摘要
There are three ways to manage earnings, namely, accruals earnings management, real activities manipulation, and shifting of core expense. The famous methods to manage earnings are accruals earnings management and real activities manipulation. Usually, real activities manipulation is conducted on the going period. The action will increase the loss for the firms at the end of the period. To avoid the loss, managers will manage earnings through accruals （discretionary accruals）. Therefore, the objective of this study is to investigate whether real activities manipulation positively influences accruals earnings management. To investigate the issue, this study collected data from Indonesia Stock Exchange （IDX）. Samples of this study are the manufacturing companies. There are 196 firms from the year 2003 to 2007. The results of this study support the research hypothesis that real activities manipulation positively influences accruals earnings management. The higher the real activities manipulation effects, the higher the accruals earnings management at the end of the period.There are three ways to manage earnings, namely, accruals earnings management, real activities manipulation, and shifting of core expense. The famous methods to manage earnings are accruals earnings management and real activities manipulation. Usually, real activities manipulation is conducted on the going period. The action will increase the loss for the firms at the end of the period. To avoid the loss, managers will manage earnings through accruals （discretionary accruals）. Therefore, the objective of this study is to investigate whether real activities manipulation positively influences accruals earnings management. To investigate the issue, this study collected data from Indonesia Stock Exchange （IDX）. Samples of this study are the manufacturing companies. There are 196 firms from the year 2003 to 2007. The results of this study support the research hypothesis that real activities manipulation positively influences accruals earnings management. The higher the real activities manipulation effects, the higher the accruals earnings management at the end of the period.
