Title: Effects of the specific characteristics of the CEO on accounting conservatism: a study in the US context

Authors: Jamel Chouaibi; Samira Chiekh

Addresses: Faculty of Economic Sciences and Management of Sfax, University of Sfax, Tunisia ' Faculty of Economic Sciences and Management of Sfax, University of Sfax, Tunisia

Abstract: Our research work investigated the effect of the specific characteristics of the chef executive officer (CEO) on accounting conservatism. Based on a sample of the 100 US firms for the year 2015, the main findings show that the manager's overconfidence has a negative and significant impact on the accounting conservatism of the companies. This shows that companies had better recruit over-confident executives since they would tend to present less conservative financial reports which would enhance the future profitability of the company. Similarly, the age of the leader has a negative and significant impact on accounting conservatism because younger leaders are more confident and more tolerant of risk than older ones. However, manager's experience has no effect on accounting conservatism.

Keywords: accounting conservatism; managerial overconfidence; behavioural characteristics; US context.

DOI: 10.1504/IJAUDIT.2017.091323

International Journal of Auditing Technology, 2017 Vol.3 No.4, pp.297 - 317

Received: 23 Dec 2017
Accepted: 16 Jan 2018
Published online: 24 Apr 2018 *

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