A Study of the Voluntary Information Disclosure on the Fraudulent Financial Reporting Detection

• Main Authors: Jia-Ling Ke, 柯佳伶
• Other Authors: Hsueh-ju Chen
• Format: Others
• Language: zh-TW
• Online Access: http://ndltd.ncl.edu.tw/handle/59078559227223926861

碩士 === 國立中興大學 === 會計學研究所 === 96 === Owing to the fact that the exposure of fraudulent financial reporting has recently emerged in an endless stream, a call for action to strengthen information transparency may be necessary. This study, based on risk factors outlined in SAS No. 43, investigates the relationship between the voluntary information disclosure and fraudulent financial reporting and hence reviews the applicability of voluntary information disclosure policies. About the voluntary information disclosure, our empirical results show the occurance of fraud is positively associated with pressure on achieving target revenue (PRESSURE) and voluntary earnings forecast frequency (EF), suggesting that fraudulent companies are likely to reveal more when the fraud is being committed. However, the occurance of fraud is not significant correlated with the going-concern crisis (GC) and highly complex transactions (COMPLEX), suggesting that fraudulent companies would disclose“optionally ” if the information is unfavorable. About the mandatory information disclosure, all variables are not significant correlatd with fraud occurance, except ECB issuance (ECB) and the debt ratio (LA). This means that firms are indifferent about revealing information under mandatory disclosure rules. Fraudulent and non-fruadulent firms respond to the mandatory information disclosure equivalently. Accordingly, this study suggests that prohibiting voluntary disclosure but enhancing mandatory disclosure may be efficient for fraud detection.