Skip to main content

Table 12 Governance indicators and REM models: system GMM estimation results

From: Impact of board of directors attributes on real-based earnings management: further evidence from Egypt

Variables

(1)

(2)

(3)

(4)

(5)

(6)

ABDCFO

ABDPROD

ABDDICX

RM1

RM2

RM3

L.BD

− 0.152***

0.255***

− 0.131***

0.319***

0.233***

0.463***

(0.015)

(0.072)

(0.009)

(0.031)

(0.010)

(0.020)

BRDSIZE

0.005***

− 0.004*

− 0.001

0.005**

0.001**

0.004**

(0.001)

(0.002)

(0.001)

(0.002)

(0.001)

(0.002)

BRDIND

− 0.013

− 0.045

0.060***

0.022*

− 0.006

− 0.068***

(0.030)

(0.027)

(0.009)

(0.012)

(0.008)

(0.010)

CEO duality

0.058***

− 0.031**

− 0.010**

0.017**

− 0.006**

− 0.025**

(0.017)

(0.014)

(0.004)

(0.008)

(0.003)

(0.011)

BRDMEET

− 0.006***

0.005***

0.001

0.004***

0.002***

0.006***

(0.001)

(0.001)

(0.001)

(0.001)

(0.000)

(0.001)

ROA

0.024

− 0.536**

0.129***

− 0.916***

− 0.092

− 0.636***

(0.118)

(0.221)

(0.048)

(0.230)

(0.078)

(0.173)

ROE

0.202***

0.177**

− 0.042**

0.056

− 0.263***

0.055

(0.043)

(0.083)

(0.020)

(0.115)

(0.039)

(0.100)

Liquidity

0.013***

0.003

0.000

− 0.006

− 0.013***

− 0.010***

(0.003)

(0.005)

(0.001)

(0.004)

(0.002)

(0.003)

Leverage

0.018

− 0.165***

− 0.009

− 0.189***

− 0.087***

− 0.317***

(0.042)

(0.048)

(0.008)

(0.041)

(0.023)

(0.030)

Gear

− 0.024***

0.057***

− 0.007***

0.073***

0.032***

0.109***

(0.009)

(0.011)

(0.003)

(0.014)

(0.008)

(0.013)

Firm size

0.047***

0.035**

− 0.007

− 0.092***

− 0.025***

− 0.071***

(0.016)

(0.016)

(0.005)

(0.015)

(0.007)

(0.012)

ASS.TAng

− 0.354***

0.087

0.022**

0.111***

− 0.043***

0.128***

(0.044)

(0.055)

(0.009)

(0.035)

(0.007)

(0.025)

OC

− 0.090***

0.099***

0.109***

0.143***

0.019**

0.103***

(0.018)

(0.027)

(0.012)

(0.014)

(0.007)

(0.010)

EMFLEx

0.127***

0.183***

− 0.045***

0.098***

0.031**

0.083***

(0.026)

(0.054)

(0.010)

(0.025)

(0.013)

(0.018)

Constant

0.312***

− 0.666***

− 0.515***

− 0.317***

− 0.001

− 0.163**

(0.095)

(0.159)

(0.067)

(0.078)

(0.025)

(0.072)

Observations

701

692

701

701

701

701

Number of firms

78

78

78

78

78

78

Number of instruments

60

62

59

75

76

78

AR2test (p-value)

0.226

0.172

0.262

0.316

0.458

0.687

Hansen test (p-value)

0.316

0.869

0.449

0.457

0.292

0.258

  1. *, **, and *** represent significance at the 1%, 5% and 10% levels, respectively.