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Table 1: Operational definitions of variables The main purpose of this research study was to examine the impact of board characteristics and AC characteristics on accruals EM and real EM in the presence of control variables i.e. firm size, leverage and profitability. For this purpose data was collected from the 235 non-financial firms listed on Pakistan Stock Exchange (PSX). Census sampling technique was used to collect the data form the selected companies. Data was collected from year 2008 tc 2015. Panel data technique was used in this study because the nature of data involve both the time series and cross sectional properties. As the panel data covers the heterogeneity of cross sectional by analyzing the individual firm anc also eases the risk of co linearity and biasness among the variables. This study keeping in view the nature of dat (balanced panel) used fixed effect method to estimate panel regression equation. This study consists of total twelve variables out of the, two i.e. accrual EM and real EM as represented by abnormal accruals and abnormal operating cash flows are dependent variables, board size, board independence, CEO duality, board activity, AC size, AC independence and AC activity are the independent variables. The three control variables 1.e. firm size, leverage anc profitability are the controlled variables. Table 1 provide the operational definitions of these variables.

Table 1 Operational definitions of variables The main purpose of this research study was to examine the impact of board characteristics and AC characteristics on accruals EM and real EM in the presence of control variables i.e. firm size, leverage and profitability. For this purpose data was collected from the 235 non-financial firms listed on Pakistan Stock Exchange (PSX). Census sampling technique was used to collect the data form the selected companies. Data was collected from year 2008 tc 2015. Panel data technique was used in this study because the nature of data involve both the time series and cross sectional properties. As the panel data covers the heterogeneity of cross sectional by analyzing the individual firm anc also eases the risk of co linearity and biasness among the variables. This study keeping in view the nature of dat (balanced panel) used fixed effect method to estimate panel regression equation. This study consists of total twelve variables out of the, two i.e. accrual EM and real EM as represented by abnormal accruals and abnormal operating cash flows are dependent variables, board size, board independence, CEO duality, board activity, AC size, AC independence and AC activity are the independent variables. The three control variables 1.e. firm size, leverage anc profitability are the controlled variables. Table 1 provide the operational definitions of these variables.

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ABAC = Abnormal Accruals, ABOCF = Abnormal Operating Cash Flows, BDS = Board Size, BDIND = Board Independence, CEODUAL = CEO Duality, BDA = Board Activity, ACS = Audit Committee Size, ACIND = Audit Committee Independence, ACA = Audit Committee Activity, FSIZE = Firm Size, LEV = Leverage, ROA = Profitability Table 2: Descriptive statistics Table 2 shows the results for descriptive statistics of all the variables. The descriptive statistics depicts the mean, minimum, maximum, and standard deviation of all the variables which have been taken under study. Abnormal accruals (ABAC) varies from -0.818 to 1.898, with a mean value of 0.075 and standard deviation of 0.306 respectively. The mean value of abnormal operating cash flows (ABOCF) is -0.042, ranging from -1.817 to 1.361 with a standard deviation of 0.235. Board size of a firm (BDS) varies from 6.000 to 15.000 with a mean value
ABAC = Abnormal Accruals, ABOCF = Abnormal Operating Cash Flows, BDS = Board Size, BDIND = Board Independence, CEODUAL = CEO Duality, BDA = Board Activity, ACS = Audit Committee Size, ACIND = Audit Committee Independence, ACA = Audit Committee Activity, FSIZE = Firm Size, LEV = Leverage, ROA = Profitability Table 2: Descriptive statistics Table 2 shows the results for descriptive statistics of all the variables. The descriptive statistics depicts the mean, minimum, maximum, and standard deviation of all the variables which have been taken under study. Abnormal accruals (ABAC) varies from -0.818 to 1.898, with a mean value of 0.075 and standard deviation of 0.306 respectively. The mean value of abnormal operating cash flows (ABOCF) is -0.042, ranging from -1.817 to 1.361 with a standard deviation of 0.235. Board size of a firm (BDS) varies from 6.000 to 15.000 with a mean value
The p-values shown in parentheses i.e. ***, **, and * denotes significance at 1%, 5% and 10% levels, respectively. Table 6: Fixed Effect Result of Accruals Earnings Management
The p-values shown in parentheses i.e. ***, **, and * denotes significance at 1%, 5% and 10% levels, respectively. Table 6: Fixed Effect Result of Accruals Earnings Management
Table 7. Fixed Effect Result of Real Earnings Management
Table 7. Fixed Effect Result of Real Earnings Management
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