EARNINGS AND CASH FLOW PERFORMANCES
SURROUNDING IPO
Abstract
Initial public offerings (IPOs)
offer a fruitful area to be explored given the existence of asymmetric
information among various parties interested in the IPO. This study attempts to
examine whether there is significant increase in earnings level prior to the
offering to be interpreted as the existence of earnings management. The
behaviour of cash flow from operation is also examined.
A sample of 35 Indonesian IPOs that
made public during 2002-2005 periods was examined. The t-test for mean
difference was performed to test whether earnings differences persist. The
findings show that earnings level tends increase in the year closes to the IPO
date, but decrease in the next two year after that. The behaviour of cash flow
from operating activities is almost similar. However, this study is unable to
state that earnings management is strongly evidenced in Indonesian IPO setting.
Lebih lengkapnya bisa ada download disini. terimaasih janan lupa tinggalkan komentar ya :D
Posting Komentar
Posting Komentar