Author(s): Ahyar Muhammad Diah, Mark Treve, Muh Al Amin, Tuti Dharmawati
Many accounting scandals have recently taken place in many banks, including Bank Al Madina which has affected investors' trust in their reporting styles. In addition to incomplete governance practices, it was recognized that the main reason behind the accounting scandals is the poor quality of financial reporting systems.
The ties between the board structure and the standard of financial statements, the consistency of the financial statements and the board of directors were strongly associated. The bigger the boards, the higher the consistency of the financial statements is as the board size and the viability of management to oversee managers play an important role in providing better quality financial reporting for the business.
It enhances the ability of the Board of directors to be viewed as an observatory instrument for management in presenting more accurate statistics and prices to obtain visibility into the financial statements of the organization
The quantitative methodology will be implemented by disseminating a set of questionnaires to a defined number of respondents in research for data collection. In addition, both primary and secondary data will be implemented in research to keep accurate results.
The results are analyzed by the SPSS statistical tool and displayed as descriptive, inferential and correlation analysis.