Introduction
The main objective of financial reporting is to provide high-quality financial reporting information concerning economic entities, primarily financial in nature, useful for economic decision making. In order to be of high quality, financial reports should be reliable. Thus, the reliability of financial reporting is one of the most important qualitative attributes of accounting practice. Financial information reliability is attained when the information concerning economic phenomenon is complete, neutral and free from material error. Attaining reliability in financial reporting presupposes that financial reports are prepared on the basis of “sound accounting rules” and taking adequate steps to ensure compliance with the relevant rules. It is important to provide high quality financial reporting information because it will positively influence capital providers and other stakeholders in making investment, credit, and similar resource allocation decisions which enhance overall market efficiency. If reliability is the so important there is the need then to investigate what attributes of companies affect its reliability.
Objectives of the study