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Unraveling the Readability Quotient in Accounting Reports
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Journal Article
Unraveling the Readability Quotient in Accounting Reports
2024
Overview
This study explores the readability of financial reports within the setting of Egyptian family firms. The research intends to analyze whether Egyptian family-owned firms show a high level of readability in their financial reporting. The data reveal a noteworthy emphasis on readability in financial reports by these firms (measured by both Fog and Flesch Reading Ease index), motivated by a traditional perception that users, investors, and related stakeholders hold a high level of confidence in the success of family-owned firms. This confidence is related to the owners' sense of responsibility for managing the company and their strong tendency to portray the financial performance optimally in terms of both form and content. The study reveals that the emphasis on readability in financial reporting within Egyptian family firms is affected by a desire to create trust among stakeholders, suggesting a strategic approach to communication that coincides with the perceived strengths of family-based ownership. These findings aid in understanding the cultural and strategic elements affecting financial reporting methods in the Egyptian business sector.
Publisher
جامعة طنطا - كلية التجارة - قسم المحاسبة
Subject
