The impact of control activities on the information efficiency of financial reports: Evidence on Forbes enterprises in Vietnam

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Information from financial reports plays an important role for stakeholders in making business decisions. The information efficiency is even more meaningful when it is relevant and useful to users. The purpose of the paper is to examine the impact of control activities on the information efficiency of the financial reports of Forbes enterprises in Vietnam. The paper uses time series data and the sample includes 250 observations from 2016 to 2020. The paper uses ordinary least squares to experimentally test hypotheses. The results indicate there are two factors out of four that have a negative impact on the information efficiency of financial reports, including control activity members and female members of the control activities. The control activity members have a higher impact than female members. To enhance the information efficiency of Forbes enterprises’ financial reports, Vietnamese state agencies should strengthen control and supervision of legal regulations so that Forbes enterprises can raise awareness on the information efficiency of financial reports.

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    • Table 1. Summary of model variables
    • Table 2. Descriptive statistics
    • Table 3. Correlation matrix
    • Table 4. Model summary
    • Table 5. ANOVA
    • Table 6. Coefficient
    • Formal Analysis
      Tran Quoc Thinh
    • Project administration
      Tran Quoc Thinh
    • Supervision
      Tran Quoc Thinh
    • Writing – review & editing
      Tran Quoc Thinh
    • Conceptualization
      Dang Anh Tuan
    • Methodology
      Dang Anh Tuan
    • Resources
      Dang Anh Tuan
    • Validation
      Dang Anh Tuan
    • Visualization
      Dang Anh Tuan
    • Writing – original draft
      Dang Anh Tuan, Luu Chi Danh
    • Data curation
      Luu Chi Danh
    • Investigation
      Luu Chi Danh
    • Software
      Luu Chi Danh