he separation between control and ownership in the modern firm creates information asymmetry between managers and shareholders. The superior knowledge about the firm’s operations stimulates managers to manage financial information. We investigate which managers characteristics are more likely to positively influence earnings management practices. Specifically, we study whether the CEO’s age, education, expected tenure and duality of roles affects earnings management for a sample of listed Portuguese firms for the fiscal years 2005 to 2009. Results indicate that older CEOs, CEOs with management or finance background, and CEOs that also hold the position of Chairman of the board of directors are more prone to manage earnings.

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Corporate governance,CEO,Earnings management

• Economia e Gestão - Ciências Sociais