Author(s): Mousa Mohammad Abdullah Saleh, Mohammad Aladwan, Omar Alsinglawi, Mohammad Odeh Salem Almari
The key purpose of the research is to provide scientific data on the association between fraud causes and false financial statements. The paper gave further insight into the applicability of Altman's z-score and Dechow f-score to the exposure of false financial statements by Jordanian industrial owners. The duration of research included the years from 2015 to 2019. The Dependent variable in the analysis was the false financial statement, while the separate fraud factors were financial security, external strain, financial priorities and the essence of the business. The analysis of the research takes a methodological model utilizing a multiple regression procedure to evaluate the theories of the study. The final findings of the analysis presented conclusive proof that Jordanian manufacturing firms were engaged in the conduct of false financial statements; while some of the triangle fraud variables were identified without any correlation with fraudulent financial reports; other factors were found to be strongly associated with fraud. As regards the accuracy of the fraud models, the findings of the analysis confirmed the validity and specificity of all the fraud detection models adopted in the study.