Financial Mistakes

Companies whose directors include one or more women are 38{a1ffc5a247fe0c85d3ebed0a3155eea8d0153120c60f3d846461db66758c53f5} less likely to have to restate their financial-performance figures to correct errors than firms with all-male boards, says a team led by Lawrence J. Abbott of the University of Wisconsin-Milwaukee. Gender diversity may make a board more open to viewpoints that oppose the CEO’s and may encourage a more deliberative and coilaborative decision-making process, according to the research, published in the American Accounting Association Journal Accounting Horizons.

Source: Women on corporate boards foster better financial reporting, study finds

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