Internet Financial Reporting Quality and Corporate Characteristics: The Case of Construction Companies Listed in Greek and Cypriot Stock Exchange
European Research Studies Journal, Volume XVII, Issue 2, 41-57, 2014
This study examines the role of the Internet in the financial reporting practices of publicly traded Greek and Cypriot construction companies. Its key contribution is the development of a relevant index that is assessed against key business characteristics: profitability, leverage, audit firm size, firm size, ownership dispersion, time length of operations, and market to book value. The association between the proposed index and firm characteristics was examined with the use of multiple regression analysis. Our findings indicate, among others, that Internet-related financial disclosure is significantly associated with profitability, leverage, firm age and ownership dispersion.