The impact of the audit committee and the board of directors committee on the tone of financial reporting مقالة

ملخص الجهاز:

The results of the research indicate that there is a significant relationship between audit committee characteristics, including the independence and accounting expertise of its members, and performance metrics, including return on assets, return on equity, and the Tobin's Q ratio. Rahnamaei Roodposhti and Mohseni (2018) showed that there is a significant positive relationship between the tone of writing in the board of directors' activity reports and company performance. The final results of the tests support all three research hypotheses, meaning there is a significant negative relationship between all three independent variables, namely expertise, independence, and size of the audit committee, and tax avoidance. The results showed that audit committee characteristics (including size, independence, and financial expertise of members) have a significant impact on the performance of family companies but have no impact on the performance of non-family companies. ) Method of calculating and collecting data in the model: Dependent variable: Tone of Financial Reporting (TONE): The difference between the number of optimistic words (positive words) and pessimistic words (negative words) following Davis et al. Audit committee characteristics, disclosure quality, and the ratio of non-executive board members, Empirical Accounting Research, Article 9, Volume 6, Number 2 - Consecutive Number 22, pages 191-218. The results of this research show that the size of the audit committee has a significant impact on the pessimistic tone in financial reporting. The Public Oversight Board states that if audit committee members have expertise in accounting, auditing, internal control, and financial reporting sectors, they will act more effectively in performing their work.