Earnings Attributes and Type of Earnings Management in the distressed and bankrupt firms

Business managers may better illustrate the financial position and performance، attempting to manipulate earnings by accruals، that this can affect the quality of earnings. Earnings quality in business decisions being considered by investors. Therefore، this study will review the Company''s financial distressed and bankrupt what type of earnings management (to increase personal benefits or to increase the company''s value) are used by. And the quality of earnings in these companies، what is happening. For this purpose، the relationship between four Earnings Attributes، include accruals quality، earnings persistence، earnings predictability، earnings smoothness and discretionary accruals as a proxy for earnings management، the future profitability for the 110 companies in Tehran Stock Exchange، using Altman adjusted model in three groups of healthy companies، financial distressed and bankrupt are divided over the years 1381 to 1389 were studied. Evidence suggests that earnings management in all three group companies bankrupt، distressed and healthy tends to be more opportunistic. In addition، the Earnings attributes type of earnings management do not contribute، and earnings management Performs better than Earnings attributes in predicting future profitability. Also، the quality of earnings in healthy companies، than distressed and bankrupt companies is higher.