CSV와 EVA의 차이와 이익조정의 관련성에 관한 연구

The main objective of this study is to test whether EVA-market value difference measures detect earnings management. EVA(Economic Value Added) has characteristics that are the intrinsic market value of a company, as well as financially oriented attribute at the same time. In order to proceed with empirical analyses, EVA is used as an accounting value. CSV(Created Shareholder Value) are used as market value. This study assesses the discriminant ability of CSV-EVA differences measures for detecting earnings management. Results of this study can be summarized as follows : The first analysis examines the relationship between CSV-EVA difference and discretionary accruals. It is tested whether CSV-EVA difference and discretionary accruals are positively related. The result for CSV-EVA difference shows a weakly significant relationship with discretionary accruals. The second analysis examines whether CSV-EVA differences measures have a discriminatory ability to detect companies with managed earnings. Distribution of net incomes and changes in reporting earnings standardizes with beginning assets were analyzed to identify incentives of earnings management through avoidance of reporting losses and intentional reporting of profit increase as analyzed by Burgstahler and Dichev(1997) and In-Man Song(2004), etc. The results reveal that CSV-EVA difference measures are useful in detecting earnings management, along with the operating cash flows and discretionary accruals. This study verified that a measure of CSV-EVA differences has additional explanatory power for detecting companies with managed earnings and expanded the range of researches concerned with the course of recent earnings management.