The mediating effect of information technology on the cost of internal control systems and enhancing confidence in quality relationship on accounting information quality

Abstract

This study aimed to investigate the mediating effect of information technology on the relationship between internal control system's costs and enhancing confidence in the quality of accounting information in banks working in Jordan. To achieve the objectives of the study, the researchers designed a 56-items questionnaire and 200 versions of this questionnaire were distributed on a random sample from the study population represented by all employees of the internal control departments in banks operating in Jordan, and 152 questionnaires were retrieved, and 4 questionnaires were excluded because they were not valid for analysis so, the valid questionnaires for analysis were 148 questionnaires. Effect was assessed using the Multiple Regression Analysis and after the appropriate statistical treatment, the study concluded with a group of results the most important among which that there was a mediating effect of information technology on the relationship between internal control system's costs and increasing confidence in accounting information in banks working in Jordan in terms of internal control environment costs, internal control activities' costs, internal risk assessment's costs, internal monitoring and follow-up costs, information and internal communication costs among banks working in Jordan that use internal control systems. In light of the results revealed, the researchers recommended the need for implementing internal control systems within certain cost limits in banks because of their significant role in increasing confidence in accounting information through the aforementioned variables.