K－IFRS 도입 후 외국인 투자와 회계이익의 질

This study analyzed the relationship between the quality of accounting earnings and foreign investors in association with the adoption of K－IFRS. Compared to the fiscal year 2010 before the adoption thereof, the first K－IFRS adoption year 2011 and 2014 were analyzed by selecting groups which increased or decreased their foreign investment in them. The quality of accounting earnings were measured in terms of the discretionary accruals from the viewpoint of earnings management, and to assess the earnings management direction and size, the discretionary accruals value and absolute value were used. The foreign investment amount was measured in terms of the share of foreign investors－held common stocks. The quality improvement effects of accounting earnings in association with the adoption of KIFRS would be greater with companies with increased foreign investment in them, than those with reduced foreign investment in them. The result of such analysis turned out to be different from the expectation；there is a significant positive relationship between those companies where, compared to before the adoption of K－IFRS, the foreign investment rate increased, and the discretionary accruals value. Those companies － which saw the rate of foreign investment in them increase after the adoption of K－IFRS － had significantly high earnings management of CEOs. This suggests that foreign investors do not put more trust on the accounting information associated with the adoption of K－IFRS, leading K－IFRS to fail to serve as an effective external watcher for the invested companies’ business activities.