Does the Use of Financial Derivatives Affect Earnings Management Decisions

By Jan Barton. 2001

393 citations recorded by the source corpus.

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Citations in the corpus

Perspectives on Recent Capital Market Research (2002, background): “Others include hedging activities (Barton 2001) and altering research and development expenditures (Bushee 1998).”
Evidence on the Trade-Off between Real Activities Manipulation and Accrual-Based Earnings Management (2012, methodology): “A few prior studies (Beatty et al. 1995; Hunt et al. 1996; Gaver and Paterson 1999; Barton 2001; Pincus and Rajgopal 2002; Cohen et al. 2008; Cohen and Zarowin 2010; Badertscher 2011) examine how managers use multiple accounting and operating measures to achieve one or more goals.”
The Antecedents and Consequences of Top Management Fraud (2005, background): “For example, Barton (2001) found that managers in a sample of Fortune 500 firms purposely managed earnings to increase their cash compensation, whereas Guidry, Leone, and Rock (1999) provided evidence that earnings management is associated with CEOs’ bonuses (see also Healy, 1985; Hirst, 1994).”
The Economic Implications of Corporate Financial Reporting (2005, positive): “Barton (2001) and Pincus and Rajgopal (2002) argue that firms use accounting accruals and derivatives as substitutes to smooth earnings.”
Do investors value smooth performance (2008, positive): “…the correlation between quarterly cash flows and accruals over the same 5 - year period that cash - flow volatility is measured as a proxy for earnings smoothing via accruals similar to Barton ( 2001 ) , Leuz , Nanda , and Wysocki ( 2003 ) , and Lang , Raedy , and Yetman ( 2003 ) , among others .”
Debt Capacity, Cost of Debt and Corporate Insurance (2008, neutral): “13In an early version of the paper, we also include a tax convexity measure prescribed by Graham (1996) and Barton (2001) in equation (1), but as in Graham and Rogers (2002) we find it insignificant.”
Economic Effects of Tightening Accounting Standards to Restrict Earnings Management (2005, background): “For example, Barton (2001) finds that financial derivatives are used as a substitute for accounting earnings management.”
Institutional Stock Ownership, Accrual Management, and Information Environment (2005, background): “Further, Barton (2001) reports that abnormal accrual magnitude is positively correlated with its variability, indicating the extent to which firms enjoy flexibility to manage accruals.”
Managerial ability and real earnings management (2017, methodology): “In addition, alternative REM activities documented in the prior literature include cutting advertising expenditures (Cohen, Dey, Mashruwala, & Zach, 2010), sale of profitable assets (Bartov, 1993), sales price reductions (Jackson &Wilcox, 2000), derivative hedging (Barton, 2001), and stock repurchas”
Corporate Social Responsibility as a Strategic Shield Against Costs of Earnings Management Practices (2014, result): “The mean values and standard deviations are very similar to those obtained in previous studies, such as Barton (2001), Prior”