Study on Manipulation of Cash Flow from Operation in IPO Company——Evidence from Chinese A-share Market

DOI

10.2991/icaiees-13.2013.25How to use a DOI?

Keywords

IPO, CFO, Manipulation, Match motivation, Supervision motivation

Abstract

This paper adopts Roychowdhury’s models of predicting the cash flow from operation(CFO), takes IPO Company in 2002-2011 year as the study sample, and carries out empirical study on the manipulation of CFO in IPO Company 1 year before issue year, issue year and 1 year after issue year. This paper finds that IPO Company has the remarkable upward CFO manipulation in the 1 year before issue year, and the degree of manipulation will notably drop later; When the motivations of manipulation of CFO is further examined, it can be found that IPO Company that manipulate the CFO is mainly to enhance the quality of earning so as to cover Earning Management.

Copyright

© 2013, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Zhaonian Chi
AU  - Shengdao Gan
PY  - 2013/12
DA  - 2013/12
TI  - Study on Manipulation of Cash Flow from Operation in IPO Company——Evidence from Chinese A-share Market
BT  - Proceedings of the 2013 International Conference on Advanced Information Engineering and Education Science (ICAIEES 2013)
PB  - Atlantis Press
SP  - 87
EP  - 90
SN  - 1951-6851
UR  - https://doi.org/10.2991/icaiees-13.2013.25
DO  - 10.2991/icaiees-13.2013.25
ID  - Chi2013/12
ER  -