Explaining the effect of financial reporting concepts on the level of risk disclosure in annual financial reporting in companies listed on the Tehran Stock Exchange

Subject Areas : Journal of Investment Knowledge

iraj khoshkholg ¹ , Ghodratallah Talebnia ²

1 - Department of Accounting, Kish International Branch, Islamic Azad University, Kish Island, Iran.
2 - Faculty member of Research Sciences Branch

Received: 2020-07-08 Accepted : 2020-12-29 Published : 2021-06-22

Keywords: Disclosure Quality, Keywords: Level of risk disclosure in annual financial reporting, corporate transparency and financial reporting concepts,

Abstract :

The purpose of this study is to investigate the effect of financial reporting concepts on the level of risk disclosure in annual financial reporting in companies listed on the Tehran Stock Exchange. In this study, four indicators (financial reporting quality, corporate governance level, audit quality and disclosure of corporate social responsibility) have been used to examine the concepts of financial reporting. For this purpose, hypotheses were compiled and information related to the companies that are members of the stock exchange for the period between 1388 and 1397 were examined and analyzed. The statistical population of the study, according to the conditions for selecting the sample, included 140 companies that were selected by systematic deletion method. The research regression model was examined and tested using panel data method with fixed effects approach. The results showed that among the concepts of financial reporting, financial reporting quality index, corporate governance and audit quality with regard to increasing the level of supervision, transparency and proper disclosure have a significant positive effect on risk disclosure in annual financial reporting and increase the level of disclosure of risk in financial reporting. They are annual. On the other hand, the results confirm that the company's social responsibility disclosure index does not have a significant effect on risk disclosure in annual financial reporting.

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