IFRS adoption by UK unlisted firms: subsidiary- versus group-level incentives

Détails

ID Serval
serval:BIB_FD20B5339795
Type
Article: article d'un périodique ou d'un magazine.
Collection
Publications
Titre
IFRS adoption by UK unlisted firms: subsidiary- versus group-level incentives
Périodique
Accounting Forum
Auteur(s)
André Paul, Kalogirou Fani
ISSN
0155-9982
1467-6303
Statut éditorial
Publié
Date de publication
19/06/2019
Pages
1-23
Langue
anglais
Résumé
We examine both subsidiary- and group-level determinants of IFRS adoption by unlisted UK firms. Many unlisted firms are part of large conglomerate groups. For these firms, decisions about reporting practices are expected to be made at the group-level. Consistent with this hypothesis, we find that subsidiaries adopt IFRS as part of their group’s strategy to improve within group monitoring and raise external debt capital. The probability of a subsidiary adopting IFRS increases further when the parent firm is applying IFRS itself, when the within group information asymmetry is greater, and when the subsidiary is less autonomous. ROC curve analysis indicates that these incentives are more important than traditional subsidiary-level incentives studied previously. In additional analyses, we find that adopting subsidiaries benefit from better accounting quality and higher investment efficiency.
Mots-clé
Accounting, Finance
Création de la notice
01/07/2019 16:50
Dernière modification de la notice
21/08/2019 5:16
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