Factors Affecting The Completeness Disclosure Of Financial Report

Abstract

This research was conducted to discover factors affect the disclosure completeness of annual financial statements where the independent variables in this study include Leverage, Liquidity, Profitability, portions public ownership, firm size, operating profit margin, net profit margins and return on equity which is predicted to have an influence on completeness of financial statement disclosure. The 72 Financial reports of manufacturing companies and chemical industry listed in Indonesia Stock Exchange period 2008-2009 were used as samples. Multiple Linear Regression were used as analysis tool. The results showed that liquidity positively affects the the completeness of the Financial Reports disclosure, while firm size negatively affect the completeness of the financial statement disclosure and other variables such as leverage, profitability, the share of public ownership, operating profit margin, net profit margin and return on equity does not affect the completeness of the financial statement disclosure. However, simultaneously all the variables affect the completeness of financial reports disclosure.