PhD Thesis, Golden Gate University.
ISSN/ISBN: 9781267865069 DOI: Not available at this time.
Abstract: The purpose of this study is to test whether the different structures of stock market individual-and institutional-based markets) affect the volatility of trading volume and earnings management by the application of Benfords Law. The results of this study are as followings: First,the structure of stock market does affect the volatility of trading volume. The volatility of the trading volume of institutional-based stock market U.S. stock market) is greater than that of the individual-based stock market Taiwan stock market). Second,the structures of stock market do not affect the existence of earnings management. In other words,earnings management is a general phenomenon. For the U.S. stock market,results show that the companies listed on NYSE do not manipulate their earnings by either accrual-based earnings management or real earnings management,while the companies listed on NASDAQ Index do manage their earnings by both accrual-based earnings management and real earnings management. For the Taiwan stock market,results show that the companies listed on TSEC Index manage their earnings by only real earnings management,whereas the companies listed on OTC Index manage their earnings by both accrual-based earnings management manage only positive income numbers) and real earnings management. In addition,the results also show that the rounding behavior of second digits exists in only income numbers.
Bibtex:
@phdThesis{,
AUTHOR = {Chun-Kai Weng},
TITLE = {An Application of Benford's Law in Trading Volume and Accounting Numbers: A Comparison between the U.S. and Taiwan Stock Markets},
SCHOOL = {Golden Gate University},
YEAR = {2012},
}
Reference Type: Thesis
Subject Area(s): Accounting