报告及时性和财务信息质量外文献英文与翻译Word文档格式.docx
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报告及时性和财务信息质量外文献英文与翻译Word文档格式.docx
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Thisstudyisdesignedtoinvestigatetheeffectsofsector,reportingtype,andincomeonfirms’timelyannualfinancialreportingpracticeslistedonIstanbulStockExchange(ISE).Regressionmodelisutilizedtoexaminetheeffectsofsector(financialfirms),financialstatementtype(consolidated-non-consolidatedfirms),andincome(positive-negativeincome)fortheyearsfrom2005to2008.Theresultsrevealthatsector,financialstatementtypeandincomehavesignificantimpactontimelyreportingfinancialstatementsofselectedfirms.Thecoefficientestimatesforsector,financialstatementtype,andincomearestatisticallysignificant.Effectsofsectorandfinancialstatementtypeonleadtimearepositivewhileincome’sisnegative.Basedontheresults,nonfinancialfirmspublishtheirfinancialstatementslaterthanothers.Similarly,consolidatedfirmsreporttheirfinancialstatementslaterthannon-consolidatedfirms.Finally,firmsthatreportpositiveincomereleasefinancialstatementsearlierthanothers.
Keywords:
Timeliness,ReportingFinancialStatements,QualityofFinancialInformation,LeadTime,TimelyReporting
JELClassificationCodes:
1.Introduction
Inthisstudy,weinvestigatetheeffectsofsector(financial-non-financialfirms),financialstatementtype(consolidated-non-consolidatedfinancialstatements),andincome(positive-negativeincome)ontimelyreportingpracticesofcompanieslistedonIstanbulStockExchange(ISE–_stanbulMenkulKıymetlerBorsası,IMKB).Thesectorisdefinedasfinancialfirmsandnon-financialfirmsthatarelistedonISE.Financialstatementtypetermisusedforfirmsthatreporttheirfinancialstatementasconsolidatedandnon-consolidated.Finally,incomeisconsideredasfirmsthatreportpositiveincomeandnegativeincome.Theresultsofouranalysisindicatethatthosevariableshavesignificantimpactsontimelinesoffinancialstatements.
Financialstatementsandmandatoryfinancialreportingareprominentsourcesofinformationforfinancialstatementusersindecisionmaking.Financialstatementsmusthavecertainattributestobeuseful:
understandable,reliable,relevant,andcomparable.Qualityofdatathatfinancialstatementsprovideisusuallycheckedinaccordancewiththoseattributesofstatements.
High-qualityinformationisessentialtotheproperfunctioningofequitymarkets,financialmarkets,andfinancialdecisions(Shaw,2003).Inordertobefunctional,financialinformationgatheredoutoffinancialstatementsmustbeusefultoitsusers.
Theusefulnessofaccountinginformationtofinancialstatementusersisanimportantcriterionofqualityofearnings.Financialdatathatarenotprovidingusefulinformationtousersarenotvaluable.Asamatteroffact,TheFinancialAccountingStandardsBoard(FASB)outlinesthecomponentsofqualityinformation:
predictivevalue,feedbackvalue,timeliness,verifiability,neutrality,andrepresentationalfaithfulness(VeluryandJenkins,2006).
Timelinessisoneofthemostimportantcomponentsofrelevancy.Bothtimelinessandrelevanceareimportantfeaturesofusefulinformation.Therefore,financialstatementsshouldbepublishedontimetobeusefultoitsusersintheirdecisionmaking.
Theconceptoftimelinessinfinancialreportinghastwodimensions:
thefrequencyoffinancialreportingandthelagbetweentheendofthereportingperiodandthedatethefinancialstatementsareissued(Davies,1980).
Timelycorporatefinancialreportingisanimportantqualitativeattributeandanecessarycomponentoffinancialaccounting.Financialinformationneedstobeavailabletoitsusersasrapidlyaspossibletomakecorporatefinancialstatementinformationrelevantdecisionmakingprocess.
Timelyreportingonfinancialstatementsisnecessaryforhealthyfinancialmarkets.Timelyfinancialreportinghelpsinefficientandtimelyallocationofresourcesbyreducingdisseminationofasymmetricinformation,byimprovingpricingofsecurities,andbymitigatinginsidertrading,leaksandrumorsinthemarket(Kamran,2003).
Manystudieshavediscussedvariousaspectsofcorporategovernance.Intheareaoftimelinessoffinancialreporting,forexample,theAccountingPrinciplesBoard(1970)recognizedthegeneralprincipleseveraldecadesago.TheFinancialAccountingStandardsBoard(1980)recognizedtheimportanceoftimelinessinoneofitsConceptsStatements(McGee,2009,).
Timelinessisanecessarycomponentofrelevantfinancialinformationthatisreceivingincreasedattentionbyaccountingregulatorsandlistingauthoritiesworldwide.Forexample,intheUnitedStates(U.S.)theSecuritiesandExchangeCommission(SEC),NewYorkStockExchange(NYSE),andNASDAQhaveissuedrequirementsandrecommendationsregardingthetimelydisseminationoffinancialinformation(AbdelsalamandStreet,2007,).
TimelinessoffinancialstatementsisbeingdiscussedintheOECDPrinciplesofCorporateGovernance1.Discloserandtransparencyareexplainedasfollows:
“Thecorporategovernanceframeworkshouldensurethattimelyandaccuratedisclosureismadeonallmaterialmattersregardingthecorporation,includingthefinancialsituation,performance,ownership,andgovernanceofthecompany.Disclosureshouldinclude,butnotbelimitedto,materialinformationon:
Thefinancialandoperatingresultsofthecompany.Informationshouldbepreparedanddisclosedinaccordancewithhighqualitystandardsofaccountingandfinancialandnon-financialdisclosure…”(OECD,2004,p.22).
Timelyreportingonfinancialstatementsisaffectedbymanyfactors.Theregulations,accountingstandards,andsectorandfirm-specificsaresomeofthose.Whiletheremaybemanyfactors,company-specificandaudit-relatedoneshavebeenexaminedinpriorstudiesasbeingparticularlyimportant.Company-specificfactorsarethosethatenablemanagementofafirmeithertoproducemoretimelyfinancialstatementsortoreducecostsofdelayinginreporting.Suchfactorsincludecompanysize,profitability,gearing,financialcondition,industrytypeandownershipstructure(AnsahandLeventis,2006).Inthisstudy,weexploretheeffectsofsector,financialstatementtype,andincomeontimelyreporting.
1.1.TheRegulatoryFrameworkforTimelyReportinginTurkey
Forlistedcompaniestwolegalsourcesgoverntimelyreporting:
TurkishCommercialCodeandLawofCapitalMarket.Inadditiontothosesources,TurkishAccountingStandardsBoardispublishingaccountingstandardsincludingtimelinessinfinancialreporting.
TheTurkishCommercialCoderequiresannualreportstobepreparedatleast15daysbeforethedateoftheannualgeneralmeeting.Inaddition,CapitalMarketBoard(CMB)ofTurkeypublishedseveralcommuniqué
srelatedtofinancialreportingprocessbetween1989and2003.In2003,theBoardissuedabroadsetoffinancialreportingstandardsthataretranslationofInternationalAccountingStandards(IAS)andInternationalFinancialReportingStandards(IFRS).Currently,Turkish
AccountingStandardsBoard(TASB)istheonlyorganizationthatpublishesaccountingstandards.Accordingtoregulationsthatenactedin2003,companiesthatarelistedonthestockexchangemustpublishtheirauditedannualfinancialstatementsbythe10thweekaftertheirfinancialyear-end.However,consolidatedfinancialstatementsmustbepublishedwithin14weeksofthefinancialyearend(Tü
rel,2010).
2.ReviewoftheLiterature
Anumberofstudieshavediscussedtheaspectsandcomponentsoftimelinessinfinancialreporting.Actually,mostofthosestudiesexaminewhateffectstimelyreportingoffinancialstatements.Theliteraturecontainsstudiesthatarediscussinginternationaldifferencesontimelyreportingoffinancialstatementsaswell.
Manyworksstatemixedconclusionsregardingtherelationshipoftimelinessofreportingandthequalityoftheinformationbeingreported.Somestudiesshowthatgoodnewsisreportedbeforebadnews,whereasotherstudiesshowthatbadnewsisreportedbeforegoodnews.Someresearchersfoundthatmanycompaniesarenotwillingtoreportbadnewsandbecauseofthatcompaniestakemoretimetocalculatethenumbersorapplycreativeaccountingtechniqueswhentheyneedtoreportbadnews.Ontheotherhand,somestudiesfoundthatbadnewsarereportedbeforegoodnewsbecausethemarketwouldnotfocusenoughongoodnews(McGee,2009).
Basu(1997)statesthatreportingbadnewssoonercouldbejustbecauseofconservatismandreportedearningsrespondmorecompletelyorquicklytobadnewsthangoodnews.However,sometimesbecauseoflessincentiveintaxsystem,conservatismisnotanimportantvariableinreportingbadnewsorgoodnewssooner(JindrichovskaandMcleay,2005).
Whenfinancialstatementsarereleasedearlierthanexpected,theytendtohavelargerpriceeffectsthanwhentheyarereleasedontimeorlaterthanexpected.Further,unexpectedlyearlyreportsarecharacterizedbygoodnews,whereasunexpectedlylatereportstendtobearbadnews(Chambers&
Penman,1984).KrossandSchroeder(1984)concludethatabnormalreturnsofcompaniesthatareannouncedearly(late)weresignificantlyhigher(lower)thanthereturnsoffirmsthatareannouncedlate(early).Andtheirresultsareconsistentwithpreviousstudies.
Therelationshipbetweencompanysizeandtimelinessoffinancialreportsisanotheraspectbeingdiscussedbyresearchers.Aroly(1989)statethatlargefirmsreportearningsrelativelyearly,buttheassociatedmarketreactiontendstobesmallduetothesizeeffect.Ontheotherhand,smallsizefirmsreleaselater,buttheirassociatedmarketreactiontendstobehighduetothe
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- 报告 及时性 财务 信息 质量 外文 英文 翻译