International Journal of

ADVANCED AND APPLIED SCIENCES

EISSN: 2313-3724, Print ISSN: 2313-626X

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 Volume 9, Issue 5 (May 2022), Pages: 119-126

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 Original Research Paper

 Title: The role of audit committees in improving the earnings quality

 Author(s): Abdullah Al-Otaibi 1, *, Mohamad Nashat 2

 Affiliation(s):

 1Faculty of Business Administration, Northern Border University, Arar, Saudi Arabia
 2Business School, Sohag University, Sohag, Egypt

  Full Text - PDF          XML

 * Corresponding Author. 

  Corresponding author's ORCID profile: https://orcid.org/0000-0002-7868-0371

 Digital Object Identifier: 

 https://doi.org/10.21833/ijaas.2022.05.015

 Abstract:

The research aims to measure the impact of the audit committee’s characteristics on earnings quality. A set of characteristics of the audit committee have been relied upon, perhaps the most important of which is the independence of the audit committee, its size, activities and experience, and its members ’ownership of the company's shares. The study was applied to a sample of companies in the countries of the Gulf Cooperation Council. The optional maturity variable was also relied upon to reflect the earnings quality in the sample under study. The study found the impact of the formation of the audit committee on the companies that make up the study sample for the countries of the Gulf Cooperation Council. Where the study found a positive impact on the earnings quality for the independence of the audit committee and the activities of the audit committee and the experience of the audit committee. There is also a positive impact on the audit committee members ’ownership of the company's shares, while there was a negative impact on the size of the audit committee. The study recommended the necessity of increasing the effectiveness of the audit committee in supervising the process of preparing financial reports and increasing the earnings quality. 

 © 2022 The Authors. Published by IASE.

 This is an open access article under the CC BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/).

 Keywords: Earnings quality, Voluntary accounts, Independence of the audit committee, Experience in the audit committee, Optional accrual accounts, Profit management, Financial reports

 Article History: Received 11 May 2021, Received in revised form 21 July 2021, Accepted 6 March 2022

 Acknowledgment 

No Acknowledgment.

 Compliance with ethical standards

 Conflict of interest: The author(s) declared no potential conflicts of interest with respect to the research, authorship, and/or publication of this article.

 Citation:

 Al-Otaibi A and Nashat M (2022). The role of audit committees in improving the earnings quality. International Journal of Advanced and Applied Sciences, 9(5): 119-126

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 Tables

 Table 1 Table 2 Table 3 Table 4 

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