Problem directors on the audit committee and financial reporting quality

摘要: The objective of this paper is to examine empirically the consequences for financial reporting quality having audit committees that include problem directors, is, directors with prior involvement in corporate bankruptcies, major accounting restatements, or other scandals. An ordinary least squares regression model used association between on committee and as proxied by accruals real earnings management. Results reveal there a positive presence management, more pronounced cases where those have been involved instances restatements fraudulent practices.