The International Financial Reporting Standards (IFRS) adoption and value relevance

Abstract

This research examines the impact of the International Financial Reporting Standards (IFRS) on value relevance (VR). It is reported that most previous studies that address value relevance relationships with the IFRS have found conflicting results. For example, a reduction in VR in the US but it enhances in most reviewed studies (Gao et al., 2022). According to the findings, the impact of implementing IFRS varies from country to country. In the UK, the IFRS adoption has decreased the book value (BV) while in France and Germany, has increased. After adopting IFRS during the financial crisis, the findings also suggest that the VR has fallen in these nations. All financial institutions trading on the stock markets of these three nations serve as a sample for this study. Quantitative methods are used to collect data for this study, while SPSS is used for statistical analysis. The data was analysed prior to IFRS (2000–2004), for the global financial crisis of 2008, and later IFRS (2006–2015). This study adds to accounting knowledge by analysing the results of IFRS adoption throughout the time frames. In addition, it helps accounting standards setters and policymakers in developing IFRS quality and establishing related policies.

IFRS Adoptions on Entrepreneurial Intentions: The Nigeria Experience from 2006-2017

“…IFRS adoption leads to capital market benefits of lesser return to insiders as the financial results are more comparable, allowing all users to make a better comparison (Barth, Landsman & Lang, 2008). Hussen, Sinan and Azher (2023) support that IFRS adoption leads to positive reaction from investors for firms with high quality information. A greater positive impact on quality is documented for banking stocks.…”

“…Okpala ignite the findings of Glaum on assesses the impact of the IFRS adoption in Germany on the accuracy of analysts' forecasts from 1997 to 2005 which results indicated a significant increase in analysts' accuracy after the international accounting adoption, suggesting that greater information disclosure affects the quality of forecast performed. In this vein, the study coin its point of departure from Hussen et al, (2023) with intends to bridge the gap in the pre and post of IFRS adoption on entrepreneurial intentions in Nigeria quoted firms from 2006 to 2017.…”

IFRS Adoptions on Entrepreneurship Entry and Entrepreneurship Exit: The Nigeria Experience From 2006-2017

“…On the other hand for sustainability purposes the entrepreneurship entry should adopt product development, market development, market extension and business rejuvenization (Ovharhe, 2023b;Rossi & Volpin, 2004). One of the standard reporting methods that should be employing by the micro enterprise and macro enterprise by entrepreneurs is the International Financial Reporting Standards (IFRS) (Hussen, Sinan & Azher;2023;Barth, Landsman & Lang, 2008). International Financial Reporting Standards (IFRS) are body of prescriptive rules and guidelines with global reach and appeal which provide direction and guidance on how business enterprises in a globalized world could achieve the goal of proper record keeping, transparency, uniformity, comparability and enhancing public confidence in financial reporting (Abata, 2015).…”