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Ifrs Adoption In Romania And The Importance Of Auditor Size

Author

Listed:
  • Inesa TOFANICA

    (PhD student at Doctoral School of Economics and Business Studies, “Al.I.Cuza” University of Iasi, Romania)

  • Emil HOROMNEA

    (PhD student at Doctoral School of Economics and Business Studies, “Al.I.Cuza” University of Iasi, Romania)

  • Alin CHELARIU

    (PhD student at Doctoral School of Economics and Business Studies, “Al.I.Cuza” University of Iasi, Romania)

Abstract

The recent accounting regulations in Romania have made mandatory the use of IFRS in the individual financial statements of the companies listed on stock exchange. The aim of this study is to see to what extent the figures in the statements have been influenced by this new enforcement. We have studied the companies affected by this regulation and publicly traded on the Bucharest Stock Exchange. Our findings showed that, on average, Romanian companies did not comply with IFRS practices, as they prefer the practices that do not differ from national regulation. Moreover, the study has shown that the companies audited by a Big 4 have adopted practices closer to the Anglo Saxon accounting system.

Suggested Citation

  • Inesa TOFANICA & Emil HOROMNEA & Alin CHELARIU, 2016. "Ifrs Adoption In Romania And The Importance Of Auditor Size," THE YEARBOOK OF THE "GH. ZANE" INSTITUTE OF ECONOMIC RESEARCHES, Gheorghe Zane Institute for Economic and Social Research ( from THE ROMANIAN ACADEMY, JASSY BRANCH), vol. 25(1), pages 3-10.
    • Handle: RePEc:zan:ygzier:v:25:y:2016:i:1:p:3-10
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    References listed on IDEAS

    as
    1. Costel Istrate, 2014. "Impact of IFRS on the accounting numbers of Romanian listed companies," Journal of Accounting and Management Information Systems, Faculty of Accounting and Management Information Systems, The Bucharest University of Economic Studies, vol. 13(3), pages 466-491, September.
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    6. Costel Istrate, 2014. "Impact Of Ifrs On The Accounting Numbers Of Romanian Listed Banks," The Journal of Accounting and Management, Danubius University of Galati, issue 2, pages 45-49, August.
    7. Caramanis, Constantinos & Lennox, Clive, 2008. "Audit effort and earnings management," Journal of Accounting and Economics, Elsevier, vol. 45(1), pages 116-138, March.
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