Financial reporting comparability: evidence on the impact of ambiguity tolerance and accounting standard guidance
In this study, we investigate whether the provision of formal guidance in the interpretation of ambiguous principles-based accounting standard provisions contributes to, or detracts from, financial reporting comparability. Analysing judgments made by Chinese accountants working in Beijing, Shanghai, and Guangzhou, our results highlight that the presentation of comparable financial information is hindered by the presence of guidance. These results suggest that if national and international comparability is desired, standard setting authorities should exercise caution when incorporating guidance into accounting standards.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): 7 (2011)
Issue (Month): 4 ()
|Contact details of provider:|| Web page: http://www.inderscience.com/browse/index.php?journalID=41|
When requesting a correction, please mention this item's handle: RePEc:ids:ijaape:v:7:y:2011:i:4:p:359-374. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Graham Langley)
If references are entirely missing, you can add them using this form.