IFRS adoption in Spain and the United Kingdom: Effects on accounting numbers and relevance

Callao Gastón, S. (Universidad de Zaragoza) ; Ferrer García, C. (Universidad de Zaragoza) ; Jarne Jarne, J. I. (Universidad de Zaragoza) ; Laínez Gadea, J. A. (Universidad de Zaragoza)

Resumen: This paper examines the quantitative impact of mandatory IFRS adoption on financial reporting issued by first-time adopters. It analyses whether relevance of financial information is higher under IFRS than the information provided in financial statements prepared under local GAAP when investors have to make decisions in the capital markets. Both studies compare results in Spain and in the United Kingdom, whose accounting systems have been traditionally considered in opposite groups. The results of the research reveal that the quantitative impact is significant in both countries and, against what we expected, it is higher in the United Kingdom. We also observe that IFRS have negative effect on the relevance of financial reporting in both countries, although this effect has only been significant in Spain.

Idioma: Inglés

DOI: 10.1016/j.adiac.2010.08.003

Año: 2010

Publicado en: Advances in accounting 26, 2 (2010), 304-313
ISSN: 0882-6110

Tipo y forma: Artículo (PostPrint)

Área (Departamento): Área Economía Finan. y Contab. (Dpto. Contabilidad y Finanzas)