The effect of corporate governance indicators on enhancing the financial performance of industrial listed companies on the Amman Stock Exchange

• Main Authors: Abutaber, Thaer Ahmad, Bzur, Ahmad Eqab Al, Odeh, Mohammad Husam, Alathamneh, Mustafa, Al-Okaily, Manaf, Afaneh, Mohammad Kamal
• Format: Article
• Language: English
• Published: Growing Science 2021-01-01
• Series: Accounting
• Online Access: http://www.growingscience.com/ac/Vol7/ac_2020_171.pdf

This paper investigated the impact of corporate governance on enhancing the financial performance of industrial companies. The sample of the research consisted of 55 industrial companies listed at the Amman Stock Exchange (ASE) during the period 2014-2018. Data were collected from the firms' annual financial statements using content analysis approach. The results confirmed that the audit committee and ownership structure had positive and significant effects on two dimensions of financial performance. In view of research findings, the study recommends companies to raise some awareness about the importance of corporate governance, in addition to strengthening supervisory procedures by legislators.