Influence of e-auditing on credibility and reliability of financial information within public shareholding companies

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Abstract

The current study aimed to find out the role of electronic auditing (e-auditing) in the positive impact on the reliability and credibility of financial information by adopting the dimensions and specifications of e-auditing (relevance, competence, sufficiency, and timeliness) and demonstrating the ability of these specifications to impart reliability and credibility to the financial information. The quantitative approach was adopted for this purpose and a questionnaire was distributed to a sample of 117 financial managers in public shareholding organizations in various sectors in Jordan. Relying on Statistical Package for the Social Sciences (SPSS), the study concluded that all e-audit variables have a positive impact on increasing the reliability and credibility of financial statements, and the most influential was timeliness with a value of R = 0.851. The study recommended intensifying the possibility of using external expertise with better knowledge in the field of software and technology, if there is a need to do so, and focused on the need for a periodic and permanent update of the accounting audit systems. Further recommendations were presented in the study.

Keywords: E-auditing, Relevance, Competence, Sufficiency, Timeliness, Reliability, Credibility

Authors’ individual contribution: The Author is responsible for all the contributions to the paper according to CRediT (Contributor Roles Taxonomy) standards.

Declaration of conflicting interests: The Author declares that there is no conflict of interest.

JEL Classification: M42, M410, M420

Received: 10.10.2022
Accepted: 20.07.2023
Published online: 24.07.2023

How to cite this paper: Hashem, F. (2023). Influence of e-auditing on credibility and reliability of financial information within public shareholding companies. Journal of Governance & Regulation, 12(3), 103–111. https://doi.org/10.22495/jgrv12i3art11