Authors : Seyedeh Elham Mousavi Rad, Hamid Salehi and Hashem Vali Pour
Abstract: In this study, the impact of audit quality and ownership structure on earnings management of listed firms on Tehran Stock Exchange is studied. In this research, the auditor reputation, auditor tenure, ownership concentration and institutional ownership as a indicator of audit quality and ownership structure have been used. Also, the absolute value of discretionary accruals model of modified Jones as a direct indicator of earnings management have been used. In order to respond the questions of this study, four hypothesis has been made and 100 firms from listed firms on Tehran Stock Exchange 5 years (2009-2013) has been tested. This study is descriptive of correlation type and to test the hypotheses, multiple linear regression model with panel data and fixed effects is used. The results of research hypotheses show that auditor reputation, auditor tenure and institutional ownership have a significant and negative impact on earnings management. On the other hand, ownership concentration have a significant and positive impact on earnings management.
Seyedeh Elham Mousavi Rad, Hamid Salehi and Hashem Vali Pour, 2016. The Impact of Audit Quality and Ownership Structure on Earnings Management of Listed Firms on Tehran Stock Exchange. International Business Management, 10: 1827-1832.