Accounting and Auditing Research

Accounting and Auditing Research

Presenting The Creative Accounting Framework and Evaluating its Axes in The Context of Capital Market Companies: Todim Fuzzy Algorithm

Document Type : Original Article

Authors
Amirhossein Asadi
Roya Darabi
Hossein Badiei
Norouz Nourollahzadeh
Department of Accounting, ST.C., Islamic Azad University, Tehran, Iran
10.22034/iaar.2025.236283
Abstract
The users of financial statements of companies at the level of the capital market always need reliability and timeliness of disclosure of accounting information in order to make appropriate decisions for investment. But creative accounting, as one of the information distortion procedures in accounting, can affect such expectations in the capital market. Therefore, in this study, by identifying the dimensions of creative accounting, it is tried to explore its key functions at the level of capital market companiesin this 1402 year. This study is considered as an exploratory and developmental methodology based on the combined data collection processes. Therefore, in the qualitative part, creative accounting dimensions were identified through thematic analysis, and the reliability of the identified dimensions was examined based on fuzzy Delphi analysis. Then, in the quantitative part, through Todim's fuzzy inference, the most central dimension of creative accounting at the level of capital market companies was identified. The participants in the qualitative part were 12 accounting experts based on the theoretical saturation point limit, and in the quantitative part, 25 financial managers of capital market companies participated. The results of this study in the qualitative part showed that during 12 interviews, 3 overarching themes, 6 organizing themes and 29 basic themes were determined. The results in the quantitative part also determined based on Todim's fuzzy analysis, the criterion of ownership function is considered the most important axis of creative accounting, which can make possible the occurrence of distortion and manipulation of accounts in the financial statements of capital market companies. The obtained result is an indication of the fact that, due to the weakness in the effectiveness of the board of directors, such as size and lack of independence, specialized supervision of the accounting unit is usually not carried out to observe the rights of the beneficiaries, and under such conditions, creative accounting usually occurs to meet the needs of the owners. Power and violation of the rights of other beneficiaries is possible.
Keywords
Creative Accounting, Todim Fuzzy Algorithm, Ownership Function
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Accounting and Auditing Research
Volume 17, Issue 67
Autumn 2025
Pages 27-50