أثر ممارسات التمهيد الدخل في المؤشرات الاداء المالي في المصارف الخاصة العاملة في اقليم كوردستان العراق

Abstract

Karzan Adnan Khader 1 and Rizgar Abdullah Saber 2
Accounting Department, College of Administration and Economics, University of Sulaymaniyah, Kurdistan, Iraq
Accounting Department, College of Business and Economics, Salahaddin University, Erbil, Kurdistan, Iraq

The study aims to demonstrate the impact of income smoothing practices on the financial performance indicators (return on assets and return on equity), and an applied study in a sample of private banks operating in the Kurdistan Region, and to evaluate the income smoothing practice in the study sample banks. And the duration of the study was determined to include the five years extending from 2015-2019, and the study was applied to a sample consisting of (4) banks listed on the Iraq Stock Exchange, then testing the impact of income smoothing practices on financial performance indicators to determine whether income smoothing practices can It serves as a tool for improving financial performance or a tool for opportunistic behavior. In the study, simple regression analysis was used to test the hypotheses of the study, as well as the use of Miller's model to classify the study sample banks into smooth and non-income-friendly banks.
The study concluded that there are statistically significant effects of income smoothing practices on improving financial performance. The study results also indicated that the percentage of banks that were classified as income smoothing banks is 75%, according to Miller, of the study sample banks and (25%) of the banks of the study sample. The study sample was classified as non-income-smoothing banks. One of the most important recommendations of the study is to increase interest in striving towards consolidating accounting thought by specialists in this field with the aim of reducing the use of accounting options and thus reducing management opportunities in income smoothing practices., and increasing interest in performance indicators and their evaluation, standing on weak values and analyzing them, addressing weaknesses in performance and enhancing higher values for these values. And the need to educate the banking administration about the risks resulting from the practice of income smoothing and its negative impact on banking performance