The Relationship Between Cultural Values and Creative Accounting Factors in Financial Reports of Economic Units

Rizgar Abdullah Sabir Jaf; Chnar Abdullah Rashid; Salam Mahmood Hamad

doi:10.21271/zjhs.29.6.12

توێژەران

Rizgar Abdullah Sabir Jaf Department of Accounting, College of Economic and Administration, Salahaddin University-Erbil, Kurdistan Region,Iraq
Chnar Abdullah Rashid Department of Accounting, Technical College of Administration, Sulaimani Polytechnic University, Sulaimani, Kurdistan Region of Iraq
Salam Mahmood Hamad Department of Business Management, College of Humanities, University of Raparin, Kurdistan Region of Iraq

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https://doi.org/10.21271/zjhs.29.6.12

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Cultural values, creative accountingfactors, Iraqi Industry companies.

پوختە

Currently, creative accounting is considered a significant indicator of firms’ business activities. This research aims to observe the impact of cultural values on creative accounting practices in financial reports. In contrast, culture can influence consumers' attitudes and behaviors. Hence, cultural values are an independent variable that consists of five items: power distance, uncertainty avoidance, individualism, masculinity, and long-term orientation. They are also examined in relation to creative accounting factors as a dependent variable that comprises techniques, motives, and control. The research covers five Iraqi industry companies. A quantitative approach was used to conduct the questionnaire, in which sixty-four questionnaires were distributed to respondents. 78 percent was the response rate out of the total number of questionnaires distributed. The SPSS method is used to analyse the questionnaire survey. As a result, it is shown that the relationship between the five dimensions of cultural value and the field of creative accounting is positive and significant. Therefore, to achieve the optimal benefit of creative accounting, steps should be taken to improve advanced techniques in accounting. The research team recommends paying attention to the influence of the culture factor in shaping and developing accounting systems in countries, as a factor independent of other environmental factors represented by the economic factor, the legal system, the political system, and professional accounting.

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