Does Mandatory Adoption of IFRS Improve Accounting Quality? Preliminary Evidence* ANWER S. AHMED, Texas A&M University MICHAEL NEEL, University of Houston DECHUN WANG, Texas A&M University 1. Introduction We provide evidence on the preliminary effects of mandatory adoption of International Financial Reporting Standards (IFRS) on accounting quality for a relatively broad set of firms from 20 countries that adopted IFRS in 2005 relative to a benchmark group of firms from countries that did not
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ACC 607 Lecture Notes Session 1 Types of Accounting A. Financial Accounting B. Managerial Accounting Role of Accounting * Safeguarding assets of the company (through record keeping) * Providing information to various user groups * Creditors (lenders) * Investors (stockholders) * Managers (internal users) * Regulatory agencies (e.g., IRS) * Of these groups investors may need the most comprehensive set of financial information. This
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financing decisions, the investor may have the ability to influence the timing of the dividend. If dividends were recorded as income (cash basis of income recognition), managers could affect reported income in a way that does not reflect actual performance. Therefore, in reflecting the close relationship between the investor and investee, the equity method employs accrual accounting to record income as it is earned by the investee. The investment account is increased for the investee earned income and
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All CFA Institute members and candidates are required to comply with the Code and Standards Basic structure for enforcing the Code and Standards The CFA Institute Bylaws primary principles Based on two Fair process to member and candidate Confidentiality of proceedings Rules of Procedure Maintains oversight and responsibility The CFA Institute Board of Governors Through the Disciplinary Review Committee (DRC) Is responsible for the enforcement of the Code and Standards Conducts professional
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Business Economics Slide 1 The Intention of every business-to make money Slide 2 *Basics to becoming wealthy and remaining wealthy 1. Spend wisely 2. Create multiple sources of income (several ways to make money) 3. Invest you money to make more money 4. Pay as little taxes as possible that is legal Spend Wisely- Credit cards are a great way to keep track of expenses and keep all expenses in one place. But, you must pay them off every month or they are bad. Multiple sources
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John M. Olin School of Business ACCOUNTING 3610 - FALL 2008 INTERMEDIATE FINANCIAL ACCOUNTING THEORY I EXAM # 1 (100 Points) There are a total of 100 points on this exam. There are five problems, and the total amount of points allocated to each problem is as follows: Points Earned Problem 1 – 20 Points _______ Problem 2 – 30 Points _______ Problem 3 – 25 Points _______
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ACCT 1201 Lecture Notes – Hurley Spring 2016 Chapter 1 * Chapter 1 Learning Objectives: * Recognize the information conveyed in each of the four basic financial statements and the way that it is used by different decision makers (investors, creditors, and managers) * Identify the role of generally accepted accounting principles (GAAP) in determining financial statement content and how companies ensure the accuracy of their financial statements. * Why do we need financial
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States University of Pennsylvania, Philadelphia, PA 19104, United States a r t i c l e i n f o abstract Available online 4 November 2010 Researchers have used various measures as indications of ‘‘earnings quality’’ including persistence, accruals, smoothness, timeliness, loss avoidance, investor responsiveness, and external indicators such as restatements and SEC enforcement releases. For each measure, we discuss causes of variation in the measure as well as consequences. We reach no single
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oncology is accelerating the treatment, prevention and ultimate eradication of cancer. Financial Analysis Based on the form 990 from 2009, Animal Cancer Foundation uses the cash method, therefore, does not include accounts receivable and other accrual items of income under the income section or accounts payable or other accrual items of expenses under the expenses section. The total revenue for the year ending June 30, 2010 was for $64,186 and the total expenses were $89,867. These numbers led me
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indirect method in reporting cash flow statement is beneficial to the users of general purpose financial reports. The paper is divided into five parts where it started off with a brief introduction of AASB 107, following by the reasons for harmonization, the arguments for and against the (in)direct method as well as some criticisms before moving into conclusion. Cash flow is vital to determine the potential of profitable firms as most firms under the basis of accrual accounting may still present
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