Renneboog, Luc; Mao, Y. - Tilburg University, Center for Economic Research - 2013
manipulation. Our evidence implies that the (ex ante) perceived likelihood that an MBO will be undertaken has a strong significant … companies, negative earnings manipulation (understating the earnings prior to the deal) often occurs, both by means of accrual … manipulation than leveraged buyouts (LBOs). In non-buyout firms, positive earnings management frequently occurs because it affects …