Impact of Audit Committee on the Association Between Financial Reporting Quality and Shareholder Value
Regulatory and governmental authorities in Malaysia provide substantial financial planning to help attract potential investors and improve value for shareholders. Companies are always encouraged to improve the quality of financial reporting. However, some managers tend to manipulate earnings’ data t...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
| Published: |
EconJournals
2017-09-01
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| Series: | International Journal of Economics and Financial Issues |
| Subjects: | |
| Online Access: | https://dergipark.org.tr/tr/pub/ijefi/issue/32021/354185?publisher=http-www-cag-edu-tr-ilhan-ozturk |
| _version_ | 1797912047936077824 |
|---|---|
| author | Ahmad Ibrahim Karajeh Mohd Yussoff B. Ibrahim |
| author_facet | Ahmad Ibrahim Karajeh Mohd Yussoff B. Ibrahim |
| author_sort | Ahmad Ibrahim Karajeh |
| collection | DOAJ |
| description | Regulatory and governmental authorities in Malaysia provide substantial financial planning to help attract potential investors and improve value for shareholders. Companies are always encouraged to improve the quality of financial reporting. However, some managers tend to manipulate earnings’ data to make it appear more attractive. Stakeholders rely on the audit committee to motivate managerial provision of accurate data for accounting processes. Hence, this study examines the impact of financial reporting quality on shareholder value and assesses impacts from the audit committee’s influence and its relationship to financial reporting. The proposed study will use modified Jones Model to evaluate the financial reporting quality. Also, the study proposes ordinary least square (OLS) for identifying the impact of (i) independent audit committee; (ii) financial and accounting expertise; and (iii) audit committee size as proxies to investigate the effect of the audit committee on the relationship between financial reporting quality and shareholder value. |
| first_indexed | 2024-04-10T11:50:15Z |
| format | Article |
| id | doaj.art-2202eae7b4654f0291c898c450a70152 |
| institution | Directory Open Access Journal |
| issn | 2146-4138 |
| language | English |
| last_indexed | 2024-04-10T11:50:15Z |
| publishDate | 2017-09-01 |
| publisher | EconJournals |
| record_format | Article |
| series | International Journal of Economics and Financial Issues |
| spelling | doaj.art-2202eae7b4654f0291c898c450a701522023-02-15T16:17:08ZengEconJournalsInternational Journal of Economics and Financial Issues2146-41382017-09-017314191032Impact of Audit Committee on the Association Between Financial Reporting Quality and Shareholder ValueAhmad Ibrahim KarajehMohd Yussoff B. IbrahimRegulatory and governmental authorities in Malaysia provide substantial financial planning to help attract potential investors and improve value for shareholders. Companies are always encouraged to improve the quality of financial reporting. However, some managers tend to manipulate earnings’ data to make it appear more attractive. Stakeholders rely on the audit committee to motivate managerial provision of accurate data for accounting processes. Hence, this study examines the impact of financial reporting quality on shareholder value and assesses impacts from the audit committee’s influence and its relationship to financial reporting. The proposed study will use modified Jones Model to evaluate the financial reporting quality. Also, the study proposes ordinary least square (OLS) for identifying the impact of (i) independent audit committee; (ii) financial and accounting expertise; and (iii) audit committee size as proxies to investigate the effect of the audit committee on the relationship between financial reporting quality and shareholder value.https://dergipark.org.tr/tr/pub/ijefi/issue/32021/354185?publisher=http-www-cag-edu-tr-ilhan-ozturkfinancial reporting quality shareholders’ value audit committee |
| spellingShingle | Ahmad Ibrahim Karajeh Mohd Yussoff B. Ibrahim Impact of Audit Committee on the Association Between Financial Reporting Quality and Shareholder Value International Journal of Economics and Financial Issues financial reporting quality shareholders’ value audit committee |
| title | Impact of Audit Committee on the Association Between Financial Reporting Quality and Shareholder Value |
| title_full | Impact of Audit Committee on the Association Between Financial Reporting Quality and Shareholder Value |
| title_fullStr | Impact of Audit Committee on the Association Between Financial Reporting Quality and Shareholder Value |
| title_full_unstemmed | Impact of Audit Committee on the Association Between Financial Reporting Quality and Shareholder Value |
| title_short | Impact of Audit Committee on the Association Between Financial Reporting Quality and Shareholder Value |
| title_sort | impact of audit committee on the association between financial reporting quality and shareholder value |
| topic | financial reporting quality shareholders’ value audit committee |
| url | https://dergipark.org.tr/tr/pub/ijefi/issue/32021/354185?publisher=http-www-cag-edu-tr-ilhan-ozturk |
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