The Modified Role of (IFRS15) Standard in the Relationship of Earnings Quality with the Complexity of Financial Reports: An Empirical Study on a Sample of Iraqi Banks

Abstract

The research aims to demonstrate the modified role of the (IFRS15) standard in the relationship of profit quality with the complexity of financial reports within the Iraqi banking sector. The sample research included the financial reports of some of the banks listed in the Iraqi stock exchange for (15) Bank from (2011) to (2021) with (165) view. Both researchers used these measures to evaluate the earnings quality: the quality of Accruals and the accounting conservatism according to the market value of equity to book value. The complexity of financial reports was measured by the volume of disclosure, while the International Financial Reporting Standard (IFRS) was measured by relying on (10) indicators as evidence of the application of the five steps of this standard. Research has concluded a significant negative correlation between the earnings quality and the complexity of financial reporting and that this relationship becomes more negative with the adoption of IFRS15.