This study investigates the association between private company auditing and intertemporal income shifting. Using a large reduction in the Finnish corporate tax rate as a strong incentive for income shifting and financial statement data coupled with proprietary information from the tax...

In this study, we investigate cost behavior of companies in Organisation for Economic Co-operation and Development (OECD) member countries before corporate tax rate cuts become effective. We consider such events to generate strong incentives for intertemporal cost shifting. We analyze the time...

This study explores whether the financial reporting quality of small firms differs between firms that outsource accounting tasks and firms that perform these tasks internally. Using accruals quality as a measure for the financial reporting quality and a sample of small Finnish limited liability...

The aim of this article is to investigate if small firms react to a national corporate tax rate reduction by managing their taxable income. In contrast to previous studies, we also analyze whether outsourcing of accounting tasks affects the magnitude of the reaction. Based on a sample of Finnish...

This study analyzes real earnings management among privately held versus publicly listed firms. Our first finding is that public firms engage in more earnings management through operating activities. When a clear incentive to manage earnings in a specific direction is present we continue to find...

Allocation of resources between different stakeholders is an ethical dilemma for the chief executive officer (CEO). In this study, we investigate the association between CEO power and workplace injuries and illnesses. We use an establishment-level dataset comprising 31,924 establishment-year...

In this study, we investigate how country-level long-term orientation affects managers' willingness to engage in earnings management and choice of earnings management strategy. Using a comprehensive dataset of 47 countries for the period from 2003 to 2015, we find that firms in longterm oriented...

This paper examines the effect of financial reporting frequency on cost management decisions during the COVID-19 outbreak in the first half of 2020, when firms had to make broad changes to their cost structures. Using the European setting, we find that quarterly reporters exhibit greater cost...

This study investigates whether and how the amount of firm-specific information incorporatedinto stock prices changes when there is more quarterly, rather than semi-annual, reporting inthe peer group. Using a sample of 33,338 European firm-year observations from 2004 to 2017,we find a...