The Choice between Accrual and Real Earnings Management pre and post IPO of the VC-backed Companies

DOI

10.2991/mmetss-16.2017.26How to use a DOI?

Keywords

Venture capital; Earnings management; IPO

Abstract

This paper mainly investigates the characteristic of earnings management pre and post IPO of the VC-backed companies from 2002 to 2014, based on accrual earnings management and real earnings management. The study finds that the VC-backed companies present more accrual and real earnings management than non VC-backed companies in the year before IPO and the main purpose is to promote the IPO. The VC-backed companies present more real earnings management than non VC-backed companies in the year of IPO and the main purpose is to facilitate the withdrawal through selling shares. The VC-backed companies don't present more accrual or real earnings management than non VC-backed companies in the yaer after IPO.

Copyright

© 2017, 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/).

Download article (PDF)

TY  - CONF
AU  - Dongxiang Lin
PY  - 2017/02
DA  - 2017/02
TI  - The Choice between Accrual and Real Earnings Management pre and post IPO of the VC-backed Companies
BT  - Proceedings of the 2016 International Conference on Modern Management, Education Technology, and Social Science (MMETSS 2016)
PB  - Atlantis Press
SP  - 141
EP  - 149
SN  - 2352-5398
UR  - https://doi.org/10.2991/mmetss-16.2017.26
DO  - 10.2991/mmetss-16.2017.26
ID  - Lin2017/02
ER  -