Management Interpretive Report and Earnings Management: the role of female managers

Abstract

One of the reports that companies are required to publish at the discretion of the Securities and Exchange Organization is the management interpretive report. Therefore, in this research, the relation between the presentation of management interpretative reports by companies and earnings management has been investigated. Also, considering the importance of the role of women in improving the financial reporting of companies, the effect of the presence of women in the board of directors on the aforementioned relation has been investigated. The statistical population of this research is the companies listed in the Tehran Stock Exchange and the Iranian Fara burse during the years 2011 to 2022. The hypotheses of this research have been tested using linear regression. The results of the research showed that the provision of interpretative management reports by companies has reduced earnings management. Also, the decrease in earnings management is more among companies that have used the presence of women among their board members.

Keywords

• female managers
• management interpretive report
• earnings management