Accounting disclosure scenario: An empirical study of the banking sector of Bangladesh
Vol. 9, Nr. 4/2010 , p581..602
Author(s):
Alim Al Ayub AHMED Madan Mohan DEY
Keywords:
Accounting Disclosure, Unweighted Disclosure Index(UDI), Bangladesh, Banking Sector
Abstract:
Disclosure of annual reports is an important attribute of their usefulness. This paper empirically Measured and analyzed the volume of disclosure items in a developing country like Bangladesh. The main objective of this study is to measure the extent of corporate financial reporting made by the listed banking companies in Bangladesh. The objective that is to find out the current state of disclosure of the banking companies in Bangladesh. Using 25% of the population (12 banks) observations over a period of 5 years (2002-2006), the extent of disclosure has been measured using the unweighted disclosure index. In order to see whether there is significant difference in disclosure score among the sample banks we conducted t tests choosing 2 samples at a time i.e., using SPSS Software we conducted Paired Sample t test. The results showed that Arab Bangladesh Bank (AB Bank) appeared to have the highest levels of disclosure and Standard bank appeared to have the lowest levels of disclosure. The study shows the top and bottom ranked banks by the size of the UDI. The main reason behind preparing this part is to verify that this part has given the insights which banks are disclosing more information in the sample under study. This paper also reports the number of items universally disclosed or entirely excluded from disclosures by banks.
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