Title : Financial Reporting Quality Following the Corporate Governance Reforms: A Conditional Conservatism Perspective
Authors:
- Wan Adibah Wan Ismail
- Harymawan Faith
- Dian Agustia
- Khairul Anuar Kamarudin
Department : Accounting
Journal Name : Journal of Governance and Regulation
Kinds of Journal : Q4
Keywords : Conditional Conservatism, Corporate Governance, Financial Reporting Quality, Institutional Reforms
Abstract:
This study examines the quality of financial reporting during the period following the corporate governance reforms in Malaysia, as motivated by the importance of investors' needs for high-quality financial reporting. Using the asymmetric timeliness of the earnings models, we analysis of the sample of 6,819 firm-year observations of Malaysian listed company 2002 to 2011. The Findings Show Evidence of the High Quality of Reporting Following the Corporate Governance Reforms. We found that firms have reported a more timely recognition of losses than gains in the post-reform period. Our results suggest that conditional conservatism has been prevalent during the period, and the results are robust even after conducting extensive specifications tests. This study suggestions that after the corporate governance reforms, Malaysian compans' financial statements have been more reliable for investors in making investment decisions.
For details : https://repository.unair.ac.id/113408/1/iman%20harymawan_artikel123_financial%20Reporting%20Quality.pdf