WYKORZYSTANIE OCENY SCORINGOWEJ W OCENIE JAKOŚCI WYNIKU FINANSOWEGO PRZEDSIĘBIORSTW
THE USE OF THE SCORING METHOD IN THE ASSESSMENT OF EARNINGS QUALITY OF ENTERPRISES

Summary/Abstract: Purpose – The main objective of the paper is establishing the characteristics of the Q-Test and EQ-Score measures as alternative tools for assessing the earnings quality of public companies.Research method – The estimation of the earnings quality was prepared basing on the analytical formulas of Putman et al., and Gullet et al. models. The exemplification research studies were conducted for public companies classified in the WIG-DIV index of the Warsaw Stock Exchange in 2016–2020.Results – There are positive relationships of medium strength between the calculat- ed values of the Q-Test and EQ-Score indicators. In the analyzed research sample, the average values of the Q-Test indicators were generally higher than the average values of the EQ-Score indicators and were characterized by a greater degree of dispersion. The EQ-Score is statistically significantly correlated with the discretionary accruals separated using the Jones and Kasznik models, which indicates its potential for predicting the earnings management phenomenon.Originality/value/implications/recommendations – The study is the first example of empirical verification of the usefulness of the Q-Test and EQ-Score models in assessing the quality of the financial results of public companies operating on the Polish capital market.

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