The effects of firm’s Characteristics on earnings management for listed Firms in Tehran Stock Exchange

The purpose of this research is to investigate the effect of ownership structure and firm performance on earnings management for companies in Tehran Stock Exchange. Considering the difference in ownership and its role in monitoring and controlling, as well as evaluating the performance of management, in this research the different dimensions and structure of ownership have been investigated. Using the 1040 firm-year observation between 2009 and 2014, the relationship between earning management and various types of ownership such as institutional ownership, corporate ownership, family ownership and foreign ones have been examined. The results show that there is a positive and significant relationship between corporate ownership and Earning management. Also, there is a negative and significant relationship between foreign ownership and in earnings management although there is a less ownership than other shareholders , which indicates that the presence of an external shareholder has had a significant effect on reducing earning manipulation activities by management.