Journal of Financial Reporting and Accounting最新文献

Purpose

The purpose of this study is to explore the impact of remote auditing on audit quality in non-Big 4 firms in Jordan. It also examines the role of auditors’ capabilities in this relationship, emphasizing their importance in implementing this technology effectively.

Design/methodology/approach

The perspectives of non-Big 4 audit firms regarding the influence of remote auditing on audit quality were gathered through the administration of a comprehensive questionnaire.

Findings

This study demonstrates that remote auditing can enhance audit quality in non-Big 4 firms. The strength of this effect is bolstered by the auditor’s technical knowledge, communication skills and professional skepticism.

Practical implications

Remote auditing is a promising alternative to traditional methods for non-Big 4 firms, with significant implications. Effective remote audits require technical knowledge, communication skills and professional skepticism. To succeed, firms must invest in training programs that equip auditors with the necessary remote auditing techniques.

Originality/value

This groundbreaking study investigates the effects of remote auditing on audit quality in Jordanian non-Big 4 firms and examines the influence of auditors’ capabilities. Results show that auditors’ capabilities enhance the positive impact of remote auditing on audit quality.

Purpose

This study aims to examine how auditors' perfectionism types and time budget pressure (TBP) influence fraud detection in Egypt.

Design/methodology/approach

We utilize a mixed-methods approach, combining questionnaires with an experimental case study in a within-subjects quasi-experimental design. Based on Almost Perfect Scale-Revised (APS-R), perfectionism traits were categorized using cluster analysis into adaptive, maladaptive, and non-perfectionism. Auditors from Egyptian firms performed fraud-related tasks with TBP manipulated.

Findings

Auditors' perfectionism types significantly influence fraud detection capabilities. Adaptive perfectionists demonstrated higher relevance in identifying fraud factors and excelled in accurately assessing fraud risks and audit procedures planning. Conversely, maladaptive perfectionists identified more but less relevant factors. TBP notably impacted maladaptive and non-perfectionist auditors' planning quality, unlike adaptive perfectionists, who showed resilience.

Practical implications

Findings provide insights to audit firms to bolster audit quality through team formations and task assignments, harnessing the strengths of adaptive and maladaptive perfectionists. Regulatory entities are positioned to integrate safeguards that recognize auditor capabilities and vulnerabilities, particularly under TBP. Considering psychological assessments in auditor selection and development assures alignment of traits with audit tasks, enhancing audit quality.

Originality/value

This study breaks new ground in the effects of auditor perfectionism on fraud detection, considering situational factors like TBP in emerging markets. Through a mixed-methods approach and cluster analysis, it reveals how different perfectionism traits influence audit effectiveness, offering insights not previously considered in auditing literature and suggesting practical applications for enhancing fraud detection in similar contexts.

Purpose

This study aims to investigate the drivers and challenges of integrated reporting (IR) adoption in the Hungarian SME context.

Design/methodology/approach

The study uses qualitative methods to conduct an in-depth analysis of small and medium enterprises’ (SMEs) drivers and challenges of IR adoption through semi-structured interviews. Further, the results of the interview are supported by content analysis.

Findings

The research highlighted the drivers for IR adoption, including growing the company’s customer base, attracting new investors, boosting competitiveness and increasing the company’s market value by improving the long-, medium- and short-term value creation. Nonetheless, the organizational transformation required to implement IR, a lack of qualified human resources, weak administrative control and poor documentation all serve as impediments to Hungarian SMEs implementing IR. Consequently, the current IR framework needs further clarification and simplification to be practical for SMEs. Integrated thinking, value creation, materiality and stakeholder engagement are the concepts that have been identified as being unclear or inapplicable for SMEs.

Practical implications

Furthermore, the practical implications for standard-setters, regulators and companies may help in the future in mitigating barriers, pushing companies to learn more about the benefits and risks of adopting IR.

Originality/value

The study is one of the few that examines the drivers and challenges of IR adoption in SMEs and responds to several academic requests for IR research on the reasons why SMEs do not participate in IR adoption. Also, the study compiles and evaluates the previous literature’s drivers and challenges for IR adoption. Furthermore, the practical implications for standard-setters, regulators and companies may help in the future in mitigating barriers, pushing companies to learn more about the benefits and risks of adopting IR.

Purpose

This study aims to investigate the level of online sustainability disclosure provided by international universities during the COVID-19 pandemic. The ultimate goal is to identify the factors influencing the amount of sustainability information these universities disclose through their websites.

Design/methodology/approach

This study conducts a manual content analysis to measure the extent to which a sample of 100 international universities disseminate information on sustainability and COVID-19 issues via the web. A multiple regression analysis is performed to test the research hypotheses.

Findings

The findings confirm that universities worldwide leverage the potential of websites to convey sustainability information beneficial for stakeholders and society. Moreover, while board gender diversity positively affects the level of online sustainability disclosure, board size exerts a negative effect. Furthermore, university size, internet visibility and ranking position have no significant impact on the amount of online sustainability information provided by international universities.

Originality/value

To the best of the authors’ knowledge, this is the first study that provides insight into the possible determinants of universities’ online sustainability reporting during COVID-19. This study extends prior research mainly conducted in single countries by providing data on the sustainability disclosure level of universities in different geographical regions. Empirical findings also support policymakers’ global action in the past decade to increase the role of women in leadership and governing positions.

Purpose

The purpose of this study is to analyze the effect of off-balance sheet activities on the credit risk of African banks.

Design/methodology/approach

The theory about the relationship between off-balance sheet activities and bank risk was used to construct a conceptual model of the effect of off-balance sheet on credit risk in an African context. The accounting approach is chosen by collecting accounting data extracted from the annual reports of 24 private and conventional African banks during the period 2010–2019. Both statistical and empirical studies are conducted. The statistical study aims to give a description of sample banks in terms of off-balance sheet activities and key financial indicators. The empirical study has the goal of exploring the correlations between, on the one hand, credit risk and, on the other hand, off-balance sheet ratio and control variables (bank- and country-specific variables). This study is based on dynamic panels using the two-step generalized method of moments technique to estimate regressions between credit risk and the explanatory variables.

Findings

The statistical study reveals that sample banks use moderately off-balance sheet activities; most of them use essentially guarantees and letters of credit, have satisfactory financial indicators and are slightly exposed to credit risk. The empirical results from the two-step generalized method of moments technique disclose that off-balance sheet activities have an intensifying effect on the credit risk of African banks. However, the increasing effect can be minimized when African banks use moderately off-balance sheet activities.

Practical implications

Using judiciously off-balance sheet activities does not exacerbate the exposure of African banks to credit risk. Therefore, managers of African banks are recommended to maintain a moderate level of off-balance sheet activities, especially guarantees and letters of credit.

Originality/value

The findings of this study eliminate the opacity about the effect of off-balance sheet activities on credit risk. Moreover, this study fulfills the huge gap in the related literature by completing the scarcity of recent studies, considering all items of the off-balance sheet, focusing on the African context, describing off-balance sheet activities and financial indicators of sample banks due to a statistical study and estimating regressions of dynamic panels between credit risk and both bank-specific and country-specific variables due to a two-step generalized method of moments technique.

Purpose

This paper aims to examine the effect of corporate social responsibility (CSR) on firm performance (FP) of companies listed on the Tunis Stock Exchange.

Design/methodology/approach

This paper reports on two empirical studies. The first was an exploratory qualitative study carried out on a sample of 30 Tunisian companies operating in different sectors. The second empirical study used a panel data regression analysis, to examine data from 46 companies listed on the Tunis Stock Exchange during the 2017 to 2021 period.

Findings

The results of the exploratory qualitative study pointed out the specificities of the Tunisian context as to the importance of CSR. The results highlighted also the importance of the 2018 CSR law in Tunisia, yet it drew attention to the non-implementation of its applying texts, meaning that CSR is not always enforced in the Tunisian context. Moreover, in this qualitative study, most companies confirmed that CSR is a key factor behind good governance practices. By studying the impact of CSR on various FP proxies, the results highlight that CSR has a positive and significant impact on FP measured by ROA as an accounting variable and stock returns as a market-measure variable. In addition, the authors confirm the moderating effect of innovation on the CSR and FP relationship. Indeed, innovation affects corporate FP differently. It hinders accounting-based FP while fostering the market-based one.

Practical implications

The study provides insights for managers into how CSR approaches can be used to maximize profits, improve its FP and reputation, while considering the corporate innovative capacities. CSR is a real performance lever for companies, a means of improving their economic, environmental and social efficiency. It enables companies to anticipate constraints and prevent risks, reduce certain operational costs, optimize resources, communicate a good image and stand out from the competition, gain easier access to innovation, strengthen their competitive edge, gain easier access to financing and strengthen their territorial and social roots.

Originality/value

The main contribution of this paper is the adoption of two empirical approaches. These two methods are complementary. The first is an exploratory qualitative approach aimed at better understanding the current state of CSR implementation by Tunisian companies. The second one is quantitative, a panel data regression analysis. Furthermore, the authors test the moderating effect of innovation on the studied link. To the best of the authors’ knowledge, this is the first paper that investigates the moderating effect of innovation on CSR FP in the Tunisian context. Finally, robustness tests were conducted to test the reliability of this study’s results.