Document Type

Thesis

Publication details

Sinnewe, E 2013, 'An empirical investigation of voluntary non-IFRS earnings reporting during the recent financial crisis : Australian evidence', PhD thesis, Southern Cross University, Lismore, NSW.

Copyright E Sinnewe 2013

Abstract

This study examines how the financial crisis affected the reporting choice of and market reaction to earnings that are different from the profit firms report on their income statement under International Financial Reporting Standards (IFRS). These non-IFRS earnings reflect management’s subjective of view of earnings. By observing management’s reporting choices and investors’ reaction in Australia prior to, during, and after the financial crisis, this study shows a distinctive effect of the economic condition on reporting non-IFRS earnings. As such, this study contributes to the limited attention hypothesis suggesting that information-equivalent disclosure is perceived as value relevant by management and investors in times of higher investor inattention.