Studying the Effects of Related Factors to Risk on Shareholders’ Equity Cost by Considering Earnings Quality for Accepted Companies in Tehran Stock Exchange

Subject Areas : Financial Accounting

Masome  Mami ¹ (Department of Accounting, Ilam Branch, Islamic Azad University, Ilam, Iran.)
Rahmatollah  Mohammadipour ² (Department of Accounting, Ilam Branch, Islamic Azad University, Ilam, Iran)

Received: 2016-08-11 Accepted : 2016-09-09 Published : 2016-10-01

Keywords: earnings quality, Market risk, Size risk, Book risk to market, Earnings risk, shareholders’ equity cost,

Abstract :

cost by considering earnings quality for accepted companies in Tehran StockExchange. This survey investigates a population of 76 companies during the timeperiod of 2009-2014. The results show that under high earnings quality, the marketrisk factor, the book risk to market factor, and the size risk factor have positiveeffects, and the profit risk factor has negative effects on shareholders equity cost.

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