Thesis:

Investigating moderating effect of corporate governance on the relationship between Earnings quality and financial flexibility

Currently, financial flexibility and factors affecting it have become one of the important issues and variables in companies. Also, following the recent scandals of the companies, a new attitude towards the quality of profits has emerged. The purpose of this research is to investigate the moderating effect of corporate governance on the relationship between profit quality and financial flexibility. In this regard, two hypotheses were proposed, and research hypotheses were tested based on a statistical sample consisting of 103 companies during the years 2018-2022 and using multivariable regression models. Relevant statistical tests including Flimer's test, Hausman's test, variance heterogeneity verification tests and collinearity test were performed and then the output results of the regression model were presented and the results were analyzed. The research results show that there is a positive and significant relationship between profit quality and financial flexibility, and corporate governance strengthens the relationship between profit quality and financial flexibility. The results show that corporate governance increases the financial flexibility and liquidity management of companies by reducing profit management.

Keywords: : Corporate governance, Characteristics of the board of directors, Earning quality, Financial flexib