Impairment losses: the impact of the first-time adoption of the accounting standardization system In Portugal
Autor(a) principal: | |
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Data de Publicação: | 2018 |
Outros Autores: | , |
Tipo de documento: | Artigo |
Idioma: | eng |
Título da fonte: | Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
Texto Completo: | http://hdl.handle.net/10071/16215 |
Resumo: | In 2010, Portuguese unlisted companies started to apply a new accounting frame of reference called Accounting Standardisation System (Sistema de Normalização Contabilística – SNC) based on IAS/IFRS. This paper seeks to analyse the impact of SNC first-time adoption regarding the accounting treatment of impairment losses. Portugal has been recognized as a Code-law country, with weak legal enforcement mechanisms, and conservative accounting practices. However, since 2005 Portuguese companies have been changing their financial reporting practices to a common-law institutional logic. Therefore, the present research setting might provide interesting insights to confirm if the differences found are due to management interests, rather than cultural issues. Differences found are neither due to cultural issues nor management interests. To mitigate political costs associated with their public visibility, larger companies present more credible financial statements that reflect their overall true financial and economic condition. This study is a valuable contribution to both the users of financial information and domestic standard-setters entities to help them understand and improve the impact of accounting standards. Consistent with Khalil and Simon (2014), it also contributes to the debate on the optimal flexibility permitted by International Financial Reporting Standards to improve reporting quality and reduce earnings management. |
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Impairment losses: the impact of the first-time adoption of the accounting standardization system In PortugalImpairment lossesIAS/IFRS-based standardsAccountingHarmonizationFinancial reportingIn 2010, Portuguese unlisted companies started to apply a new accounting frame of reference called Accounting Standardisation System (Sistema de Normalização Contabilística – SNC) based on IAS/IFRS. This paper seeks to analyse the impact of SNC first-time adoption regarding the accounting treatment of impairment losses. Portugal has been recognized as a Code-law country, with weak legal enforcement mechanisms, and conservative accounting practices. However, since 2005 Portuguese companies have been changing their financial reporting practices to a common-law institutional logic. Therefore, the present research setting might provide interesting insights to confirm if the differences found are due to management interests, rather than cultural issues. Differences found are neither due to cultural issues nor management interests. To mitigate political costs associated with their public visibility, larger companies present more credible financial statements that reflect their overall true financial and economic condition. This study is a valuable contribution to both the users of financial information and domestic standard-setters entities to help them understand and improve the impact of accounting standards. Consistent with Khalil and Simon (2014), it also contributes to the debate on the optimal flexibility permitted by International Financial Reporting Standards to improve reporting quality and reduce earnings management.Wiley2018-06-21T17:05:09Z2020-06-21T00:00:00Z2018-01-01T00:00:00Z20182019-03-20T14:43:36Zinfo:eu-repo/semantics/publishedVersioninfo:eu-repo/semantics/articleapplication/pdfhttp://hdl.handle.net/10071/16215eng1035-690810.1111/auar.12221Oliveira, J.Azevedo, G.Oliveira, B.info:eu-repo/semantics/openAccessreponame:Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)instname:Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informaçãoinstacron:RCAAP2023-11-09T17:42:28Zoai:repositorio.iscte-iul.pt:10071/16215Portal AgregadorONGhttps://www.rcaap.pt/oai/openaireopendoar:71602024-03-19T22:19:51.821470Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) - Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informaçãofalse |
dc.title.none.fl_str_mv |
Impairment losses: the impact of the first-time adoption of the accounting standardization system In Portugal |
title |
Impairment losses: the impact of the first-time adoption of the accounting standardization system In Portugal |
spellingShingle |
Impairment losses: the impact of the first-time adoption of the accounting standardization system In Portugal Oliveira, J. Impairment losses IAS/IFRS-based standards Accounting Harmonization Financial reporting |
title_short |
Impairment losses: the impact of the first-time adoption of the accounting standardization system In Portugal |
title_full |
Impairment losses: the impact of the first-time adoption of the accounting standardization system In Portugal |
title_fullStr |
Impairment losses: the impact of the first-time adoption of the accounting standardization system In Portugal |
title_full_unstemmed |
Impairment losses: the impact of the first-time adoption of the accounting standardization system In Portugal |
title_sort |
Impairment losses: the impact of the first-time adoption of the accounting standardization system In Portugal |
author |
Oliveira, J. |
author_facet |
Oliveira, J. Azevedo, G. Oliveira, B. |
author_role |
author |
author2 |
Azevedo, G. Oliveira, B. |
author2_role |
author author |
dc.contributor.author.fl_str_mv |
Oliveira, J. Azevedo, G. Oliveira, B. |
dc.subject.por.fl_str_mv |
Impairment losses IAS/IFRS-based standards Accounting Harmonization Financial reporting |
topic |
Impairment losses IAS/IFRS-based standards Accounting Harmonization Financial reporting |
description |
In 2010, Portuguese unlisted companies started to apply a new accounting frame of reference called Accounting Standardisation System (Sistema de Normalização Contabilística – SNC) based on IAS/IFRS. This paper seeks to analyse the impact of SNC first-time adoption regarding the accounting treatment of impairment losses. Portugal has been recognized as a Code-law country, with weak legal enforcement mechanisms, and conservative accounting practices. However, since 2005 Portuguese companies have been changing their financial reporting practices to a common-law institutional logic. Therefore, the present research setting might provide interesting insights to confirm if the differences found are due to management interests, rather than cultural issues. Differences found are neither due to cultural issues nor management interests. To mitigate political costs associated with their public visibility, larger companies present more credible financial statements that reflect their overall true financial and economic condition. This study is a valuable contribution to both the users of financial information and domestic standard-setters entities to help them understand and improve the impact of accounting standards. Consistent with Khalil and Simon (2014), it also contributes to the debate on the optimal flexibility permitted by International Financial Reporting Standards to improve reporting quality and reduce earnings management. |
publishDate |
2018 |
dc.date.none.fl_str_mv |
2018-06-21T17:05:09Z 2018-01-01T00:00:00Z 2018 2019-03-20T14:43:36Z 2020-06-21T00:00:00Z |
dc.type.status.fl_str_mv |
info:eu-repo/semantics/publishedVersion |
dc.type.driver.fl_str_mv |
info:eu-repo/semantics/article |
format |
article |
status_str |
publishedVersion |
dc.identifier.uri.fl_str_mv |
http://hdl.handle.net/10071/16215 |
url |
http://hdl.handle.net/10071/16215 |
dc.language.iso.fl_str_mv |
eng |
language |
eng |
dc.relation.none.fl_str_mv |
1035-6908 10.1111/auar.12221 |
dc.rights.driver.fl_str_mv |
info:eu-repo/semantics/openAccess |
eu_rights_str_mv |
openAccess |
dc.format.none.fl_str_mv |
application/pdf |
dc.publisher.none.fl_str_mv |
Wiley |
publisher.none.fl_str_mv |
Wiley |
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reponame:Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) instname:Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação instacron:RCAAP |
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Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação |
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RCAAP |
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RCAAP |
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Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
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Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
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Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) - Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação |
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