Analyzing Theories of the Quality of Financial Statement Information in Commercial Firms

The commercial business industry also offers opportunities for creativity and innovation. Firms have taken advantage of the emergence of a variety of artificial intelligence technologies, digital media, and many other tools to create new products and services to enhance the customer experience and improve business performance. However, the fact that any business can easily participate in this market has created extremely fierce competition. This requires firms to make efforts to find new creative ideas and create values to attract and retain customers. Providing high-quality financial reporting information is important because it will positively influence capital providers and other stakeholders in making investment, credit, and resource allocation decisions within the organization to achieve economic efficiency (IASB, 2010) [10]. Vietnam's accounting law stipulates the quality attributes of financial statement information such as honesty, objectivity, completeness, timeliness, understandability, and comparability (National Assembly, 2015) [14]. Accounting information is used for helping the users to make useful decision. Therefore, quality financial statement information is obviously needed for investors to create an effective market. This study systematizes theories of the quality of financial statement information in firms in order to help firms improve the quality of financial statement information to achieve their set objectives. The formulation of a theoretical basis for the quality of financial statement information depends on the manager's support, the views of finance managers, chief accountants, accounting standards, the development of information technology, the user's attitude, and the financial statement's involvement.