Understand the Implementation of Accounting
9 Pages2699 Words164 Views
Added on 2019-09-26
Understand the Implementation of Accounting
Added on 2019-09-26
ShareRelated Documents
How value relevance has evolved over the years?(Financial Accounting Information of companies in Nigeria)This blog contains the concept describing how value relevance has evolved over the years. In preparation of financial statements, for the financial report making value relevance is essential. This concept helps to understand the implementation of accounting information in different countries evolved over the years. In this blog, the example of findings of the Nigeria Stock Exchange examines how it value relevance of accounting information has evolved of quoted companies. The Nigeria financial accounting information study reveals that it does not follow thetrend during the period of study. The condition finds out accounting proportion relevance increases and relevance of earning fall. The blog from this analysis, provide a positive relationship among each of the explanatory proportion and the share prices of the companies listed on the Nigeria stock exchange. That implies that the movement in accounting information on earning, book value, dividends and cash flows from the performance can be used to predict the share prices variation.Evaluation in Value Relevance of Accounting How to value relevance has evolved over the years as transformation in the economy takes placefrom primary industry to services and information technology-based industry. Research discovers that accounting relevance for earning has fallen and this condition rise towards the neweconomy analyzed accounting has lost the relevance. Considering the value relevance of financial accounting information undertaken an example of Nigeria (Trend Analysis). It’s higherand lowers accounting proportion that could examine the various proportions about firm opportunities extent, ordinary least square regression was employed and alternative performance estimate. This information about the accounting proportion in the new economy is very important. The Nigeria financial accounting information study reveals that it does not follow the
2Blog Writingtrend during the period of study. The condition finds out accounting proportion relevance increases and relevance of earning fall. The value relevance was weak during the political crisis caused by the military dictatorship in the year 1992 to 1998. The global economic crisis from 2005 to 2009, it was a peak in the other periods. Based on the research, it finds out that the information directly causes the securities in the capital market.US economy widely covered industrial area since then the accounting has not updated or changed the familiar accounting in current era does not include performance measure that also includes earning, does not provide extent to opportunities growth, valuation of intangible assets. The relevancy of accounting proportion evolved with proportion, more or less. Evolution in value relevance implement the research and provide the perception of how to enhanced accounting information, investors information use when the value provide a strong future for equity valuation. The information regarding performance estimate, opportunities extent and intangible asset valuation are not complete accounting information but this information consider relevant to investors in the new economy.Relationship between equity pricing and accounting volume and resulted trend analysis experienced from the year 1992 and 1998 as annual base thesis provide value relevance and explain estimated relation. The findings examine the steady political atmosphere over the NigeriaStock Exchange.The accounting quantity reflects price and equity book value and dividend, the research considers the trends in value relevance of accounting information include these values. The relationship between the earnings and the share prices will be examined. Share price at the end ofthe months of the year, earning before ordinary items per share, equity book value per share for
3Blog Writingthe firm t the end of year, dividend per share at the end of the year, cash flow from the operation per share for the firm at the end of the year, the interpretation and the error terms from which the part of the share prices does not interpret through the model. Alternative performance estimate examines cash flow and revenue and examines also examine the dividends trend analysis.The research findings of accounting information have fallen while examination of conclusion examines that the condition does the situation to fall because of more accounting quantity and trend analysis of value relevance. Whereas findings of the fallen situation in sample year or any decade including the 1990s, evidence in value relevance, the concurrent technology impact.How every quantity contributes to the value relevance in accounting knowledge? The expectation from earlier research is that evaluation in value relevance share price earning before ordinary items per share, equity book value per share, dividend per share, cash flow relationship changes over the years. Our important question of research expects accounting information to become relevant more. Considering the expectation of accounting quantity there seeks out the estimation of cross-section linear regression.The objective of this blog is to explain the trend in the accounting information of the company Nigeria. It is relevant to mention that the financial statement is the only report used by the investors in the evaluation of corporate stock if it provides the important information to them; thetwo of the qualitative measures of the accounting information is relevancy and the reliability. That it is acceptable and also useful for the people. However, the accounting information derivedfrom the financial statements will not be considered useful if the two characteristics relevantly fade out. Many of the researchers find out that the studying this two feature reliability and
End of preview
Want to access all the pages? Upload your documents or become a member.
Related Documents
Assignment - Nigeria Stock Exchange | Financial Accounting Informationlg...
|12
|2699
|55
Blog On Value Relevance Of Accounting Informationlg...
|12
|2699
|342
Understanding the Concept of Implementation of Accounting Standardslg...
|8
|2180
|287
Evolution of Value Relevance in Accounting for New Economylg...
|4
|551
|192
Management Market & Research Question Assignmentlg...
|10
|2441
|161
Brookes Commercial Financial Evaluationlg...
|26
|4421
|237