FINANCIAL ACCOUNTING
Year:2019 | Volume:11 | Issue:41 |Papers Count:8

Use of integrated standards in today's economy is imperative to create efficient financial markets, improve resource allocation and reduce transaction costs. In the same vein, all countries must make a lot of effort to develop common standards. However, ethnic diversity in different parts of the world results in different interpretations and judgments from accounting standards and challenges a lot of convergence of standards. Therefore, studying and recognition of ethnic differences impact on interpretation of accounting standards in Iran, which consists of different ethnicities with diverse values and characteristics, is considered important. However, ethnicity is influenced by external and internal variables, including individual characteristics (conservatism, gender and age, etc. ) that should be considered in its impact on interpretation of accounting standards. Purpose of this study is to investigate intermediary effect of auditor’ s conservatism on relationship between ethnicity and interpretation of probabilistic propositions in accepted accounting standards. For this purpose, the research was conducted by distributing the questionnaire among 228 members of charted accountants in 2017 and analyzed relevant responses. The findings showed that auditors' conservatism has an intermediary effect on the relationship between ethnicity and interpretation of probabilistic propositions in accepted accounting standards. This finding can be useful in understanding factors affecting the judgment of auditors and helping to improve the judgment of auditors.

The present study aimed to investigate fraud risk factors affecting fraud occurrence in the branches of Resalat Bank in Isfahan, Iran, in 2017. The study is an applied research as far as the purpose is concerned, and a descriptive survey study as far as the procedures for data collection are concerned. The population of the study comprised experts in accounting computer information system, experts of the head office and experts of the financial section of inspection and internal auditing in the branches of Resalat Bank in Isfahan. Data was analyzed within two sections of measurement model and structural model using Smart PLS 2 software. In the measurement model, the technical properties of the questionnaire including reliability, convergent validity and divergent validity were investigated and the required revisions were made. In the structural model, the structural coefficients of the model were used to test the research hypotheses. The findings of the study indicated that fraud risk factors pertaining to financial stability, internal controls, and required standards had a positive significant effect on fraud occurrence in Resalat Banks. Therefore, to be able to detect fraud occurrence it is necessary to focus on financial stability, internal controls, and required standards, and take corrective steps toward improving them.

This study aimed to investigate the effect of environmental factors on international financial reporting standards (IFRS) adoption across countries. Environmental factors in this study include the existence of capital market, economic growth, economic openness, legal system, education level and cultural indicators such as power distance, individualism, masculinity and avoidance of uncertainty. The patterns of adoption of IFRS by countries were determined on the basis of a three-way approach. The sample of this study consists of 93 countries in year of 2016. Data has been examined using multivariate logistic regression analysis. The results indicate that countries with high level of education and power distances and countries with low level of economic growth, individuality and uncertainty avoidance are more willing to adopt IFRS. Also, the existence of the capital market, the openness of the economy, the legal system and the male parity did not significantly affect the adoption of IFRS.

According to the change in the role of internal auditors, new competencies are needed. The purpose of this research is development of internal audit managers’ competency model, with regard to contextual and environmental attributes and conditions surrounding the internal audit profession in Iran. With regard to exploratory approach of this research, and because of absence a comprehensive research to develop internal auditors’ competency model in prior researches; therefore, in this study, we used qualitative research method and grounded theory approach. To achieve this goal, with obtaining faculty and internal auditing experts insights through unstructured interviews, and analyzing the data by using the open coding, axial coding & selective coding approach and extracting major categories, categories, and subcategories (concepts), we developed internal auditors’ competency model in Iran, including causal conditions, intervening conditions, context, as well as action strategies related to internal auditors’ competency and their consequences. According to this model, internal auditor managers need a series of Individual, technical, managerial and environmental competencies to achieve the desired level of effectiveness. In fact, these findings show core competencies for Iranian internal audit managers which can be used as an indicator by students, internal auditors, professional body, and organizations to equip and evaluate competencies.

Information flow is a key parameter in an economic activity and acts as a key factor in the emergence, stability and efficiency of capital markets. The purpose of this paper is to investigate the effect of disclosure quality on the value of information and changes in the quality of accounting information. For this purpose, the data of the companies listed in the Tehran Stock Exchange for the period of 1383 to 1394 have been extracted and the combined data regression model has been used to test the research hypotheses. The results of the research show that information asymmetry pricing is a function of disclosure quality criteria and the cost of capital arising from information fluctuates and changes in different levels of disclosure. Information asymmetry has a significant effect on the expected returns of investors, but when the level of disclosure quality changes, the cost of capital imposed on the company also fluctuates and changes.

Corporate governance is one of the most important factors in monetary institutes and the stronger the corporate governance, the better to inhibit from corruption. As a result representing appropriate corporate governance is investigated in this research. First of all, different criteria are extracted using previous literature and opinions of experts, including banks' managers and professors, and then Analytical Hierarchy Process (AHP) is applied to rank them. In order to analyze data acquired from 408 questionnaire forms, Expert Choice software are used. Finally, the results of analyzing data illustrated the order of criteria as following: internal control factors with the coefficient of 0. 419, external control factors with the coefficient of 0. 228, management control factors with the coefficient of 0. 209, ownership factors with the coefficient of 0. 058 and, management factors with the coefficient of 0. 056. Internal audit from internal control factors, audit quality from external control factors, establishing appropriate management systems from management control factors, fundamental shareholders in external control from Ownership factors and Expertise and experience of manager from management factors were chosen as the best five sub-criteria. Considering all of findings, appropriate corporate governance for use in Iran's banks was proposed.