The role of appropriateness of the value of accounting information according to explanatory power in the sustainability of future profits in application to the National Bank of Iraq

Abstract

The research aims to test the appropriate value of accounting information contained in financial reports and its role in explaining the sustainability of future earnings because of its great impact in providing future financial information that leads to rationalizing investment decisions among stakeholders in the stock markets, and to achieve the research goal has been tested between appropriate The value of accounting information and accounting earnings by using the explanatory ability on the research sample represented by the Iraqi Alahly Bank during the period (2011 - 2021) by applying two models of accounting measurement: (price model) and (return model), and among the most important findings of the research is the high explanatory ability when measuring appropriateness The value of accounting information according to the two models of the measurement, as the search results showed the (Ohlson) and (Easton & Harris). To suit the value of accounting information by the owners of interests interested in the field of information for the companies listed in the Iraq Stock Exchange because of its positive results in the interpretation of accounting information and a proposal or providing indicators on the sustainability of future profits.