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Effective Factors in Information Asymmetry from Managers Perspective

Author Affiliations

  • 1Department of Business Management and Customs, Faculty of Humanities, Hormozgan University, Bandar Abbas, IRAN
  • 2Faculty of Management and Economics, Shahid Bahonar University of Kerman, Kerman, IRAN
  • 3Department of Accounting, Payame Noor University, Tehran, IRAN

Res. J. Recent Sci., Volume 3, Issue (6), Pages 15-19, June,2 (2014)

Abstract

The aim of this research is to investigate effective factors in information asymmetry of the listed companies in Tehran Stock Exchange from managersí perspective. The difference between Approved Earnings per Share and Estimated Earnings per Share divided by Approved Earnings per Share was applied to measure information asymmetry from managersí view. In the study, number of years of the firm attendance in the exchange (History), size of the company (Size), the percentage of active attendance in exchange transactions (Active Attendance) and the managersí record were considered as the effective factors in information asymmetry from managersí view. To this end, 97 listed companies in TSE during 2006-2010 were investigated. The pooled regression models (with fixed effects) and EViews Econometric Software were used for testing the hypotheses. Findings indicate there is the significant and negative relationship between managersí record and information asymmetry, however, no relationship among History, Size, and Active Attendance with information asymmetry was observed.

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