THE RELATIONSHIP OF DISCLOSE OF INTELLECTUAL CAPITAL COMPONENTS ON FINANCIAL REPORTING QUALITY

This study investigates the relationship of different intellectual capital components on the financial reporting quality. In order to conduct this study, a sample including 184 accepted companies in Tehran Stock Exchange that work in deference industries between 2005 and 2010 have been selected. The methodology of the present study is co relational research and has an applied purpose. Co relational analysis and multiple linear regressions are the statistical methods are used in this study. The results from hypothesis testing demonstrated among the different components of intellectual capital, two components of capital employed efficiency and human capital efficiency have significant positive effect on the dependent variable of financial reporting quality and structural capital efficiency has a significant negative effect on the financial reporting quality. Among these three components of intellectual capital, the effect of human capital efficiency on the financial reporting quality is stronger with than the other two factors.