Additionally, the presence of tabular or graphic formats may improve understandability by clarifying relationships and ensuring conciseness (IASB, 2006; Jonas & Blanchet, 2000) [U3]. Moreover, if the preparer of the annual report combines words and sentences that are easy to understand, the reader will be more likely to understand the content as well (Courtis, 2005). If technical jargon is unavoidable, for instance industry related jargon, an explanation in a glossary may increase the understandability of the information [U4, U5].
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