تأثير ضوابط تشكيل لجان المراجعة في الحد من ممارسات إدارة الأرباح : دراسة تطبيقية على المصارف الفلسطينية المساهمة العامة

Abstract EN

The study aims to identify the effect of Audit Committees formation controls proxy by (Independence of the Audit Committee, Rights and duties, Experience of Audit, Committee Members, Disclosure of the Audit Committee) on reducing earnings management practices, In addition to investigate the existence of earnings management practices of Palestinian banks Public Shareholding listed in Palestine exchange (PEX).

Some boards of companies approach the earnings management practices through the influence of the measurement processes and accounting disclosure that serves their interests, taking advantage of the flexibility in the international accounting standards to choose between the methods and policies of the accounting alternatives.

To achieve the objectives of the study the researcher used Jones amended model (Jones, 1991), (Dechow, et al., 1995-1996), which focuses on measuring the total accruals for the measurement of earnings management practices, also been used a group of control variables.

The sample of the study consisted of all public shareholding banks, which are about (6) banks, throughout the years 2014-2016.

Also, a questionnaire was designed and distributed to financial departments in banks.

The results of the study revealed that public shareholding banks have been exercising earnings management during the years of the study, also there are varying effects of the audit committees formation controls on reducing profit management practices, and that there are effect of (the ratio of financial leverage, and the size of the banks) on the earnings Management Practices of banks.

The researcher offered a number of recommendations among which banks should pay attention to the audit committees formation controls, as these controls have an effect on reducing the use of discretionary by managements.

Also, the study recommended the need for encouraging Palestinian auditing firms to deal with international audit firms, which have the resources, capabilities, reputation, and adheres to strict standards of quality.