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Value Relevance of Accounting Information in the United Arab Emirates

Author

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  • Jamal Barzegari Khanagha

    (University of Yazd, Iran)

Abstract

This paper examines the value relevance of accounting information in per and post-periods of International Financial Reporting Standards implementation using the regression and portfolio approaches for sample of the UAE companies. The results obtained from a combination of regression and portfolio approaches, show accounting information is value relevant in UAE stock market. A comparison of the results for the periods before and after adoption, based on both regression and portfolio approaches, shows a decline in value relevance of accounting information after the reform in accounting standards. It could be interpreted to mean that following to IFRS in UAE didn’t improve value relevancy of accounting information. However, results based on and portfolio approach shows that cash flows’ incremental information content increased for the post-IFRS period.

Suggested Citation

  • Jamal Barzegari Khanagha, 2011. "Value Relevance of Accounting Information in the United Arab Emirates," International Journal of Economics and Financial Issues, Econjournals, vol. 1(2), pages 33-45, June.
  • Handle: RePEc:eco:journ1:2011-02-2
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Piotr Bolibok, 2014. "The impact of IFRS on the value relevance of accounting data of banks listed on the Warsaw Stock Exchange," Copernican Journal of Finance & Accounting, Uniwersytet Mikolaja Kopernika, vol. 3(1), pages 33-43.

    More about this item

    Keywords

    Value Relevance; IFRS; Accounting Information; UAE.;

    JEL classification:

    • M41 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Accounting

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