Detecting Earnings Management: A New Approach
利用应计会计的逆转特性，提出一种结合先验信息的盈余管理检测新方法，可将检验功效提升约40%，并有效缓解模型误设问题。
ABSTRACT This paper provides a new approach to test for accrual‐based earnings management. Our approach exploits the inherent property of accrual accounting that any accrual‐based earnings management in one period must reverse in another period. If the researcher has priors concerning the timing of the reversal, incorporating these priors can significantly improve the power and specification of tests for earnings management. Our results indicate that tests incorporating reversals increase test power by around 40% and provide a robust solution for mitigating model misspecification arising from correlated omitted variables.