alexa Abstract | The Effect of Internal Control Material Weaknesses on Future Stock Price Crash Risk: Evidence from Tehran Stock Exchange (TSE)
ISSN: 2472-114X

International Journal of Accounting Research
Open Access

OMICS International organises 3000+ Global Conferenceseries Events every year across USA, Europe & Asia with support from 1000 more scientific Societies and Publishes 700+ Open Access Journals which contains over 50000 eminent personalities, reputed scientists as editorial board members.

Open Access Journals gaining more Readers and Citations

700 Journals and 15,000,000 Readers Each Journal is getting 25,000+ Readers

This Readership is 10 times more when compared to other Subscription Journals (Source: Google Analytics)

Research Article Open Access

Abstract

Internal controls are methods put in place by a company to ensure the integrity of financial and accounting information, meet operational and profitability targets, and transmit management policies throughout the organization. Since 2012, attention to internal control in Iran became more serious; indicating its importance in entity’s activities. Given that investors tend to be concerned about returns and stock price crashes, the results of this study can be helpful for users of financial statements. Regarding the objective, this is an applied research using a correlational method. This study investigates the effect of internal control deficiencies on future stock price crash risk. A sample of 133 companies listed on Tehran Stock Exchange in the period 2011-2015 was selected and analyzed using a systematic elimination method. Logistic regression model was used for hypothesis testing. The research findings suggested that material weaknesses in internal control have positive and significant impacts on future stock price crash risk.

To read the full article Peer-reviewed Article PDF image

Author(s): Seyed Mohammad Reza Razavi Araghi, Zahra Lashgari

Keywords

Internal controls, Future stock price crash risk, Sarbanes Oxley Act, Account, Accounting ethics, Accounting information system, Audit, Balance sheet, Banking, Budgeting, Cost Accounting, Credit, Financial Analysis, Financial Reporting, International finance, Reporting Management, spreadsheet design, Statistics, Strategic Cost Analysis, Strategic Information, Taxation

Share This Page

Additional Info

Loading
Loading Please wait..
 
 
 
Peer Reviewed Journals
 
Make the best use of Scientific Research and information from our 700 + peer reviewed, Open Access Journals
International Conferences 2017-18
 
Meet Inspiring Speakers and Experts at our 3000+ Global Annual Meetings

Contact Us

 
© 2008-2017 OMICS International - Open Access Publisher. Best viewed in Mozilla Firefox | Google Chrome | Above IE 7.0 version
adwords