M.A. Thesis:

Leverage٫liquidity and ernings and capital management

In this research, we investigate impact of financial leverage and cash flow volatilities on earnings management on inventory ternover in days . Statistical population of this research consists of firms accepted at Tehran stock exchange during 1390 till 1394. This research consists of two independent variable (financial leverage and cash flow volatilities),and two dependent variable (earnings management and inventory ternover in days) and control variables. In first hypothesis impact of financial leverage on earnings management is investigated, and in second hypothesis impact of cash flows volatilities on earnings management is studied. Information is collected through library and field methods. This research is practical in point of goal and descriptive in point of method. Result of test show that first and secend hypothesis is rejected but third and fourth hypothesis is confirmed. As whole, results of testing research hypothesis represent that earnings management level in firms that always have high financial leverage degree hasn’t significant difference with firms that financial leverage gradually increase in them. Other results of research show that firms cash flow volatilities are effective factor in managers opportunistic behaviors level that is affected earnings management level. About testing control variable can express that there isn’t significant relationship between beneficiary index, sell and firm market value index variables with earnings management. But, there is positive and significant relationship between firm size and amount of arbitrary accruals.

Keywords: Inventory ternover in days, Discretionary accruls, Leverage