scholarly journals The value and accounting premium for South African-listed shares

2008 ◽  
Vol 2 (2) ◽  
pp. 187-202
Author(s):  
Jürgen Ernstberger ◽  
Christian Heinze ◽  
Oliver Vogler
Keyword(s):  
South African ◽  
Financial Reporting ◽  
The United States ◽  
High Ratio ◽  
Value Premium ◽  
Accounting Standard ◽  
Value Stocks ◽  
Financial Reporting Standards ◽  
The Us ◽  
Growth Stocks

In the last decade, empirical research has found strong evidence that value stocks provide higher returns than growth stocks (value premium). Firms with a high ratio of book value of equity to market value of equity are regarded as value stocks; a low ratio identifies growth stocks. Most research is tailored to the market in the United States of America. Only a few studies consider country-specific distinctions. This research analyses the value premium for the South African market and compares its magnitude to the findings for the US market. Moreover, the effects of the introduction of International Financial Reporting Standards (IFRS) for companies listed at the JSE Limited are examined. The adoption of IFRS is used to demonstrate that investors award an accounting premium for voluntary compliance with this new accounting standard.

scholarly journals The Impact Of International Financial Reporting Standards On Accounting Curriculum In The United States

2011 ◽  
Vol 4 (1) ◽  
Author(s):  
JeRamMohan R. Yallapragadarry ◽  
Alfred G. Toma ◽  
C. William Roe
Keyword(s):  
United States ◽  
Financial Reporting ◽  
Business Schools ◽  
The United States ◽  
International Financial Reporting Standards ◽  
Reporting Standards ◽  
Financial Reporting Standards ◽  
Accounting Curriculum ◽  
The Us ◽  
The Impact

According to the time line presently specified by the Securities and Exchange Commission (SEC), business firms in the United States (US) should switch from the existing US accounting reporting guidelines of the Generally Accepted Accounting Principles (GAAP) to International Financial Reporting Standards (IFRS) by the year 2014.  The US business school graduates and accounting professionals have less than four years to understand the differences between the two accounting systems, and to learn how to implement the new International Accounting Standards.  But many of the business schools in the US are not yet ready to include the new IFRS standards in their accounting curriculum. In many schools, administrators do not have any understanding of how to incorporate the new standards in their curriculum. Many European countries shifted to IFRS as early as 2005.  They are ahead of the US in teaching IFRS to their students. The main problems in incorporating IFRS in the curriculum include lack of good textbooks and providing training for professors to learn IFRS procedures so that they can teach them to their students. This paper makes an effort in presenting the historical background of IFRS, and the impact of the adapting of IFRS on US business schools.

scholarly journals Accounting For Agricultural Products: US Versus IFRS GAAP

2013 ◽  
Vol 11 (2) ◽  
pp. 79 ◽  
Author(s):  
Treba Marsh ◽  
Mary Fischer
Keyword(s):  
Financial Reporting ◽  
Fair Value ◽  
Financial Statement ◽  
International Accounting ◽  
Accounting Standard ◽  
Historical Cost ◽  
Financial Reporting Standards ◽  
The Us ◽  
Accounting Recognition ◽  
International Accounting Standard

Currently there is a mix of accounting guidance for agriculture producers in the US that is both GAAP including Accounting Statement Codification 905 and non-GAAP financial guidelines. Should the US adopt International Financial Reporting Standards (IFRS), this guidance would be replaced with International Accounting Standard (IAS) 41 Agriculture. This study identifies systematic differences between the US and International accounting and reporting for agricultural assets and products. The study also finds that international and US agricultural accounting recognition and reporting guidance result in dissimilar reporting due to guidance interpretation. Valuation variances and definition differences including the requirement to change the agricultural asset recognition method from historical cost to fair value continue to be the basis of major reporting differences. Current US guidance on recognizing and reporting agricultural assets is more conservative than the international guidance. Overall, the US agricultural recognition and reporting guidance contains less information and is therefore less beneficial to financial statement users.

scholarly journals The Impact of IFRS Adoption on Earnings Quality: A Study Conducted on Foreign Issuers in the United States

2015 ◽  
Vol 8 (11) ◽  
pp. 139 ◽  
Author(s):  
Priscilla Samantha Den Besten ◽  
Georgios Georgakopoulos ◽  
Konstantinos Z. Vasileiou ◽  
Nikolaos Ereiotis
Keyword(s):  
United States ◽  
Financial Reporting ◽  
Earnings Quality ◽  
Discretionary Accruals ◽  
The United States ◽  
Financial Reporting Standards ◽  
Ifrs Adoption ◽  
The Us ◽  
The Difference ◽  
The Impact

<p>The worldwide adoption of International Financial Reporting Standards (IFRS) is affecting many countries around the globe as it has become widely spread. Since 2007 the United States (US) allows foreign issuers to voluntarily adopt IFRS. This paper investigates the effect of IFRS adoption on earnings quality after voluntary IFRS adoption was allowed to foreign issuers in the US. More precisely, the discretionary accruals and the small positive earnings are tested for a sample of foreign issuers in the US that are registered and reporting with the SEC, comparing a pre-period from 2002 to 2006 with a post-period from 2008 to 2011. The results from the difference-in-differences regression analysis suggest that in terms of discretionary accruals there is no statistical difference between the pre-IFRS and the post-IFRS period, therefore the earnings quality remains the same. For small positive earnings it is found that, when foreign issuers incorporate IFRS, these are lower, indicating higher earnings quality.</p>

The Nexus Between Johannesburg Stock Exchange and the United States Unemployment Rate Announcement: An Impulse Response Analysis

2018 ◽  
Vol 10 (3(J)) ◽  
pp. 160-168
Author(s):  
Misheck Mutize ◽  
Victor Virimai Mugobo
Keyword(s):  
United States ◽  
South African ◽  
Impulse Response ◽  
Unemployment Rate ◽  
Stock Prices ◽  
Stock Exchange ◽  
The United States ◽  
Response Analysis ◽  
Johannesburg Stock Exchange ◽  
The Us

The study explores the relationship between the unemployment rate in the United States and South Africa’s stock prices from the beginning of 2013 to the last day 2017. The objective of this paper is to examine the impact of the US unemployment rate announcement on the South African financial market. Results of Impulse Response analysis show that there is a very minimal impact from the US unemployment announcement to South Africa’s stock prices which disappears within two days of the announcement. In addition, the Johannesburg stock exchange index marginally responds to own shocks, which marginally fades away within two days. These findings imply that the changes in the US employment policies have a direct ripple effect on the South African macroeconomic environment, its investing public sentiments and corporate confidence on the future prospects of businesses.

A CHRONOLOGY OF THE DEVELOPMENT OF CORPORATE FINANCIAL REPORTING IN CANADA: 1850 TO 1983

1986 ◽  
Vol 13 (1) ◽  
pp. 31-62 ◽  
Author(s):  
George J. Murphy
Keyword(s):  
Financial Reporting ◽  
The United States ◽  
Company Law ◽  
Economic Relationships ◽  
Professional Activities ◽  
Financial Reporting Standards ◽  
Significant Events ◽  
Canadian Institute ◽  
Chartered Accountants ◽  
Corporate Financial Reporting

A chronology of significant events in the development of corporate financial reporting standards and practices is presented. The introductory comments to the various sections direct attention to some of the main patterns and trends in that development and provide the framework in which the listing of events is to be interpreted. The particularly significant domestic sources of influence are the legislative and professional activities in Ontario and, in more recent times, the activities of the Canadian Institute of Chartered Accountants. External influences have been—not unexpectedly—the traditions of English Company law and the close professional, institutional and economic relationships with the United States. Some internationally significant developments unique to Canada are indicated.

Approaches to the Organization of International Accounting in Russian Enterprises

TEM Journal ◽  
2021 ◽  
pp. 249-258
Author(s):  
Ekaterina V. Surkova ◽  
Galina A. Skachko ◽  
Larisa K. Nikandrova ◽  
Maria M. Starkova ◽  
Nina F. Sakharova
Keyword(s):  
Financial Reporting ◽  
Accounting Information ◽  
Financial Statements ◽  
Reporting Standards ◽  
Optimal Method ◽  
Accounting Standard ◽  
Financial Reporting Standards ◽  
Advantages And Disadvantages ◽  
The Individual ◽  
Selection Of

The article discusses current issues of transformation of accounting information in accordance with international financial reporting standards (IFRS). This study is primarily aimed at developing approaches that determine the need for Russian enterprises to provide accounting information comparable at the international level. The authors analyze methods of transferring data from the Russian Accounting Standard (RAS) to IFRS. The methods used to form financial statements in accordance with IFRS are discussed. The issues of the application of these methods, as well as their advantages and disadvantages, are discussed. The author's approach to the selection of the optimal method of transformation is proposed taking into account the individual needs of organizations.

scholarly journals IMPACT OF ADOPTING IFRS STANDARD ON THE EQUITY COST OF BRAZILIAN OPEN CAPITAL COMPANIES

2016 ◽  
Vol 17 (4) ◽  
pp. 85-108 ◽  
Author(s):  
RAFAEL CONFETTI GATSIOS ◽  
JOSÉ MARCOS DA SILVA ◽  
MARCELO AUGUSTO AMBROZINI ◽  
ALEXANDRE ASSAF NETO ◽  
FABIANO GUASTI LIMA
Keyword(s):  
Financial Reporting ◽  
Accounting Standard ◽  
Financial Reporting Standards ◽  
Quality Of Accounting Information ◽  
Information Studies ◽  
Equity Cost ◽  
Mandatory Adoption ◽  
The Difference ◽  
Methodological Aspects ◽  
The Impact

ABSTRACT Purpose: This study aims to assess the impact of adopting IFRS standard on the equity cost of Brazilian open capital companies in the period of 2004-2013. Originality/gap/relevance/implications: The adoption of International Financial Reporting Standards aims to increase the quality of accounting information. Studies performed in Europe suggest that, after the adoption of the IFRS standard, there was a reduction in the equity cost of companies due to the reduction of information asymmetry and risk. Key methodological aspects: The equity cost was calculated using the capital asset pricing model (CAPM) adapted to the Brazilian case. The empirical strategy was the difference analysis in differences, comparing the results of companies that voluntarily adopted the IFRS with companies that adopted IFRS after the mandatory adoption period. Summary of key results: The results indicate that the adoption of the IFRS standard does not contribute to reduce the equity cost in Brazil. Key considerations/conclusions: Suggesting that the process of adopting the international accounting standard may take more time to impact the equity cost of Brazilian open capital companies, since the impact of IFRS is not related only with the adoption, but also with its use by companies and users.

scholarly journals Establishing a South African Honour Society of Nursing under auspices of Sigma Theta Tau International (Inc.)

Curationis ◽  
1998 ◽  
Vol 21 (4) ◽  
Author(s):  
D. Van der Wal
Keyword(s):  
United States ◽  
South African ◽  
American English ◽  
The United States ◽  
Standard English ◽  
The Us

The information on Sigma Theta Tau International (Inc.) which follows is reproduced from official STTI documentation with permission from the STTI Chapter Manager. This section should thus be read with the United States context in mind as certain words and concepts have different meanings in the US and SA contexts, eg under graduate, graduate, college and the like. In addition, certain words are also spelled differently in American English and standard English.

Megascreens USA Inc.—A Foreign Operations Case

2007 ◽  
Vol 22 (4) ◽  
pp. 579-590 ◽  
Author(s):  
Charles A. Carslaw ◽  
S. E. C. Purvis
Keyword(s):  
Financial Reporting ◽  
Foreign Currency ◽  
Financial Statements ◽  
The United States ◽  
Cash Flows ◽  
Consolidated Financial Statements ◽  
Comprehensive Overview ◽  
Financial Reporting Standards ◽  
Foreign Operations ◽  
Statement Of Cash Flows

This relatively short case gives students a comprehensive overview of the steps required to prepare consolidated financial statements under U.S. GAAP when a subsidiary prepares its accounts under a foreign GAAP—in this case, International Financial Reporting Standards (IFRS). While the case is closely based on an actual Australasian company seeking listing in the United States, the product and the exact financial details are disguised. Specifically, the case exposes students to the following: accounting for foreign currency transactions; adjustments to convert foreign GAAP to U.S. GAAP (accounting for license fees); translation of financial statements; change of functional currency; remeasurement of financial statements; and foreign consolidation and statement of cash flows with foreign operations. The case has been field-tested in an advanced accounting course and is also suitable for use in international accounting courses. Both undergraduate and graduate students have profited from the case.

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