Articlegreen2017

Audit committees and financial reporting quality

Habiba Al‐Shaer · Aly Salama · Steven A. Toms

111 citations0/0 files storedJournal of Applied Accounting Research

No readable copy stored yet — this record is metadata only.

Corporate Social Responsibility Reporting Auditing, Earnings Management, Governance Corporate Governance and Financial Management

Abstract

Purpose The purpose of this paper is to examine the determinants of the volume of environmental disclosures and their quality, with particular focus on the role of audit committees (ACs) and the effects of the Smith report recommendations for the UK Corporate Governance Code. Design/methodology/approach Quantitative large sample analysis of UK FTSE350 companies for the period 2007-2011. Findings Firms with higher quality ACs make higher quality disclosures. Larger firms with block shareholders have greater volume of disclosures, whilst AC quality does not increase disclosure volume. Research limitations/implications Findings are based on evidence from single country and imply further international comparative research. Practical implications ACs mitigate the requirement for prescriptive legislation on narrative accounting disclosures relating to environmental issues. Originality/value The paper contributes to research that has examined the relationship between corporate governance mechanisms, specifically ACs, and the quality of financial reporting by considering voluntary narrative disclosures on environmental matters.

Citations in this library

Stored only when both papers are in the corpus — 111 citations exist upstream.

References

1984Content Analysis: An Introduction to its Methodology.1986Large Shareholders and Corporate Control 2001Information asymmetry, corporate disclosure, and the capital markets: A review of the empirical disclosure literature 1995Detecting Earnings Management.2005The market pricing of accruals quality 2003Earnings management and corporate governance: the role of the board and the audit committee 1985Data in Search of a Theory: A Critical Examination of the Relationships Among Social Performance, Social Disclosure, and Economic Performance of U.S. Firms 1996Some determinants of social and environmental disclosures in New Zealand companies

Cited by

2021Creating sustainability reports that matter: an investigation of factors behind the narratives 2021Do assurance and assurance providers enhance COVID-related disclosures in CSR reports? An examination in the UK context 2023Determinants and financial consequences of environmental performance and reporting: A literature review of European archival research 2019Audit committee attributes and cosmetic accounting in Nigeria 2022Corporate governance reforms and risk disclosure quality: evidence from an emerging economy

Imported from OpenAlex (CC0) — nothing here is generated.