Factors Affecting the Level of Voluntary Accounting Disclosure on Annual Financial Statements: "Applied Study on Jordanian Industrial Shareholding Companies"

Abstract

This study aimed to assess the level of voluntary disclosure in the industry sector for the Jordanian companies, and test several factors like: VT, Lev, EPS, Div, company’s age, ROE, DPS, CFFO and Company’s size represented by total assets, on the level of voluntary disclosure. To achieve this study the researcher developed a list of indicators of voluntary disclosure consisted of (30) items that applied to a sample of (56) Jordanian public shareholding industry companies which are listed on the Amman Stock Exchange in 2013. Results showed that industrial companies disclose the voluntary accounting information with a level (46%), which is a low percentage that varies among the companies, and the paper and cardboard sector is among the most disclosing industrial sectors voluntarily, for the required information for the investors and the users of financial lists. While the printing and packaging sector, is among the least disclosing industrial sectors. Results showed also that ROE is among the most effective influences on the level of voluntary disclosure , and that the level of exchange ,leverage, EPS, DPS have negative effects on the level of voluntary disclosure, and positive effects of the VT on the level of voluntary accounting disclosure.

Keywords: voluntary disclosure, VT, Leverage, EPS, DPS, ROE, Industry Sector.