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Article

The right person at the right time: Audit committee members and the quality of financial information.

Universia Business Review. 2018. No. 58. P. 18-35.
Félix J. López Iturriaga, Zarza Herranz C., Reguera-Alvarado N.

We analyze some personal characteristics of the members of the audit committee of the Spanish listed firms and the relation between these characteristics and earnings management. We find a non-linear relation with tenure, so that long tenures can initially compromise the directors' independence but, after a given threshold, longer tenures improve the expertise of the members. Serving in too many boards has a negative influence on the ability of directors to detect earnings management, and higher academic background and more diverse professional background improve the directors' abilities.