Determining Factors of Internet Financial Reporting in Indonesia
Accounting & Taxation, Vol. 1, No. 1, pp. 87-99, 2009
13 Pages Posted: 26 Feb 2010
Date Written: 2009
Internet Financial Reporting (IFR) is voluntary in nature. With no specific regulations for IFR, there is a disparity of IFR practices among companies. Some companies disclose only partial financial statements using a low level of technology, while others disclose full sets of financial reports using sophisticated web technologies. The purpose of this study is to measure the quality of Internet Financial Reporting of public firms on the Jakarta Stock Exchange. An index was developed to measure overall internet reporting. In addition, financial variables that affect Internet Financial Reporting (IFR) among Indonesia Stock Exchange companies are identified. The findings show that the nature of IFR disclosure varies considerably across the sample firms. Firm size and return on equity are identified as determining factors of internet financial reporting in Indonesia.
Keywords: Internet Financial Reporting, Website, Traditional Financial Reporting, Technology
JEL Classification: G30, G33, G41, M41
Suggested Citation: Suggested Citation