Dr. Kawa Wali
Salahaddin University–Erbil and Erasmus University – Rotterdam, Netherlands
Email: [email protected]
DOI: 10.23918/ICABEP2021p21
Abstract
International Financial Reporting Standards (IFRS) were first introduced in 2005 by European Union countries, as these standards were applied voluntarily in some of these countries, but became mandatory after 2005 and 2006 to share the opportunities provided by globalization. Therefore, this paper examined the impact of applying IFRSs on the importance of the value of accounting information to Dutch and UK companies. The study was conducted before (2000-2006) and after (2007-2016) analyzing IFRS for 54 Dutch companies and 66 UK companies listed on the two countries’ exchanges.
The study obtained data on stock prices, dividends and book value of shares from published annual reports of companies from both countries that cite and manage cash assets. Using a multiple regression model, the study exposed that previous IFRS accounting information is related to value and that post IFRS accounting information is also related to value. Accounting information after IFRSs have a relative value relationship to accounting information prior to IFRS
Keywords: IFRS, Value Relevance, Accounting Information, Dutch and UK companies
ICABEP2021
International Conference on Accounting, Business, Economics and Politics
3rd joint conference organized by the collaboration of the Faculty of Administrative Sciences and Economics,
Tishk International University, College of Administration and Economics, Salahaddin University-Erbil, and
University of Szczecin, Poland.
