Analyze the relationship between integrated reports and audit quality and their impact on reducing information asymmetry
((An analytical study of a sample of companies listed in the Iraq Stock Exchange))
Thesis Introduction
To the Board of Directors and Economics – University of Karbala It is part of the requirements of the Doctor of PhD in Accounting
by:
Ahmed Hussein Nassif
As a Partial Fulfillment of the Requirements of the
M.A degree in Accounting
Supervised by:
Prof. Dr. Bushra Abdel Wahab Al-jeweler
Abstract
The research aims to clarify and present the concept of integrated reporting, audit quality, information asymmetry, and their measurement models. The research also aims to identify a number of audit quality indicators and their relationship to integrated reports, as well as presenting and analyzing the impact of integrated reporting reports and audit quality on information asymmetry by relying on Financial reports for a sample of companies listed on the Iraq Stock Exchange, as the number of companies reached (fourteen) for the period (2012-2021) and the sectors include (communications, services, agriculture, industry, hotels).
The variable of integrated reporting was measured by using the triple scale (0-2) z according to the framework issued by the International Integrated Reporting Council (IIRC) in 2013, taking into account the updates issued in 2021, while audit quality was measured from Through four indicators: (auditor specialization, auditor turnover, auditor fees and profit management), while information asymmetry was measured based on the measure of stock returns volatility, as well as studying and analyzing the relationship between integrated reporting reports and audit quality through the use of statistical software. (spss) to extract the correlation between them, and use regression equations to determine the amount of influence of the variables among them and test the research hypotheses.
The research reached the following most important conclusions:
1. There is a low level of reporting of integrated reports in the research sample companies listed on the Iraq Stock Exchange.
2. The results showed a significant relationship between integrated reports and audit quality.
3. The results of the statistical test showed the presence of a significant effect of integrated reports and information asymmetry on the one hand, and the presence of a significant effect between integrated reports and both auditor turnover and auditor fees in reducing information asymmetry for the companies in the research sample.
The research recommended the following: Legislative authorities should legislate laws and instructions that oblige Iraqi non-financial companies to disclose according to the framework of integrated reports, due to their importance in generating future value. And intensify efforts and increase interest in reporting according to integrated reports by companies’ management to reduce information asymmetry between different parties. And to confirm Availability of quality auditors to reduce information asymmetry and protect the interests of owners and stakeholders.
