Journal of Accounting and Management Vision

Journal of Accounting and Management Vision

Investigating the effect of macroeconomic variables on the relationship between financial reporting quality and stock return in companies listed on the Tehran Stock Exchange

Document Type : Original Article

Authors
mohammad mohammadi 1
Faruq Abdollapur 2
nasrin Ghadamyari 3
1 mangment .IRALCO
2 1- Msc,Department of Accounting, Faculty of Management,University of Tehran,Tehran,Iran
3 Master of Accounting ,Azad University Neshabur, Neshabur ,Iran.
Abstract
The purpose of this study was to investigate the effect of macroeconomic variables on the relationship between financial reporting quality and stock returns experimentally. The moderator of the research is macroeconomic variables, which are measured using two criteria: inflation rate fluctuations and GDP growth and the independent variable was the quality of financial reporting, which was measured by two criteria of quality of accruals, the accuracy of financial information also, company size, leverage ratio and equity return as control variables were included in the research model. The research sample includes 120 companies in the period from 2014 to 2020. Testing the hypotheses using combined data regression showed that the quality of financial reporting and stock returns had a significant relationship with each other. also, macroeconomic variables such as inflation rate fluctuations and GDP growth have moderated the relationship between financial reporting quality and stock returns in a way that has reduced and adjusted this relationship.
Keywords
Inflation rate fluctuations
GDP growth
quality of accruals
accuracy of financial information
stock returns