The Impact of Audit Committee on the Relationship between Financial Reporting Readability and Specific Volatility of Stock Returns(مقاله پژوهشی دانشگاه آزاد)
منبع:
Journal of Emerging Technologies in Accounting, Auditing and Finance,Vol. ۱, No ۱, Spring ۲۰۲۳
67 - 78
حوزههای تخصصی:
Objective: The present study aimed to trace the impact of audit committee on the relationship between financial reporting readability and specific volatility of stock returns. Methodology: In this regard, a sample of 124 companies listed in Tehran Stock Exchange during 2013-2022 was selected by systematic exclusion model, and finally, the research hypothesis was tested using multiple linear regression test based on consolidated data. To measure the specific volatility of stock returns , standard deviation model Fama and French model was used and for evaluation The readability of financial reporting was used by Fugue index and finally a comprehensive model was used to measure the audit committee's quality. Results: The results of hypothesis testing indicated that the readability of financial reporting has a negative and decreasing effect on the specific volatility of stock returns. Also, the interaction of auditing committee and readability of financial reporting has a significant negative effect on the specific volatility of stock returns. Innovation: This research provides useful evidence for managers of companies and capital market factors that can be controlled by better utilization of financial information disclosure mechanisms.