The Relationship between Earnings quality and Financial Stress: Evidence from Iran

By changing decision-making criteria and more competitive capital markets, stress and investment pressures for shareholders and investors have increased significantly, and it is necessary to pay more attention to stronger oversight mechanisms to improve the quality level of financial statements items It pays attention. This study examines the relationship between Earnings quality and Financial Stress in one hypothesis. The research method is descriptive and correlational and to analyze the relation between independent and dependent variables, multiple regression statistical methods were used. Then, to test the research hypothesis, using data on firms listed in Tehran Stock Exchange, through the sampling cup, 64 companies were selected as samples. The present results confirm the hypothesis that show the significant negative relationship between Earnings quality and financial stress in the capital markets in Iran.