The quality of electronic financial reporting in XBRL in light of IFRS standards and their impact on company value and investor confidence

A Thesis Submitted to

 the Council of the College of Administration and

Economics – Karbala University in Partial Fulfillment of the Requirements for the PHD’s Degree in Accounting

Presented By :

Hayder Saleh Abdulhadi

Supervised By :

 Asst. Prof. Dr.

Jassim Eidan Barak Al-Maamouri

Abstract

This study aimed to show the impact of the quality of electronic financial reporting in the language (XBRL) in light of the (IFRS) standards on the company’s value and investor confidence. The study depends on analyzing the relationship between the application of the XBRL language in preparing financial reports and the quality of financial reporting, such as transparency, accuracy, and speed of access to information. It also examines the role of this quality in enhancing the reliability of financial information for investors and improving the value of companies in financial markets. The research was applied to a sample of managers, accountants, auditors, and financial analysts working in Iraqi banks listed on the Iraq Stock Exchange, where a questionnaire form was designed and the questionnaire forms were distributed to (380) individuals from the research sample. Several statistical methods were also used in order to test the correlation and impact relationships between each of the extended business reporting language (XBRL) and the quality of electronic financial reporting in light of the (IFRS) standards and the company’s value and investor confidence. The research reached a number of conclusions, including that the eXtensible Business Reporting Language (XBRL) can improve the quality of electronic financial reporting in light of IFRS standards, as well as improve the value of the company and enhance investor confidence through highly transparent financial and non-financial disclosures. The use of XBRL contributes to improving the accuracy and speed of transferring financial information. The research concluded with a number of recommendations, most notably encouraging companies to adopt XBRL to ensure achieving high standards in electronic financial reporting, and increasing investor awareness of the importance of electronic financial reports in improving the decision-making process.