The role of corporate governance in improving the quality of accounting information in the financial statements

Abstract

This paper aims to identify the role of corporate governance in improving the quality of accounting information in financial reports. Through the various mechanisms of corporate governance, including disclosure and transparency. Where the importance of corporate governance has increased since the collapse of major international companies such as Enron as a result of practices and ethical innovations in accounting and manipulation of financial statements, which led to the collapse of the confidence of shareholders and users of financial statements, it was necessary to have some mechanisms to address these practices to access financial and accounting information will be Transparent and serves as a database for decision-makers. It is comparable to judging the level of financial performance of a company and as a guarantee for the rights of shareholders and stakeholders, as this is only by the good and integrated application of accounting mechanisms for corporate governance. Our study concluded that accounting mechanisms for governance, such as accountability, control and implementation of accounting and auditing standards, and the role of internal auditor and external auditor, in addition to disclosure and transparency, are effective in improving the quality of accounting information. This is to restore confidence to shareholders and users of financial statements. Companies.