The Role of Professional Skepticism in Improving the Quality of Financial Reporting: A Field Study of Commercial Banks in Benghazi

Abstract

The study aims to focus on the entity's soundness and stability. In this context, it will present findings that can be utilized to enhance skills regarding financial quality and to understand its impact; a descriptive approach was adopted to define the nature and objectives of the subject, Regarding the practical aspect, an analytical approach will be employed to examine and analyze the role of professional skepticism in enhancing the quality of financial reports. This involves collecting and analyzing data through questionnaires distributed to the banks under study. The study population consists of 240 employees working in the finance departments of commercial banks in Benghazi. To determine the sample size, the Krejcie & Morgan (1970) tables were used, resulting in a sample size of 140 respondents, Participants will be selected using a proportional stratified random sampling method. The study concluded that professional skepticism plays a role in enhancing the quality of financial reports in commercial banks in Benghazi by increasing the ability to detect errors and verify financial information and data prior to approval. It also recommends encouraging the continuous updating of professional and accounting knowledge, as well as the pursuit and verification of additional evidence and information, alongside strengthening continuous professional training and development programs to help minimize errors and misstatements and improve the quality of financial reports.