The quality of accounting information under IFRS and the financial performance of companies: Correlation analysis and statistical study
In an international context characterized by the dismantling of economic barriers, the globalization of monetary operations and the fluidity of financial movements, the application of IFRS standards is no longer a luxury, but rather an increasingly persistent necessity for Moroccan and international companies.
In this context, and given that the primary objective of IFRS is to provide accounting and financial information that helps in making investment and credit decisions, this research, and using statistical analysis on SPSS, intended to assess the correlation between the quality of accounting information (declared in accordance with IFRS standards) and the financial performance (in short term and in medium and long term) of Moroccan companies.
This quantitative research which uses a Likert-type questionnaire scored from 1 to 5, and through the responses collected from a sample of 314 individuals (composed of accountants, chartered accountants, professors, trainers, doctors and doctoral students), target to demonstrate and verify, statistically, the relationship of correlation and interdependence that connects between « the fundamental qualitative characteristics» and « financial performance ».
The results confirmed a negative correlation « in the short term » between the aforementioned variables and a positive correlation relationship between the same variables « in the medium and short term ».
In the medium and long term, the positive correlation between « the fundamental qualitative characteristics of the accounting information declared according to IFRS » and « financial performance », will probably be a factor that encourages companies to practice international accounting standards despite the costs incurred to ensure this passage.
Keywords: IFRS standards; Qualitative characteristics; Accounting information; Financial performance; Correlation
JEL classification: M40, M54
Paper type: Empirical Research
Copyright (c) 2022 Mohammed AIT BAHABBAZ, Karim KHADDOUJ
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