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ERIC Number: ED548818
Record Type: Non-Journal
Publication Date: 2012
Pages: 174
Abstractor: As Provided
Reference Count: N/A
ISBN: 978-1-2677-6527-7
Converging Transnational Financial Reporting Standards: Validating the Joint FASB/IASB Concept of Information Quality
Watkins, Jim
ProQuest LLC, D.B.A. Dissertation, Louisiana Tech University
Accelerating cross-border investing activity transformed global financial markets during the latter part of the 20th century. Due to lack of trans-cultural consistency comparability in financial reporting was compromised hindering multinational investment. In light thereof there is a movement afoot among international authorities to converge national financial reporting standards into a single international financial reporting system. In September 2010 Financial Accounting Standards Board and International Accounting Standards Board agreed on a concept of information quality to guide formulation of internationally acceptable financial reporting standards. The Boards' goal is sustenance of local relevance while achieving transnational comparability. Toward that end, instead of trade-offs among qualities of information assumed by previous concepts, the new concept posits faithful representation working in concert with relevance in a sequential approach to information quality. Variously referred to as "Framework 2010" the purpose of this dissertation was to determine its validity. The concept was tested using Partial Least Squares methodology over a survey of US accountants. Fundamental qualities of relevance and faithful representation were found to be significant predictors of decision usefulness as were enhancing qualities of verifiability and comparability. Faithful representation was found to be a significant, partial mediator of relationship between relevance (predictor) and decision usefulness (outcome). Final model predicted 43.1% of variance in decision usefulness. [The dissertation citations contained here are published with the permission of ProQuest LLC. Further reproduction is prohibited without permission. Copies of dissertations may be obtained by Telephone (800) 1-800-521-0600. Web page:]
ProQuest LLC. 789 East Eisenhower Parkway, P.O. Box 1346, Ann Arbor, MI 48106. Tel: 800-521-0600; Web site:
Publication Type: Dissertations/Theses - Doctoral Dissertations
Education Level: N/A
Audience: N/A
Language: English
Sponsor: N/A
Authoring Institution: N/A