Impact of earnings management on bankruptcy prediction

Research background: Managers of the companies intentionally manipulate business earnings to achieve required status company. Earnings management is a legal and widely preferred phenomenon finance that financial managers use maintain improve company´s competitiveness. The consequence these activities provide positive view for owners, encourage profitability creditor investors as well demonstrate economic strengths competitors. Consequently, lead modification statements companies, which have direct impact on prediction ability bankruptcy models. Purpose article: main goal paper point out in possibility prediction. There correlation between application followed by changes companies. Therefore, models predict possible problems company questionable. Methods: presents connection its based bibliometric overview deep literature review. Findings & Value added: results, connections