Majandusteaduskonna teadusseminar 13. mail
- Aeg:13.05.15 - 13.05.15
13. mail kell 16.00 toimub ruumis SOC-415 majandusteaduskonna teadusseminar.
Seminar toimub inglise keeles.
Laivi Laidroo, Department of Finance and Economics, TTÜ will present "Reliability of Graphs Disclosed in Annual Reports of Banks"
Abstract: This paper investigates the level of distortion on graphs disclosed in annual reports of Central and Eastern European commercial banks and identifies its determinants. The results indicate that nearly one third of graphs violate at least one graph construction principle, revealing significant problems with their reliability. Bank managers’ tendency to employ graphs for impressing report readers is confirmed through the presence of favourable measurement distortion bias, higher graph distortion indicators during crisis years and positive association between graph distortion indicators and bank performance. This applies especially for financial indicator graphs, meaning that clearer definition of auditor responsibility and greater regulatory focus on discretionary disclosures could improve the transparency of banks’ disclosures.
More information: karsten dot staehr at ttu dot ee