The dilemma between ethics and reputation: evidence of earnings management following CEO pay cuts for women

Huang, Wan Yu; Liu, Wu-Po

doi:10.1080/13504851.2021.1922581

Cited by 4 publications

(2 citation statements)

References 16 publications

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“…Women's representation at the top executive level (CFO and CEO) is increasingly seen as a significant determinant in financial decision-making monitored by the board of commissioners (Baker et al, 2019;Jalan et al, 2020. CFO women show greater diligence and independence than men in various decision-making contexts (Li et p-ISSN 1412-775X e-ISSN 2541-5204 al., 2022) and show less overconfidence, thus promoting stricter ethical standards that can help manage ethical issues appropriately (Huang & Liu, 2022). Therefore, the presence of women in CFO positions can enhance the overall supervision of a company's financial information (Boachie & Mensah, 2022;Davis & Garcia-Cestona, 2021) so that female CFOs are less likely to encourage financial reporting fraud.…”

Section: Female Cfo and Financial Reporting Fraudmentioning

confidence: 99%

The Likelihood of Financial Reporting Fraud: Does the Gender of CEO, CFO, Board of Commissioners, and Audit Committee Matter?

Julianti,

Fuad

2023

Pusat Pengkajian dan Pengembangan Akuntansi

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The purpose of this study is to examine whether the presence of women in executive positions such as CEO, CFO, board of commissioners, and audit committee can reduce the occurrence of financial statement fraud. The sample was selected from manufacturing companies listed on the Indonesia Stock Exchange (IDX) from 2013 to 2022. The results of this study show that female CFOs and audit committees have a negative and significant influence. This indicates that the presence of women in the CFO position and the audit committee can reduce the occurrence of financial statement fraud in companies. This study offers a different perspective on the two-tier system of corporate governance in a developing country, namely Indonesia, about the impact of female CEO, CFO, board of commissioners, and audit committee on the occurrence of financial statement fraud. The practical implications of this research are first, the importance of promoting gender diversity of executives as a corporate governance mechanism. Second, it can provide recommendations or requirements for gender diversity as part of corporate governance mechanisms to create gender equality.

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Section: Female Cfo and Financial Reporting Fraudmentioning

confidence: 99%

The Likelihood of Financial Reporting Fraud: Does the Gender of CEO, CFO, Board of Commissioners, and Audit Committee Matter?

Julianti,

Fuad

2023

Pusat Pengkajian dan Pengembangan Akuntansi

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“…Some studies highlight that female representation on top executive teams (CFOs and CEOs) is increasingly viewed as a significant determinant of the monitoring management in acute agency settings (Baker et al , 2019; Jiang et al , 2010; Peni and Vähämaa, 2010; Jalan et al , 2020). Female CFOs show greater diligence and independence than men in various decision-making contexts (Li et al , 2022) and exhibit less overconfidence or aggression, promoting stricter ethical standards that can help manage ethical issues in an appropriate way (Huang and Liu, 2022). Fan et al (2019) examine how women on committees influence bank earnings management.…”

Section: Theoretical Framework and Hypothesis Developmentmentioning

confidence: 99%

Are female CFOs more ethical to the occurrences of financial reporting fraud? Theoretical and empirical evidence from cross-listed firms in the US

Maulidi

Shonhadji²,

Fachruzzaman³

et al. 2022

JFC

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Purpose The purpose of this study is to examine whether female chief financial officers (CFOs) are associated with the occurrences of financial reporting fraud. This study offers new theoretical and empirical evidence on whether firms with more female CFOs are more (less) likely to engage in financial reporting fraud. Design/methodology/approach This study is based on a sample of US-listed firms from 2011 to 2021. The authors speculate that female CFOs play a weaker role in the occurrences of financial reporting fraud. So, firms with a proportional number of female CFOs should be less likely to commit financial reporting fraud. Findings The data provide support for the predictions of this study. This study suggests a negative and significant association between the dummy variables for female CFOs and the occurrences of financial reporting fraud. The authors find that this association is contingent on governance mechanisms [e.g. ownership structure, politically connected CEOs and firms' conditions that do (or do not) invest in a gender-diverse board]. Originality/value This study offers different perspectives on the impact of female CFOs on the occurrences of financial reporting fraud. The results of this study are distinguishable from prior studies. This study moves the analytical focus from the macro level (gender diversity or female corporate leaders) to the micro level (female CFOs) to understand firms' propensity to commit financial reporting fraud. Additionally, this study is based on factual financial reporting fraud cases, considering the US firms' fraud characteristics.

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Economic consequences of tax director departure

Liu

2022

Applied Economics Letters

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The dilemma between ethics and reputation: evidence of earnings management following CEO pay cuts for women

Cited by 4 publications

References 16 publications

The Likelihood of Financial Reporting Fraud: Does the Gender of CEO, CFO, Board of Commissioners, and Audit Committee Matter?

The Likelihood of Financial Reporting Fraud: Does the Gender of CEO, CFO, Board of Commissioners, and Audit Committee Matter?

Are female CFOs more ethical to the occurrences of financial reporting fraud? Theoretical and empirical evidence from cross-listed firms in the US

Economic consequences of tax director departure

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