scholarly journals The Impact of Corporate Governance on Financial Reporting Quality: Evidence from Pakistan

2020 ◽  
Keyword(s):  
Corporate Governance ◽  
Financial Reporting ◽  
Reporting Quality ◽  
Financial Reporting Quality ◽  
The Impact ◽  
Quality Evidence

scholarly journals The Impact of Audit Committee Performance and Composition on Financial Reporting Quality in Jordan

2021 ◽  
Vol 12 (3) ◽  
pp. 55
Author(s):  
Qasim Ahmad Alawaqleh ◽  
Nashat Almasri
Keyword(s):  
Corporate Governance ◽  
Financial Reporting ◽  
Audit Committee ◽  
Work Performance ◽  
Stock Exchange ◽  
Internal Audit ◽  
Reporting Quality ◽  
Financial Reporting Quality ◽  
Governance System ◽  
The Impact

The corporate governance literature indicates efforts to investigate the role of the audit committee (AC) in improving the financial reporting quality (FRQ) after the emergence of financial scandals in many countries in the world, inclusive Jordan. To date, empirical findings are inconclusive enough to address all audit committee characteristics regarding its competency and responsibilities by employing a questionnaire to collect data about this relationship. Thus, this study measures the correlation between AC (performance and composition) and FRQ of manufacturing corporations registered on the Amman Stock Exchange (ASE). To test this impact empirically, the target population was financial managers, audit committee members, and internal audit managers who are working in manufacturing corporations listed on the (ASE). According to the coefficient (β), the independent variables (Audit Committee Performance and Audit Committee Composition influence the dependent variable FRQ. This research recommends that firms enhance the audit committee work performance and composition to ensure audit committee members effectively enhance the FRQ audit committee is a vital mechanism of the firm's corporate governance system.

scholarly journals Impact of corporate governance mechanisms on financial reporting quality: a study of Indian GAAP and Indian Accounting Standards

2020 ◽  
Vol 18 (4) ◽  
pp. 1-13
Author(s):  
Faozi A. Almaqtari ◽  
Abdulwahid Abdullah Hashed ◽  
Mohd Shamim ◽  
Waleed M. Al-ahdal
Keyword(s):  
Corporate Governance ◽  
Financial Reporting ◽  
Audit Committee ◽  
Audit Quality ◽  
Accounting Standards ◽  
Reporting Quality ◽  
Financial Reporting Quality ◽  
Governance Mechanisms ◽  
Corporate Governance Mechanisms ◽  
The Impact

The present study examines the impact of corporate governance mechanisms on financial reporting quality under Indian GAAP and Indian Accounting Standards (Ind. AS). A sample of 97 companies listed on the Bombay Stock Exchange is selected. Corporate governance mechanisms have been considered as independent variables, and financial reporting quality is the dependent variable. Corporate governance is measured by board effectiveness (board size, independence, diligence, and expertise), audit committee attributes (size, independence, diligence, and expertise), foreign ownership, and audit quality. Descriptive statistics, correlation, and OLS regression are conducted to estimate the results. The study results reveal that board characteristics and audit committee attributes, except for audit committee diligence, have a significant effect on financial reporting quality. However, the impact of board diligence and audit committee attributes is negative. Foreign ownership has no contribution to financial reporting quality, but audit quality has a significant effect. The findings of the study have considerable implications for regulators, policymakers, managers, investors, analysts, and academicians. More emphasis should be given to compliance with Ind. AS, and an oversight body for compliance with Ind. AS should be established. AcknowledgmentThis publication was supported by Deanship of Scientific Research, Prince Sattam Bin Abdulaziz University, Alkharj, Saudi Arabia.

The impact of corporate governance and IFRS on the relationship between financial reporting quality and investment efficiency in a continental accounting system

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Asma Houcine ◽  
Mouna Zitouni ◽  
Samir Srairi
Keyword(s):  
Corporate Governance ◽  
Financial Reporting ◽  
Reporting Quality ◽  
Financial Reporting Quality ◽  
Investment Efficiency ◽  
Accounting System ◽  
Governance Mechanism ◽  
Content Type ◽  
The Impact ◽  
The Relationship

PurposeThe purpose of this paper is to investigate whether Financial Reporting Quality (FRQ), Corporate Governance and IFRS affect investment efficiency of French listed companies.Design/methodology/approachBased on a sample of 125 French firms listed on the CAC All Tradable index between 2008 and 2017, the study uses Feasible Generalized Least Squares (FGLS) regressions to examine the relationship between FRQ and firms' investment efficiency.FindingsThe findings show that FRQ plays a role in reducing overinvestment and does not affect underinvestment, suggesting that in a code-law country, informal and personal relationships tend to replace the role of financial reports in mitigating information asymmetry. The results also reveal that the relationship between FRQ and investment efficiency increases with better corporate governance and with the implementation of IFRS. However, the results provide no evidence between incentives to minimize profits for tax purposes and firms' underinvestment and continues to be negative for overinvesting companies that have more incentives to manage their earnings for tax purposes.Research limitations/implicationsOur study has some limitations. First, we only examine listed firms, so the results cannot be generalized to unlisted companies that represent the vast majority of French economic activity. Second, this research does not distinguish between government companies and private companies. The two types of companies have different governance mechanisms, financial reporting, disclosure environment and concentration of ownership.Practical implicationsThis study suggests that in a code-law country with weak investor protection, FRQ acts as a governance mechanism by mitigating asymmetric information and improving firms' investment decisions.Originality/valueThe relationship between FRQ and investment efficiency has been widely examined for companies in “common law” countries. This study extends the scarce evidence of this relation to companies in a code-law country. It also builds on previous research by introducing new factors never discussed before that could change this relationship, namely corporate governance, IFRS implementation and tax purposes.

IFRS Convergence and Revisions

2016 ◽  
pp. 169-190
Author(s):  
Erick R. Outa ◽  
Nelson M. Waweru
Keyword(s):  
Corporate Governance ◽  
Financial Reporting ◽  
Reporting Quality ◽  
Financial Statements ◽  
Financial Reporting Quality ◽  
Positive Coefficient ◽  
Net Income ◽  
The Impact ◽  
Timely Loss Recognition ◽  
Over Time

This chapter is aimed at examining the impact of IFRS convergence and revisions on the financial statements of companies listed in East Africa. This was achieved by determining whether firms report losses (LNEG) when they occur (timely loss recognition) or report small positive income (SPOS) or whether incomes reported exhibit variability in net income (NI) over time. Simultaneously, the chapter tests whether there is any influence of corporate governance on these three measures which are considered indicators of financial reporting quality. Four models applying GLS random effects are applied on 520 firm year observations for firms listed in Nairobi Securities Exchange (NSE) between 2005 and 2014. The result shows that a positive coefficient on frequency of large losses reported in the finding interpreted as firms with converged and revised IFRS recognize large losses (LNEG) as they occur. The findings also show a negative coefficient on small positive income (SPOS) interpreted as firms applying non-converged and revised standards manage earnings towards small positive amounts more than firms applying converged standards. The post convergence\revisions are significant for Chi, R2 and the residual which suggest that variability in net income (NI) improved in the post convergence period while corporate governance show insignificant mixed coefficient with the three indicators.

scholarly journals THE ROLE OF FINANCIAL REPORTING QUALITY AND CORPORATE GOVERNANCE ON COMPETITION: EVIDENCE FROM MINING COMPANIES

2018 ◽  
Vol 18 (2) ◽  
pp. 187
Author(s):  
Sekar Mayangsari ◽  
Etty Murwaningsari ◽  
Hexana Sri Lastanti
Keyword(s):  
Corporate Governance ◽  
Financial Reporting ◽  
Capital Market ◽  
Reporting Quality ◽  
Financial Reporting Quality ◽  
Mining Companies ◽  
The Impact ◽  
Market Weights

<p><em>The firm</em><em> </em><em>competition has a double quality: while it fills in as a proficient disciplinary component for firms' officials, it additionally worsens vocation concerns and increases capital market weights. This investigation analyzes the impact of </em><em>financial reporting quality </em><em>and corporate </em><em>governance</em><em>on Competition. While from one viewpoint item showcase competition goes about as a disciplinary instrument in less aggressive enterprises, then again, it incites chiefs not to act to the greatest advantage of investors in more focused businesses. These discoveries have suggestions for the plan of corporate administration instruments and official remuneration contracts including relative execution assessment.</em></p><p> </p>

scholarly journals The Impact of Corporate Governance Mechanisms on Compliance with IFRS and Financial Reporting Quality

2021 ◽  
pp. 57-79
Author(s):  
Cheng-Wen Lee Lee ◽  
Yi Tang Hu
Keyword(s):  
Corporate Governance ◽  
Financial Reporting ◽  
Audit Quality ◽  
Stock Exchange ◽  
Reporting Quality ◽  
Financial Reporting Quality ◽  
Governance Mechanisms ◽  
Corporate Governance Mechanisms ◽  
The Impact ◽  
Non Audit Services

The present study examines the impact of corporate governance mechanisms on compliance with IFRS and financial reporting quality, especially focusing on non-audit service and accountant’s tenure. The adoption of IFRS is launched in Taiwan since 2012. The study aims to investigate this issue using a sample of 3997 data gathered from listed companies traded on the Taiwan Stock Exchange and OTC over the period from 2012 up to 2019. The results show the evidence to support that the collective effect of non-audit services/accountant’s tenure on audit quality has changed to be more influential. This research findings also open valuable insights to regulators, stock markets, practitioners, and academicians in this issue. JEL classification numbers: D22, G32, M41. Keywords: IFRS, Non-audit services, Accountant’s tenure.

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