이익조정이 신용평가에 미치는 영향

In the viewpoints that accounting earnings play important roles in the fund acquisition and firm valuation, they are useful on the credit rating. And given the results of prior studies there are Korean firms that could utilize discretionary accruals as an earning management. The purpose of this study is to examine the relationship between earnings management and the quality of credit rating. The sample of the study consists of 136 observations(upgrade 69, downgrade 67) drawn from credit rating agency A from the period of September 1998 to December 2000. And 5,607 comparison firms are used to compute discretionary accruals of sample firms. The empirical results show that several financial factors are associated with respective CP's credit rating changes. First, the firms with the greater discretionary accruals tend to be evaluated higher in the credit rating. Second, the higher is the increased ratio of cash flow(operating income + depreciation expense) and rate of net income(incomes/sales) of the firms the larger are rating changes. Third, the firms in the biggest 10 affiliated companies by the Fair Trade Commission negatively respond to rating changes. Finally, the firms with higher ratio of debt increase and higher leverage negatively respond to rating changes. Implications of this study include the following: these facts suggest that in the process of credit rating it is required to test the quality of information resource such as the accounting earnings. It is also called for in the development of credit rating model that reflects these results.