이익조정과 최고경영자 교체에 따른 주가반응

This study examines the relationship between stock return and the level of earnings management at the end of the fiscal year prior to CEO turnover. We collected 130 CEO changes data over 2000-2005 periods from Korean listed companies, then firms are classified into four quartiles baesd on the level of performance-matched discretionary accruals developed by Kothari et al.(2005). This study is conducted using a standard event study methodology and multiple regression analysis. The empirical findings are summarized as follows: First, we document that subsample of most aggressive (unusually high accruals) quartile exhibit significant positive cumulative average abnormal return(CAR). These CAR(AD-30~AD- 16) is 7.04%(t=2.11) which is significantly different from zero at 0.05 level. Whereas subsample of most conservative (unusually low accruals) quartile exhibit significant negative cumulative average abnormal return(CAR). These CAR(AD-30~AD-12) is –8.83%(t=-2.38) which is significantly different from zero at 0.05 level. Second, using multiple regression analysis, we find evidence that there is a positive relationship between stock return and the level of earnings management at the end of the fiscal year prior to CEO turnover. This result suggests that high accruals at the end of the fiscal year prior to CEO turnover conveys good news to the market.