The Effect of Agency Costs and Financial Reporting Quality on Investment Risk at Companies Listed in TSE

Document Type : Research Paper


1 Associate Prof. of Accounting, Shahid Cahmran University of Ahvaz, ahvaz, Iran.

2 MCS, Shahid Cahmran University of Ahvaz, ahvaz, Iran.


Abstract: The aim of this study is to investigate the effect of Agency costs and Financial Reporting Quality on the investment risk in companies listed on the Stock Exchange of Tehran. In this study data from 120 firms in Tehran Stock Exchange for the period between the years 1383 to 1389 were examined. Regression model that used in this research is panel data method with fixed effects approach. The results showed that agency costs have significant positive effect on investment risk and Financial Reporting Quality has significant negative effect on the investment risk of firm


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