Measuring the level of quality of accounting profits and their impact on the economic decisions of investors

An applied study of a sample of Iraqi items traded in the Iraq Stock Exchange

Abstract

The study dealt with measuring the level of quality of profits in the Iraqi commercial banks, listed in the Iraqi market for securities, and their impact on the economic decisions of investors. The researcher used the approach of criticism to measure the quality of profits, and the statistical analysis program SSPS in the test of the impact of the quality of profits on investment decisions of investors, relying on the financial statements, and note the volume of trading banks sample research from 2013 to 2016. The study population consists of all (24) Iraqi banks. A suitable sample was selected for the purpose of the study. The size of the sample is )11( banks which meet the requirements of the study.

The results showed that there is an acceptable level in the quality of accounting profits in the financial statements of the banks. The results revealed that there is a positive relationship between the quality of the accounting profits and the volume of trading in the Iraqi market for securities. And recommends that the adoption of the Iraqi market for securities index to measure the quality of profits, and to educate investors on the importance of the quality of profits in their economic decisions.