The comparability of European IFRS financial statements. Problem areas according to auditors, analysts and other users.

Reaching higher comparability was one of the main goals of the implementation of the International Financial Reporting Standards (IFRS) in the European Union in 2005. However, national accounting traditions and cultural differences continue to cause differences in the application of IFRS. European IFRS financial statements might therefore be less comparable than users of these financial statements possibly assume. There is thus a need for research on how comparable the consolidated financial statements of the European listed companies truly are. This study contributes by determining what the problem areas of European IFRS financial statements are when it comes to comparability according to auditors, analysts and other users of these financial statements. Our survey of 426 individuals reveals 13 areas that are viewed as problematic by at least half of the respondents. Despite the many problem areas, 41% of the respondents believe that European IFRS financial statements are comparable. The more experience respondents have, however, the less they believe in the comparability of these financial statements.

ISBN:978-0-620-50389-1

Jaar van publicatie:2011

Trefwoorden:IFRS, Comparability of financial statements