Article

Board Diversity and Earning Quality: Examining the Role of Internal Audit as a Moderator

Authors: Fathyah Hashim (Universiti Sains Malaysia, Graduate School of Business) , Essia Ries Ahmed (University of Nizwa, College of Economics, Management and Information Systems, Oman) , Yeo Min Huey (Universiti Sains Malaysia, Graduate School of Business)

  • Board Diversity and Earning Quality: Examining the Role of Internal Audit as a Moderator

    Article

    Board Diversity and Earning Quality: Examining the Role of Internal Audit as a Moderator

    Authors: , ,

Abstract

The purpose of this study is to explore the relationship between board diversity and the earnings quality in the firms listed in Bursa Malaysia Main Market. Malaysia is a country with multi ethnicity and different cultures among the people and this might affect positively on the quality of earning. The study also examines the involvement of the Internal Audit function being performed in-house or outsourced as a tool to enhance the earnings quality for the firms. Nationality diversity and ethnicity diversity are found to have a significant impact on the earning quality of the sample companies. Meanwhile, gender diversity and Age diversity does not show any significant impact on earnings quality. This study offers a significant contribution to existing earning quality literature. The participation of more different races on the board will be able to increase the quality of earning of the companies.

Keywords: Board diversity, Internal Audit Function, Earnings Quality

How to Cite:

Hashim, F., Ahmed, E. R. & Huey, Y. M., (2019) “Board Diversity and Earning Quality: Examining the Role of Internal Audit as a Moderator”, Australasian Accounting, Business and Finance Journal 13(4), 73-91. doi: https://doi.org/10.14453/aabfj.v13i4.6

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Published on
15 Dec 2019