ABSTRACT
This chapter presents the findings of empirical research carried out with the use of financial statements of public companies as the main source of data. It discusses the purpose of the research conducted, formulates the research hypotheses, and presents the selection of the research sample, which varied according to the measure of the quality of earnings, i.e.: accrual adjustments, persistence, predictability, and income smoothing. It also describes models used in the statistical analysis that were applied to test and verify the main hypothesis and four specific hypotheses. The most important findings of research conducted using a cross-sectional regression analysis are presented as well. The results of the analysis were used to verify the hypotheses proposed. The research results were contrasted with similar studies discussed in the global literature on the subject.
