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Mandatory IFRS Adoption and Earnings Quality: Evidence from the UK

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  • Mohammad Issa Almaharmeh
  • Ra’ed Masa’deh

Abstract

This study examines the effect of mandatory IFRS adoption on the quality of accounting earnings for the firms listed in London Stock Exchange. After examining 9056 firm year observations for the period from 1994 to 2013 the results suggest that the mandatory adoption of IFRS leads to higher earnings quality. This study extends the current literature that examines the consequences of mandating IFRS adoption in the UK and shows that adopting high quality accounting standards leads to high quality accounting numbers.

Suggested Citation

  • Mohammad Issa Almaharmeh & Ra’ed Masa’deh, 2018. "Mandatory IFRS Adoption and Earnings Quality: Evidence from the UK," Modern Applied Science, Canadian Center of Science and Education, vol. 12(11), pages 197-197, November.
    • Handle: RePEc:ibn:masjnl:v:12:y:2018:i:11:p:197
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    1. Nyanine Chuele Fonou Dombeu & Bomi Cyril Nomlala, 2023. "Earnings Quality Research: Trend, Recent Evidence and Future Direction," International Review of Management and Marketing, Econjournals, vol. 13(5), pages 1-8, September.

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    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

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