A Study of the Moderating Effect of Voluntary Disclosure on the Relationship Between Earning Quality and Information Asymmetry on the Tehran Stock Exchange

The role of accounting information in financial markets is to provide the necessary context for the optimal allocation of resources. On the other hand, managers as representatives of shareholders might act in such a way or make decisions that are not necessarily in line with maximizing the wealth of shareholders. Thus, the issue of transparency of financial statements and the quality of disclosure of information provided is considered as a practical solution. Information economic theory emphasizes the two factors of profit quality and asymmetry. Therefore, since voluntary disclosure is one of the key and effective concepts, we examine its effect on the relationship between profit quality and information asymmetry, and to achieve this, four hypotheses were tested. For this purpose, 84 companies during the period 2008 to 2014 were analyzed through composite data analysis by panel method.