Does Morocco need governance reforms ? evidence of earnings management at the Casablanca stock exchange

Dissertant

Hardumi, Zaynab

University

Al Akhawayn University

Faculty

The School of Business Administration

University Country

Morocco

Degree

Master

Degree Date

2008

English Abstract

This paper attempts to examine whether Moroccan firms disclose their information properly or not.

Using annual estimates of discretionary accruals, we document that Moroccan firms significantly managed their earnings during the sample period between 2001 and 2006.

Our results show that earnings management significantly increased during the later part of our sample period, i.e.

during 2005 and 2006 when the market was booming.

We also attempt to show whether earnings management practices are related to factors such as size of the firm, industry in which it operates in, accounting standards, and foreign ownership.

Our results show that foreign owned firms disclose information significantly better than the local owned firms.

We also show that earnings management practices were significant in almost all industrial sectors.

All of these finding point towards relatively poor information disclosure standards as well as lax regulatory environment in Morocco.

We, therefore, propose that regulatory authorities should improve their monitoring of the Moroccan firms in order to improve disclosure practices

Main Subjects

Business Administration

No. of Pages

26

Table of Contents

• APA
• MLA
• AMA

Language

English

Data Type

Arab Theses

Record ID

BIM-628291