International Journal of Accounting, Finance and Risk Management

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Quality of Accounting Information Disclosure and Debt Financing Cost: Literature Review

Received: 08 November 2020    Accepted: 17 November 2020    Published: 23 November 2020
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Abstract

This paper mainly summarizes the domestic and foreign literature on accounting information and debt financing to analyze the impact of accounting information disclosure on debt financing cost. In the case of rapid changes in the external environment, it is a critical moment for companies to adapt to the environment and survive. In this context, if an enterprise wishes to survive, it must find a way of survival suitable for its development according to its actual situation. However, the survival of some companies is facing a serious crisis. To stimulate their potential and ensure their long-term progress, companies must seek external help. Therefore, debt financing activities have become the first choice for companies. When an enterprise conducts external financing, it must present the accounting information disclosed by the enterprise to the relevant external creditors. Creditors use this to understand the various conditions of the enterprise and use this as the basis for investment. Only high-quality accounting information disclosure can win the trust of relevant external investors, reduce debt financing costs, and obtain more financing. Based on this, this article combs、summarizes and analyzes the relevant literature on the relationship between the quality of accounting information disclosure and the cost of debt financing, and proposes some shortcomings and prospects.

DOI 10.11648/j.ijafrm.20200504.13
Published in International Journal of Accounting, Finance and Risk Management (Volume 5, Issue 4, December 2020)
Page(s) 191-194
Creative Commons

This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.

Copyright

Copyright © The Author(s), 2024. Published by Science Publishing Group

Keywords

Accounting Information, Quality of Information Disclosure, Debt Financing Costs

References
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Author Information
  • Business School, Beijing Wuzi University, Beijing, China

  • Business School, Beijing Wuzi University, Beijing, China

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  • APA Style

    Wu Fangyuan, Li Ying. (2020). Quality of Accounting Information Disclosure and Debt Financing Cost: Literature Review. International Journal of Accounting, Finance and Risk Management, 5(4), 191-194. https://doi.org/10.11648/j.ijafrm.20200504.13

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    Wu Fangyuan; Li Ying. Quality of Accounting Information Disclosure and Debt Financing Cost: Literature Review. Int. J. Account. Finance Risk Manag. 2020, 5(4), 191-194. doi: 10.11648/j.ijafrm.20200504.13

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    AMA Style

    Wu Fangyuan, Li Ying. Quality of Accounting Information Disclosure and Debt Financing Cost: Literature Review. Int J Account Finance Risk Manag. 2020;5(4):191-194. doi: 10.11648/j.ijafrm.20200504.13

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  • @article{10.11648/j.ijafrm.20200504.13,
      author = {Wu Fangyuan and Li Ying},
      title = {Quality of Accounting Information Disclosure and Debt Financing Cost: Literature Review},
      journal = {International Journal of Accounting, Finance and Risk Management},
      volume = {5},
      number = {4},
      pages = {191-194},
      doi = {10.11648/j.ijafrm.20200504.13},
      url = {https://doi.org/10.11648/j.ijafrm.20200504.13},
      eprint = {https://download.sciencepg.com/pdf/10.11648.j.ijafrm.20200504.13},
      abstract = {This paper mainly summarizes the domestic and foreign literature on accounting information and debt financing to analyze the impact of accounting information disclosure on debt financing cost. In the case of rapid changes in the external environment, it is a critical moment for companies to adapt to the environment and survive. In this context, if an enterprise wishes to survive, it must find a way of survival suitable for its development according to its actual situation. However, the survival of some companies is facing a serious crisis. To stimulate their potential and ensure their long-term progress, companies must seek external help. Therefore, debt financing activities have become the first choice for companies. When an enterprise conducts external financing, it must present the accounting information disclosed by the enterprise to the relevant external creditors. Creditors use this to understand the various conditions of the enterprise and use this as the basis for investment. Only high-quality accounting information disclosure can win the trust of relevant external investors, reduce debt financing costs, and obtain more financing. Based on this, this article combs、summarizes and analyzes the relevant literature on the relationship between the quality of accounting information disclosure and the cost of debt financing, and proposes some shortcomings and prospects.},
     year = {2020}
    }
    

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  • TY  - JOUR
    T1  - Quality of Accounting Information Disclosure and Debt Financing Cost: Literature Review
    AU  - Wu Fangyuan
    AU  - Li Ying
    Y1  - 2020/11/23
    PY  - 2020
    N1  - https://doi.org/10.11648/j.ijafrm.20200504.13
    DO  - 10.11648/j.ijafrm.20200504.13
    T2  - International Journal of Accounting, Finance and Risk Management
    JF  - International Journal of Accounting, Finance and Risk Management
    JO  - International Journal of Accounting, Finance and Risk Management
    SP  - 191
    EP  - 194
    PB  - Science Publishing Group
    SN  - 2578-9376
    UR  - https://doi.org/10.11648/j.ijafrm.20200504.13
    AB  - This paper mainly summarizes the domestic and foreign literature on accounting information and debt financing to analyze the impact of accounting information disclosure on debt financing cost. In the case of rapid changes in the external environment, it is a critical moment for companies to adapt to the environment and survive. In this context, if an enterprise wishes to survive, it must find a way of survival suitable for its development according to its actual situation. However, the survival of some companies is facing a serious crisis. To stimulate their potential and ensure their long-term progress, companies must seek external help. Therefore, debt financing activities have become the first choice for companies. When an enterprise conducts external financing, it must present the accounting information disclosed by the enterprise to the relevant external creditors. Creditors use this to understand the various conditions of the enterprise and use this as the basis for investment. Only high-quality accounting information disclosure can win the trust of relevant external investors, reduce debt financing costs, and obtain more financing. Based on this, this article combs、summarizes and analyzes the relevant literature on the relationship between the quality of accounting information disclosure and the cost of debt financing, and proposes some shortcomings and prospects.
    VL  - 5
    IS  - 4
    ER  - 

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