Unraveling the Noise of Accounting Communication: A Study on Limitations of Financial Information Characteristics
DOI:
https://doi.org/10.14392/asaa.2024170310Keywords:
Qualitative Characteristics, Accounting Limitations, Communication TheoryAbstract
Objective: To identify the main limitations of accepted (or perceived) accounting information by experts in the field.
Method: Initially, the Delphi Technique was applied to a committee of experts to assess the alignment between the qualitative characteristics of accounting information and their limitations. Subsequently, the perception of these factors was evaluated among Brazilian academics, analyzing their agreement, as well as whether there would be any discrepancies with the Delphi results. The results were analyzed using descriptive statistics and the Mann-Whitney test for differences in means. Additionally, a discussion of the results was conducted in light of Communication Theory.
Results: The committee of experts validated the main limitations to the quality of accounting information. The results obtained from the survey with accounting professors in Brazil were consistent with the media attributed by the Delphi technique expert committee for the limitations. The results demonstrated that the biggest limitations (noise) in the communication process and which prevent the message from reaching the receiver in a way that faithfully represents the organization's reality, are: measurement of intangible assets; accounting choices; inflation; fraud; management; use of inappropriate indicators; transparency; technical domain and legal system.
Contributions: The analysis of limitations of these information characteristics provides opportunities for accounting regulators to make decisions aimed at reducing them, thereby improving the accounting communication process.
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