Mediating Impact of Financial Statements Window Dressings in Public Listed Companies Based on Corporate Governance Mechanism and Firm Financial Performance
This research examined the effects of corporate governance variables (foreign ownership, managerial ownership) on earnings multiples (FFP), and also the ability to earn management to mediate the relationship between corporate governance variables and earnings multiples. In this study, foreign ownership and managerial ownership are independent variables, earnings multiples (developed through PCA method from ROA, ROE and share price) is dependent variable and earnings management is mediating variable. All the relationship between dependent, independent and mediating variables are postulate on renowned agency theory. We estimate the dependent variable, i.e. earnings multiples (developed through PCA method from ROA, ROE and share price) while earning management is measured through modified Jones model, while rest of the data for CG variables are collected from the annual reports of the companies included in the sample. While financial data of earnings multiples and earning, management extracted from DataStream for the corresponding periods.
-
Foreign Ownership, Managerial Ownership, Earnings Multiples
-
(1) Muhammad Anees Khan
Senior Assistant Professor, Department of Management Studies, Bahria University, Islamabad, Pakistan.
(2) Aftab Haider
Senior Assistant Professor, Department of Management Studies, Bahria University, Islamabad, Pakistan.
(3) Nida Aman
Assistant Professor, Department of Management Studies, Bahria University, Islamabad, Pakistan.
- Ahmad, N. H., & Saha, A. (2013). Determinants of compensation of the board of directors in banks of the growth triangle countries (indonesia, malaysia and thailand): fresh evidence. International Journal of Arts & Sciences, 6(3), 703
- Baron, R. M., Kenny, D. A. J. J. o. p., & psychology, s. (1986). The moderator-mediator variable distinction in social psychological research: Conceptual, strategic, and statistical considerations. 51(6), 1173.
- Bhagat, S., & Bolton, B. (2009). Corporate governance and firm performance: Recent evidence. Leeds School of Business Research Paper Series.
- Chuanrommanee, W., & Swierczek, F. W. (2007). Corporate Governance in ASEAN Financial Corporations: reality or illusion? Corporate governance: An international review, 15(2), 272-283.
- Dalnial, H., Kamaluddin, A., Sanusi, Z. M., & Khairuddin, K. S. J. J. o. A. M. S. V. (2014). Detecting fraudulent financial reporting through financial statement analysis. 2(1).
- Hutchinson, M., & Gul, F. A. (2004). Investment opportunity set, corporate governance practices and firm performance. Journal of corporate finance, 10(4), 595-614
- Sekaran, U., & Bougie, R. J. I. N. Y. (2003). Research Methods For Business, A Skill Building Approach, John Willey & Sons.
Cite this article
-
APA : Khan, M. A., Haider, A., & Aman, N. (2020). Mediating Impact of Financial Statements Window Dressings in Public Listed Companies Based on Corporate Governance Mechanism and Firm Financial Performance. Global Economics Review, V(I), 266-275. https://doi.org/10.31703/ger.2020(V-I).22
-
CHICAGO : Khan, Muhammad Anees, Aftab Haider, and Nida Aman. 2020. "Mediating Impact of Financial Statements Window Dressings in Public Listed Companies Based on Corporate Governance Mechanism and Firm Financial Performance." Global Economics Review, V (I): 266-275 doi: 10.31703/ger.2020(V-I).22
-
HARVARD : KHAN, M. A., HAIDER, A. & AMAN, N. 2020. Mediating Impact of Financial Statements Window Dressings in Public Listed Companies Based on Corporate Governance Mechanism and Firm Financial Performance. Global Economics Review, V, 266-275.
-
MHRA : Khan, Muhammad Anees, Aftab Haider, and Nida Aman. 2020. "Mediating Impact of Financial Statements Window Dressings in Public Listed Companies Based on Corporate Governance Mechanism and Firm Financial Performance." Global Economics Review, V: 266-275
-
MLA : Khan, Muhammad Anees, Aftab Haider, and Nida Aman. "Mediating Impact of Financial Statements Window Dressings in Public Listed Companies Based on Corporate Governance Mechanism and Firm Financial Performance." Global Economics Review, V.I (2020): 266-275 Print.
-
OXFORD : Khan, Muhammad Anees, Haider, Aftab, and Aman, Nida (2020), "Mediating Impact of Financial Statements Window Dressings in Public Listed Companies Based on Corporate Governance Mechanism and Firm Financial Performance", Global Economics Review, V (I), 266-275
-
TURABIAN : Khan, Muhammad Anees, Aftab Haider, and Nida Aman. "Mediating Impact of Financial Statements Window Dressings in Public Listed Companies Based on Corporate Governance Mechanism and Firm Financial Performance." Global Economics Review V, no. I (2020): 266-275. https://doi.org/10.31703/ger.2020(V-I).22