【11月23日】【会计学院学术论坛】Does IFRS Adoption Affect Financial Reporting Comparability-发布日期：2019-09-12 21:08:28
讲座主题：Does IFRS Adoption Affect Financial Reporting Comparability?
摘要：With the international convergence of accounting standards and the development of modern finance theory, comparability is ranked as an increasingly important accounting quality. We exploit dual class Chinese companies to examine whether IFRS adoption affects financial reporting comparability within a specific country. A-shares of dual class firms comply with Chinese accounting standards (CAS) while B-shares adopt International Financial Reporting Standards (IFRS). We document a disparity in financial reporting comparability between A- and B-shares. A shares exhibits higher comparability than B shares do. This disparity in comparability shrinks following the 2007 financial reporting regime change in which CAS converged to IFRS. Then, we find that fair value accounting, goodwill impairment and deferred tax contribute to the comparability disparity, consistent with these complex and discretionary accounting treatment permitted by IFRS generating unintentional errors and facilitating intentional manipulation in financial reporting. Furthermore, weak corporate governance also aggravates the lower comparability led by IFRS adoption. Finally, we show that the comparability disparity creates differences in information asymmetry, explaining the price differences between A- and B- shares. Overall, our paper provides evidence on negative side effects of IFRS implementation in emerging countries.