Schmalenbach Business Review, Vol. 55, pp. 262-279, October 2003
18 Pages Posted: 6 Jun 2004
The paper considers two major economic effects created by the Internet for financial accounting and disclosure. First, the Internet changes the costs of information processes and with it the demand and supply of financial information in capital markets. Second, Internet financial reporting creates a demand for standardization, which has been taken up with the development of XBRL. It is argued that while XBRL is designed to standardize only the format of information, it will also standardize contents. Finally, the paper discusses the issue of assuring high quality Internet financial reporting.
Keywords: Financial Reporting, Disclosure, Internet, Standardization, XBRL, Auditing
JEL Classification: M41, O33, G18
Suggested Citation: Suggested Citation
Wagenhofer, Alfred, Economic Consequences of Internet Financial Reporting. Schmalenbach Business Review, Vol. 55, pp. 262-279, October 2003. Available at SSRN: https://ssrn.com/abstract=555042
By Tariq Ismail