Measuring the impact of earnings quality on investor confidence (A study of a sample of industrial companies listed in the Iraq Stock Exchange

Abstract

. The research aims to identify the concept of profit quality, how to measure it, and the factors affecting it, and that one of the most important factors that affect investment decisions in the company is the quality of profits, because of its implications for many factors that give a clear picture of the company's health and safety of its activities and the possibility of investment In it, and that the quality of profits is the primary evaluation source for investors and decision makers, to give a final result related to their investment decisions regarding establishments, whether they approve or not. Hence, the quality of profits is a basic indicator in evaluating the financial performance of the company, and for the purpose of achieving this goal, a questionnaire was designed It was distributed to a sample of accountants, auditors, investors and managers in Iraqi companies listed in the Iraq Stock Exchange. The results showed that there is a direct effect between the quality of profits and the confidence of investors. Profits) by one degree leads to an increase of 68% in the dependent variable (investor confidence), and in the light of these results a The study emphasized the interest in the level of quality of profits as one of the main pillars important for predicting the future of the company, and interest in developing and developing a model for measuring the quality of profits in the Iraqi Stock Exchange as an indicator and measure for investors about the quality of profits in companies, which leads to the rationalization of their investment decisions.