Title: Evaluating the effect of IFRS adoption on earnings management in Greece. A logit approach

Authors: Christianna Chimonaki; Konstantinos Vergos

Addresses: Portsmouth Business School, University of Portsmouth, UK ' Portsmouth Business School, University of Portsmouth, UK

Abstract: The study examines if IFRS adoption resulted in the long run to decreasing accounting manipulation. We use the full sample of 231 non-financial firms that were listed on the ASE between 2002 and 2015, to examine our hypothesis. We measure the accounting quality in financial statements of Greece by using five different methods. We provide for the first time evidence based on the long-term period that supports the hypothesis that IFRS adoption has been a significant step towards transparency and lower information costs. The findings of study endorse the wider and faster adoption of international accounting standards, and provide a valuable evidence globally that can be useful to regulators and market participants.

Keywords: accounting quality; International Financial Reporting Standards; IFRS; earnings management; earnings manipulation; logit; Greece; auditing.

DOI: 10.1504/IJFERM.2019.101302

International Journal of Financial Engineering and Risk Management, 2019 Vol.3 No.2, pp.130 - 145

Received: 02 Oct 2018
Accepted: 12 Mar 2019

Published online: 24 Jul 2019 *

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