Este estudo verifica a relação entre book-tax differences (BTD) Abstract This study aimed to investigate the relationship between book-tax differences (BTD) and earnings management in firms listed on the BM&F Bovespa. The final sample consisted of 485 observations (firm-year) and the analysis included the period from 2005 to 2009. Methodologically, two approaches were employed in this study: (i) frequency distribution and (ii) discretionary accruals -Modified Jones Model. The findings indicate a directly proportional relationship between BTD and discretionary accruals. There was evidence that the firms manage their earnings in the same direction of the observed signal of BTD, and seek to present the amount of BTD in level and variation around the breakeven and thus avoid a relationship with low earnings quality. Additionally, evidence indicate that the size of firm and the adoption of the tax basis transition are inversely related to the level of discretionary accruals. keywords Book-tax differences, earnings management, discretionary accruals, earnings quality, equity market. Resumen Este estudio verifica la relación entre book-tax differences (BTD) y gestión de resultados en compañías listadas en la

SUMMARY In this paper we use data inconsistencies as an indicator of financial distress. Traditional models for insolvency prediction normally ignore inconsistent data, either by removing or replacing it. Instead of removing that information, we propose a new variable to capture it; using it together with traditional accounting variables (based on financial ratios) for the purpose of insolvency prediction. Computational tests use three datasets based on the financial results of 2033 Brazilian Health Maintenance Organizations over 7 years (2001 to 2007). Sixteen classification methods were used to evaluate whether or not the new variable impacted solvency prediction. Tests show a statistically significant improvement in classification accuracy – average results improve 1.3 (p = 0.003) and 1.8 (p = 0.006) percentage points, for 10‐fold and leave‐one‐out cross‐validations respectively. In addition, the analysis of false positives and false negatives shows that the new variable reduces the potentially harmful misclassification of false negatives (i.e. financially distressed companies being classified as financially healthy) and also reduces the estimated overall error rate. Regarding the extensibility of the results, even though this work uses data from Brazilian companies only, the calculation of the financial ratios variables, as well as the inconsistencies, could be extended to most companies worldwide subject to governmental accounting regulations aligned with the International Financial Reporting Standards. Copyright © 2014 John Wiley & Sons, Ltd.

This paper examines whether external auditing minimizes the propensity for manipulation of accounting information (MAI) by health maintenance organizations (HMOs), with respect to financial information disclosed to the Brazilian Health Care Agency (ANS). The results of univariate and multivariate analyses and robustness tests indicated no statistically significant differences in the propensity to MAI between audited and unaudited financial reports in the analyzed information. The empirical regularities shown in this study provide useful insights to foreign regulators and international auditors. Our study sheds light on the effectiveness of the recent reporting and auditing regulations in Brazil, suggesting that – in regard to the HMO industry – auditing has not begun to play a more effective role yet.

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O presente estudo avalia o gerenciamento da informação contábil no mercado segurador brasileiro. Mais especificamente, analisa os determinantes da escolha do registro contábil do Custo de Comercialização Diferido, buscando responder a seguinte pergunta: as seguradoras fazem escolhas contábeis na classificação dos Custos de Aquisição Diferidos (CAD) para atingirem níveis mínimos de solvência. Tal classificação, está diretamente relacionada ao cálculo de indicadores de insolvência do setor. Desta forma, as seguradoras com baixos níveis de solvência teriam incentivo de fazer escolhas contábeis que influenciasse na manutenção dos seus indicadores, pelo menos, nos níveis mínimos exigidos pelo órgão regulador. Para realização da pesquisa foram utilizados dados do sistema de estatísticas do órgão regulador, e demonstrações financeiras das empresas do mercado de seguros nacional, no período de 2013 a 2015. Os resultados são consistentes com o fato de as seguradoras fazerem escolhas contábeis com objetivo de atingir indicadores mínimos de solvência.