Factors affecting the quality of financial statements from an audit point of view: A machine learning approach
AbstractThis study examines the influence and importance of firm characteristics on the quality of financial statements of listed companies in Vietnam’s stock market from the audit point of view. We use regression models and machine learning algorithms to investigate data from 2225 observations of l...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
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Taylor & Francis Group
2023-12-01
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| Series: | Cogent Business & Management |
| Subjects: | |
| Online Access: | https://www.tandfonline.com/doi/10.1080/23311975.2023.2184225 |
| _version_ | 1797770286204977152 |
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| author | Dang Ngoc Hung Vu Thi Thuy Van Lan Archer |
| author_facet | Dang Ngoc Hung Vu Thi Thuy Van Lan Archer |
| author_sort | Dang Ngoc Hung |
| collection | DOAJ |
| description | AbstractThis study examines the influence and importance of firm characteristics on the quality of financial statements of listed companies in Vietnam’s stock market from the audit point of view. We use regression models and machine learning algorithms to investigate data from 2225 observations of listed companies in the period 2014–2020. We find that business profitability, business size, and the size of the Board of Directors positively correlate with the quality of financial statements. In contrast, dividend policy, state ownership, and enterprise listing time have a negative relationship. Results show that the most critical factors affecting financial statement quality include profitability, profit after tax on total assets, state ownership, and enterprise size. This finding has practical implications for market participants and policymakers in improving financial reporting transparency and quality. |
| first_indexed | 2024-03-12T21:20:02Z |
| format | Article |
| id | doaj.art-b325762e29aa488f9442fa9535513f6d |
| institution | Directory Open Access Journal |
| issn | 2331-1975 |
| language | English |
| last_indexed | 2024-03-12T21:20:02Z |
| publishDate | 2023-12-01 |
| publisher | Taylor & Francis Group |
| record_format | Article |
| series | Cogent Business & Management |
| spelling | doaj.art-b325762e29aa488f9442fa9535513f6d2023-07-28T20:55:16ZengTaylor & Francis GroupCogent Business & Management2331-19752023-12-0110110.1080/23311975.2023.2184225Factors affecting the quality of financial statements from an audit point of view: A machine learning approachDang Ngoc Hung0Vu Thi Thuy Van1Lan Archer2Faculty of Accounting and Auditing, Hanoi University of Industry, 298, Cau Dien street, Ha NoiDoctor of Banking & Finance, National Economics University, Hanoi, VietnamDepartment of Accounting, Finance, and Economics Griffith Business School Griffith University 170 Kessels Rd., Nathan QLD 4111, AustraliaAbstractThis study examines the influence and importance of firm characteristics on the quality of financial statements of listed companies in Vietnam’s stock market from the audit point of view. We use regression models and machine learning algorithms to investigate data from 2225 observations of listed companies in the period 2014–2020. We find that business profitability, business size, and the size of the Board of Directors positively correlate with the quality of financial statements. In contrast, dividend policy, state ownership, and enterprise listing time have a negative relationship. Results show that the most critical factors affecting financial statement quality include profitability, profit after tax on total assets, state ownership, and enterprise size. This finding has practical implications for market participants and policymakers in improving financial reporting transparency and quality.https://www.tandfonline.com/doi/10.1080/23311975.2023.2184225Quality of financial statementsprofit spreadaudit opinionmachine learning |
| spellingShingle | Dang Ngoc Hung Vu Thi Thuy Van Lan Archer Factors affecting the quality of financial statements from an audit point of view: A machine learning approach Cogent Business & Management Quality of financial statements profit spread audit opinion machine learning |
| title | Factors affecting the quality of financial statements from an audit point of view: A machine learning approach |
| title_full | Factors affecting the quality of financial statements from an audit point of view: A machine learning approach |
| title_fullStr | Factors affecting the quality of financial statements from an audit point of view: A machine learning approach |
| title_full_unstemmed | Factors affecting the quality of financial statements from an audit point of view: A machine learning approach |
| title_short | Factors affecting the quality of financial statements from an audit point of view: A machine learning approach |
| title_sort | factors affecting the quality of financial statements from an audit point of view a machine learning approach |
| topic | Quality of financial statements profit spread audit opinion machine learning |
| url | https://www.tandfonline.com/doi/10.1080/23311975.2023.2184225 |
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