THE RIGHT PERSON AT THE RIGHT TIME: AUDIT COMMITTEE MEMBERS AND THE QUALITY OF FINANCIAL INFORMATION

We analyze some personal characteristics of the members of the audit committee of the Spanish listed firms and the relation between these characteristics and earnings management. We find a non-linear relation with tenure, so that long tenures can initially compromise the directors’ independence bu...

Full description

Saved in:
Bibliographic Details
Format: Article
Language:English
Published: Universidade de Santiago de Compostela 2018-06-01
Series:Revista Galega de Economía
Online Access:https://ojs3usc.devxercode.es/index.php/ubr/article/view/3143
Tags: Add Tag
No Tags, Be the first to tag this record!
_version_ 1850206683970666496
collection DOAJ
description We analyze some personal characteristics of the members of the audit committee of the Spanish listed firms and the relation between these characteristics and earnings management. We find a non-linear relation with tenure, so that long tenures can initially compromise the directors’ independence but, after a given threshold, longer tenures improve the expertise of the members. Serving in too many boards has a negative influence on the ability of directors to detect earnings management, and higher academic background and more diverse professional background improve the directors’ abilities.
format Article
id doaj-art-b234e18652a340b8a4e7a36447a2ebb2
institution OA Journals
issn 1132-2799
2255-5951
language English
publishDate 2018-06-01
publisher Universidade de Santiago de Compostela
record_format Article
series Revista Galega de Economía
spelling doaj-art-b234e18652a340b8a4e7a36447a2ebb22025-08-20T02:10:42ZengUniversidade de Santiago de CompostelaRevista Galega de Economía1132-27992255-59512018-06-015810.3232/UBR.2018.V15.N2.01THE RIGHT PERSON AT THE RIGHT TIME: AUDIT COMMITTEE MEMBERS AND THE QUALITY OF FINANCIAL INFORMATIONWe analyze some personal characteristics of the members of the audit committee of the Spanish listed firms and the relation between these characteristics and earnings management. We find a non-linear relation with tenure, so that long tenures can initially compromise the directors’ independence but, after a given threshold, longer tenures improve the expertise of the members. Serving in too many boards has a negative influence on the ability of directors to detect earnings management, and higher academic background and more diverse professional background improve the directors’ abilities.https://ojs3usc.devxercode.es/index.php/ubr/article/view/3143
spellingShingle THE RIGHT PERSON AT THE RIGHT TIME: AUDIT COMMITTEE MEMBERS AND THE QUALITY OF FINANCIAL INFORMATION
Revista Galega de Economía
title THE RIGHT PERSON AT THE RIGHT TIME: AUDIT COMMITTEE MEMBERS AND THE QUALITY OF FINANCIAL INFORMATION
title_full THE RIGHT PERSON AT THE RIGHT TIME: AUDIT COMMITTEE MEMBERS AND THE QUALITY OF FINANCIAL INFORMATION
title_fullStr THE RIGHT PERSON AT THE RIGHT TIME: AUDIT COMMITTEE MEMBERS AND THE QUALITY OF FINANCIAL INFORMATION
title_full_unstemmed THE RIGHT PERSON AT THE RIGHT TIME: AUDIT COMMITTEE MEMBERS AND THE QUALITY OF FINANCIAL INFORMATION
title_short THE RIGHT PERSON AT THE RIGHT TIME: AUDIT COMMITTEE MEMBERS AND THE QUALITY OF FINANCIAL INFORMATION
title_sort right person at the right time audit committee members and the quality of financial information
url https://ojs3usc.devxercode.es/index.php/ubr/article/view/3143