Earnings Management Using Discontinued Operations
研究管理者是否通过将经营费用转移至终止经营业务来增加核心盈余，并发现该行为用于达到分析师预测，且SFAS 144号准则实施后分类转移幅度下降。
ABSTRACT: This study investigates whether managers use classification shifting to manage earnings when reporting discontinued operations. Using a methodology similar to McVay (2006), we find evidence consistent with the hypothesis that firms shift operating expenses to income-decreasing discontinued operations to increase core earnings. Our findings also indicate that managers use classification shifting to meet or beat analysts’ forecasts. Finally, we find that, since the introduction of SFAS No. 144, the reporting frequency of discontinued operations has increased; however, the magnitude of classification shifting has decreased. We provide potential explanations for this finding.