j.jaccpubpol.2009.06.002
   Web of Science ®Google Scholar
• Jeanjean, T., & Stolowy, H. (2008). Do accounting standards matter? An exploratory analysis of earnings management before and after IFRS adoption. Journal of Accounting and Public Policy, 27(6), 480–494. https://doi.org/10.1016/j.jaccpubpol.2008.09.008
   Web of Science ®Google Scholar
• Jensen, M. C., & Meckling, W. H. (1976). Theory of the firm: Managerial behavior, agency costs and ownership structure. Journal of Financial Economics, 3(4), 305–360. https://doi.org/10.1016/0304-405X(76)90026-X
   Web of Science ®Google Scholar
• Johari, N. H., Saleh, N. M., Jaffar, R., & Hassan, M. S. (2009). The influence of board Independence, competency and ownership on earnings management in Malaysia. International Journal of Economics and Management, 2(2), 281–306.
   Google Scholar
• Kao, L., Chiou, J. R., & Chen, A. (2004). The agency problems, firm performance and monitoring mechanisms: The evidence from collateralised shares in Taiwan. Corporate Governance: An International Review, 12(3), 389–402. https://doi.org/10.1111/j.1467-8683.2004.00380.x
   Web of Science ®Google Scholar
• Kao, L., & Chen, A. (2004). The effects of board characteristics on earnings management. Corporate Ownership & Control, 1(3), 96–107. https://doi.org/10.22495/cocv1i3p9
   Google Scholar
• Key, K. G., & Kim, J. Y. (2020). IFRS and accounting quality: Additional evidence from Korea. Journal of International Accounting, Auditing and Taxation, 39, 100306. https://doi.org/10.1016/j.intaccaudtax.2020.100306
   Google Scholar
• Kharashgah, K. A., Amran, N. A. B., & Ishak, R. B. (2019). Board of directors’ structure and real earnings management: Jordanian evidence. International Journal of Academic Research in Business and Social Sciences, 9(12), 742–760. http://dx.doi.org/10.6007/IJARBSS/v9-i12/6785
   Google Scholar
• Larcker, D. F., & Tayan, B. (2013). Pioneering women on boards: Pathways of the first female directors. Rock Center for Corporate Governance at Stanford University Closer Look Series: Topics, Issues and Controversies in Corporate Governance and Leadership No. CGRP-35. https://www.gsb.stanford.edu/sites/default/files/publication-pdf/cgri-closer-look-35-women-boards.pdf
   Google Scholar
• Li, M., Sharp, B. M., Bergh, D. D., & Vandenberg, R. (2019). Statistical and methodological myths and urban legends in strategic management research: The case of moderation analysis. European Management Review, 16(1), 209–220. https://doi.org/10.1111/emre.12319
   Web of Science ®Google Scholar
• Liang, J., & Shan, Y. G. (2013). Do corporate governance mechanisms impact on earnings quality? Evidence from IFRS adoption in European Union. Retrieved from SSRN website: https://doi.org/10.2139/ssrn.2215424
   Google Scholar
• Lin, J. W., & Hwang, M. I. (2010). Audit quality, corporate governance, and earnings management: A Meta-Analysis. International Journal of Auditing, 14(1), 57–77. https://doi.org/10.1111/j.1099-1123.2009.00403.x
   Google Scholar
• Liu, C., Yao, L. J., Hu, N., & Liu, L. (2011). The impact of IFRS on accounting quality in a regulated market: An empirical study of China. Journal of Accounting, Auditing & Finance, 26(4), 659–676. https://doi.org/10.1177/0148558X11409164
   Google Scholar
• Masum, M. H., Hasan, M. T., & Miraz, M. H. (2020). Factors affecting the sustainability reporting: Evidence from Bangladesh. International Journal of Mechanical and Production Engineering Research and Development (IJMPERD), 10(3), 8323–8338. https://doi.org/10.24247/ijmperdjun2020792
   Google Scholar
• Molla, M. S., Hasan, M. T., Miraz, M. H., Azim, M. T., & Hossain, M. K. (2021). the influence of directors’ diversity and corporate sustainability practices on firm performance: Evidence from Malaysia. The Journal of Asian Finance, Economics and Business, 8(6), 201–212. https://doi.org/10.13106/jafeb.2021.vol8.no6.0201
   Web of Science ®Google Scholar
• Muttakin, M. B., Khan, A., & Mihret, D. G. (2017). Business group affiliation, earnings management and audit quality: Evidence from Bangladesh. Managerial Auditing Journal, 32(4/5), 427–444. https://doi.org/10.1108/MAJ-01-2016-1310
   Web of Science ®Google Scholar
• Nahar Abdullah, S. (2004). Board composition, CEO duality and performance among Malaysian listed companies. Corporate Governance: The International Journal of Business in Society, 4(4), 47–61. https://doi.org/10.1108/14720700410558871
   Google Scholar
• Nugroho, B. Y., & Eko, P. U. (2012). Board characteristics and earning management. Bisnis & Birokrasi Journal, 18(1). http://journal.ui.ac.id/jbb/article/viewFile/969/892
   Google Scholar
• Pallant, J. (2011). Survival manual. A step by step guide to data analysis using SPSS.
   Google Scholar
• Park, Y. W., & Shin, -H.-H. (2004). Board composition and earnings management in Canada. Journal of Corporate Finance, 10(3), 431–457. https://doi.org/10.1016/S0929-1199(03)00025-7
   Web of Science ®Google Scholar
• Peasnell, K. V., Pope, P. F., & Young, S. (2005). Board monitoring and earnings management: Do outside directors influence abnormal accruals? Journal of Business Finance & Accounting, 32(7‐8), 1311–1346. https://doi.org/10.1111/j.0306-686X.2005.00630.x
   Web of Science ®Google Scholar
• Rahmawati, E., & Putri, M. S. (2019). Analysis of the effect of IFRS convergence on earnings management with corporate governance as a moderating variable (empirical study on non-financial companies listed on the Indonesian stock exchange before and after IFRS). Paper presented at the 5th International Conference on Accounting and Finance 2019 ( ICAF 2019).
   Google Scholar
• Ramsey, J. B. (1969). Tests for specification errors in classical linear least‐squares regression analysis. Journal of the Royal Statistical Society: Series B (Methodological), 31(2), 350–371. https://www.jstor.org/stable/2984219
   Web of Science ®Google Scholar
• Rashid, A., De Zoysa, A., Lodh, S., & Rudkin, K. (2010). Board composition and firm performance: Evidence from Bangladesh. Australasian Accounting Business & Finance Journal, 4(1), 76. http://dx.doi.org/10.14453/aabfj.v4i3.8
   Google Scholar
• Rashid, A. (2013). CEO duality and agency cost: Evidence from Bangladesh. Journal of Management & Governance, 17(4), 989–1008. https://doi.org/10.1007/s10997-012-9213-x
   Google Scholar
• Routledge, J. (2020). Stewardship regulation and earnings quality: Evidence from Japan. Accounting Research Journal, 33(3), 543–559. https://doi.org/10.1108/ARJ-11-2019-0205
   Web of Science ®Google Scholar
• Roychowdhury, S. (2006). Earnings management through real activities manipulation. Journal of Accounting and Economics, 42(3), 335–370. https://doi.org/10.1016/j.jacceco.2006.01.002
   Web of Science ®Google Scholar
• Saleh, N. M., Iskandar, T. M., & Rahmat, M. M. (2005). Earnings management and board characteristics: Evidence from Malaysia. Jurnal Pengurusan, 24(4), 77–103. https://core.ac.uk/download/pdf/11490873.pdf
   Google Scholar
• Salleh, M. F. B. M. (2009). Political influence, corporate governance and financial reporting quality: evidence from companies in Malaysia (Doctor of Philosophy), Massey University. http://mro.massey.ac.nz/handle/10179/3633
   Google Scholar
• Scott, W. R. (2014). Financial accounting theory (7 ed.). Pearson Education Canada.
   Google Scholar
• Sellami, M., & Fakhfakh, H. (2013). Effect of the mandatory adoption of IFRS on real and accruals-based earnings management: Empirical evidence from France. International Journal of Accounting and Economics Studies, 2(1), 22–33. https://doi.org/10.14419/ijaes.v2i1.1485
   Google Scholar
• Setiawan, D., Taib, F., Phua, L. K., & Chee, H. K. (2020). IFRS, family ownership and earnings management in the Indonesian Banking Industry. International Journal of Economics & Management, 14(2). http://www.ijem.upm.edu.my/vol14no2/5.%20IFRS,%20FAMILY%20OWNERSHIP.pdf
   Google Scholar
• Shawn, H., Jung, J.-G., & Do, S.-H. (2015 1). Relation between corporate governance and earnings management, and the role of IFRS: Evidence from Korea. Bulletin of Japanese Association for International Accounting Studies, 2014, 139–150. https://jaias.org/content/files/pdf/academic_records/2014bulletin/12.pdf-12.pdf
   Google Scholar
• Skrivanek, S. (2009). The use of dummy variables in regression analysis. More Steam, LLC. Retrieved December 25, 2016, from. https://www.moresteam.com/WhitePapers/download/dummy-variables.pdf
   Google Scholar
• Srinidhi, B., Gul, F. A., & Tsui, J. (2011). Female directors and earnings quality. Contemporary Accounting Research, 28(5), 1610–1644. https://doi.org/10.1111/j.1911-3846.2011.01071.x
   Web of Science ®Google Scholar
• Sun, J., Lan, G., & Liu, G. (2014). Independent audit committee characteristics and real earnings management. Managerial Auditing Journal, 29(2), 153–172. https://doi.org/10.1108/MAJ-05-2013-0865
   Google Scholar
• Thiruvadi, S., & Huang, H. W. (2011). Audit committee gender differences and earnings management. Gender in Management: An International Journal, 26(7), 483–498. https://doi.org/10.1108/17542411111175469
   Google Scholar
• Umer, R., Abbas, N., & Hussain, S. (2020). The gender diversity and earnings management practices: Evidence from Pakistan. City University Research Journal, 10(2), 342–357. https://www.cusitjournals.com/index.php/CURJ/article/view/426
   Google Scholar
• Vafeas, N. (2000). Board structure and the informativeness of earnings. Journal of Accounting and Public Policy, 19(2), 139–160. https://doi.org/10.1016/S0278-4254(00)00006-5
   Google Scholar
• Visvanathan, G. (2008). Corporate governance and real earnings management. Academy of Accounting and Financial Studies Journal, 12(1), 9. https://www.semanticscholar.org/paper/Corporate-Governance-and-Real-Earnings-Management-Visvanathan/1a852db54820c2b4157b6bfc23e809affd090400
   Google Scholar
• Zang, A. Y. (2011). Evidence on the trade-off between real activities manipulation and accrual-based earnings management. The Accounting Review, 87(2), 675–703. https://doi.org/10.2308/accr-10196
   Web of Science ®Google Scholar
• Zéghal, D., Chtourou, S., & Sellami, Y. M. (2011). An analysis of the effect of mandatory adoption of IAS/IFRS on earnings management. Journal of International Accounting, Auditing and Taxation, 20(2), 61–72. https://doi.org/10.1016/j.intaccaudtax.2011.06.001
   Google Scholar
• Zhang, S., Zhang, D., Zheng, J., & Aerts, W. (2020). Does policy uncertainty of the blockchain dampen ICO markets? In Accounting & Finance. 61(S1), 1625-1637.
   Google Scholar