Timely and Costly? Exploring the Role of Annual Report Readability in Investment Decision-Making

Abstrak

This study aims to examine the partial effects of timeliness, audit cost, and readability on investment decisions, as well as to test the ability of readability as a moderating variable in the research model. The research sample includes 17 companies listed on the LQ45 index, with data analysis using multiple linear regression. The research model was designed to examine the direct influence of timeliness, audit costs, and readability on investment decisions and to evaluate the role of readability as a quasi-moderator. The results showed that timeliness, audit costs, and readability had a negative influence on investment decisions. In addition, it was found that readability functioned as a moderating variable, so that the level of readability of annual reports could influence the relationship between timeliness and audit fees on investment decisions.