The Moderating Role of Audit Committee Quality on the Relationship between Firm Size and Risk Disclosure

Abstract

The audit committee is vital in promoting transparency and maintaining ethical standards in financial reporting. As businesses become more intricate, effective risk management and disclosure have become even more crucial. A competent audit committee plays a significant role in overseeing risk disclosure and reducing potential hazards for a company. The quality of audit committees also impacts the relationship between risk disclosure and the company's size. Prompt and precise risk disclosure is essential in communicating potential risks to stakeholders and empowering them to make informed decisions about the company's financial state (Al-Baidhani, 2014).