Critical Factors Influencing Voluntary Disclosure: The Palestine Exchange aoPEXa
This study research examines which factors influence voluntary disclosure in the annual reports. Since corporate scandals have become a known feature in recent years, voluntary disclosure should be increased, and be documented clearly in the annual reports. The study analyse 48 listed companies at the Palestine Exchange “PEX” for the year 2011, and 35 companies for the year 2007 which represented the whole population for that period. The study also examines the extent to which critical factors such as nonexecutive directors, audit committee, board size, board activity, and number of shareholders influence voluntary disclosure practices. The analysis show that the following critical factors influence voluntary disclosure; non-executive directors, board size, audit committee, and number of shareholders. The factor do not influence the company’s voluntary disclose information is board activity.
