It is argued that decision to revalue fixed assets is backed by various management motives which also include debt contracting, earning management etc. I hypothesize a relationship between the managements’ decision to revalue fixed assets and the quality of corporate governance of firms? Please share your thoughts and leanings/experience.
Not certain that I see this link but it may be worth investigating if you can measure the variables. Few companies revalue fixed assets so you may have difficulty in collecting a large enough sample.
Probably some of the non-current assets revaluations are driven by management incentives. Following are a few articles that suggested non-current assets revaluations are motivated by management incentives and other factors.
https://researcharchive.lincoln.ac.nz/bitstream/handle/10182/1555/Tay_MCM.pdf?sequence=3
http://www.observatorioifrs.cl/archivos/05%20-%20Bibliograf%EDa/08%20-%20INF/BINF-005.pdf
https://ourarchive.otago.ac.nz/bitstream/handle/10523/1606/Seng_Fixed_Asset_Revaluations_-__submit_to_Illinoi.pdf
https://www.google.com/url?sa=t&rct=j&q=&esrc=s&source=web&cd=12&cad=rja&uact=8&ved=0ahUKEwj48rGttrvLAhXKGY4KHejtCFkQFghPMAs&url=http%3A%2F%2Fhrcak.srce.hr%2Ffile%2F142174&usg=AFQjCNHUulqMEsPL47yuHJzpRzhDd6hYIg
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