Abstract:
Many corporate collapses and accounting scandals were due to poor corporate governance practices. Flaw in corporate governance and low quality of transparency are considered as a main cause for corporate collapses and accounting scandals. Consequently, stakeholders demand stronger practices of corporate governance to be implemented in business organisations and for them to disclose it. It is commonly recognised that disclosure is one of the paramount objectives of financial reporting system
as it becomes a principle indicator for good corporate governance practices.
