Financial Reporting quality in SMEs by Giulia Leoni
The paper aims to extend the research on the financial reporting quality (FRQ) of small and mediu... more The paper aims to extend the research on the financial reporting quality (FRQ) of small and medium-sized enterprises (SMEs) by exploring its determinants through an empirical analysis of financial data from a large sample of Italian SMEs. Although
recent studies have shown the importance of FRQ in reducing SMEs’ cost of debt, and although a recent report by the Financial Reporting Council has found that the quality of SMEs’ reporting can affect investment, rating and lending decisions, little is known
about the determinants of FRQ in this peculiar context. This study found that the presence of a Board of Statutory Auditors, as well as a high level of leverage, can improve the FRQ of SMEs. In the results, the paper provides evidence of the factors determining the FRQ of SMEs and advances the knowledge on the role of financial information on SMEs by significantly contributing to the limited research in this field.
The paper concludes with managerial and economic implications for the improvement of the financial reporting quality of SMEs.
Papers by Giulia Leoni
Critical Perspectives on Accounting, 2014
ABSTRACT Natural disasters require authorities in charge of recovery, to be accountable to all th... more ABSTRACT Natural disasters require authorities in charge of recovery, to be accountable to all those involved in the process, including victims. Accounting systems can be used to track and account for the fair and transparent management of disaster specific funds, giving visibility to the recovery process and its outcomes. However previous studies suggest that the process of accounting, with its individualizing effects, may create “distance” between the accountor and the accountee, thereby undermining accountability. This paper investigates the social aspects of the accounting system used by authorities in charge of the recovery from the devastating Italian flood of November 2010. We found that accounting procedures activated after this disaster not only gave visibility to flood damages and recovery actions, but also favored a sense of inter-dependency between all of the players involved. Accounting fostered dialogue, mutual understanding, trust and solidarity among victims, who played a crucial role in enabling the overall accountability process. Our paper provides evidence of the socializing effects of accounting in natural disaster contexts, thereby opening up an interesting area for further research in the streams of critical accounting.
Critical Perspectives on Accounting, 2014
ABSTRACT Natural disasters require authorities in charge of recovery, to be accountable to all th... more ABSTRACT Natural disasters require authorities in charge of recovery, to be accountable to all those involved in the process, including victims. Accounting systems can be used to track and account for the fair and transparent management of disaster specific funds, giving visibility to the recovery process and its outcomes. However previous studies suggest that the process of accounting, with its individualizing effects, may create “distance” between the accountor and the accountee, thereby undermining accountability. This paper investigates the social aspects of the accounting system used by authorities in charge of the recovery from the devastating Italian flood of November 2010. We found that accounting procedures activated after this disaster not only gave visibility to flood damages and recovery actions, but also favored a sense of inter-dependency between all of the players involved. Accounting fostered dialogue, mutual understanding, trust and solidarity among victims, who played a crucial role in enabling the overall accountability process. Our paper provides evidence of the socializing effects of accounting in natural disaster contexts, thereby opening up an interesting area for further research in the streams of critical accounting.
Accounting History, 2012
ABSTRACT Almost 400 years ago, Ferdinando Gonzaga, Duke of Mantova and Marquis of Monferrato, ref... more ABSTRACT Almost 400 years ago, Ferdinando Gonzaga, Duke of Mantova and Marquis of Monferrato, refused a territorial barter proposed by the King of Spain, who had offered the Isle of Sardinia in exchange for the Marquisate of Monferrato. In 1618, an advisor to the Duke drafted a report to highlight the governmental issues surrounding the island. This Relatione, together with correspondence between the governors and advisors engaged in the prospective transfer, reveals why the Duke rejected the proposal. These sources provide the foundation for a close analysis of the potential effects of the trade on the Duchy's welfare, as well as the problems associated with its government. Using a model based on the Foucauldian governmentality framework, this analysis reveals that denying the barter was the result of rational behavior, driven by territorial governability aims.
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Financial Reporting quality in SMEs by Giulia Leoni
recent studies have shown the importance of FRQ in reducing SMEs’ cost of debt, and although a recent report by the Financial Reporting Council has found that the quality of SMEs’ reporting can affect investment, rating and lending decisions, little is known
about the determinants of FRQ in this peculiar context. This study found that the presence of a Board of Statutory Auditors, as well as a high level of leverage, can improve the FRQ of SMEs. In the results, the paper provides evidence of the factors determining the FRQ of SMEs and advances the knowledge on the role of financial information on SMEs by significantly contributing to the limited research in this field.
The paper concludes with managerial and economic implications for the improvement of the financial reporting quality of SMEs.
Papers by Giulia Leoni
recent studies have shown the importance of FRQ in reducing SMEs’ cost of debt, and although a recent report by the Financial Reporting Council has found that the quality of SMEs’ reporting can affect investment, rating and lending decisions, little is known
about the determinants of FRQ in this peculiar context. This study found that the presence of a Board of Statutory Auditors, as well as a high level of leverage, can improve the FRQ of SMEs. In the results, the paper provides evidence of the factors determining the FRQ of SMEs and advances the knowledge on the role of financial information on SMEs by significantly contributing to the limited research in this field.
The paper concludes with managerial and economic implications for the improvement of the financial reporting quality of SMEs.