Article1998

The early adoption of consolidated accounting in Spain

Araceli Mora Enguídanos · William P. Rees

22 citations0/0 files storedEuropean Accounting Review

No readable copy stored yet — this record is metadata only.

No open-access location is known for this record yet.

Literature note Cite in a project Citation map

Auditing, Earnings Management, Governance Accounting Theory and Financial Reporting Accounting and Organizational Management

Abstract

Consolidated accounting for corporations in Spain was rare before the Seventh European Directive, adopted by the European Union in 1983, and only became compulsory in 1991. During the intervening years a number of firms elected to adopt consolidated accounting even though they were not required to do so. These circumstances provide a useful insight into the early adoption of accounting practices as, in contrast with most previous studies of early adoption, (a) many firms adopted the accounting techniques well in advance of the required date, (b) consolidation makes a substantial impact on reported financial statements, and (c) the effect of consolidation can be beneficial or adverse. We find that those firms which adopted consolidated accounting early reported a significantly better change in reported performance at the time of adoption than those firms which only consolidated when required to do so. Firms that are subject to government regulation also tended to adopt early but the impact of consolidation on reported performance was not beneficial for regulated early adopters.

Paper brief

Loading…

Cite this work

Citation unavailable for this work.

BibTeX RIS CSL-JSON

No public copy is stored for this record, so only the metadata is cited.

Citations in this library

Citation map →

Stored only when both papers are in the corpus — 22 citations exist upstream.

References

1968An Empirical Evaluation of Accounting Income Numbers 1985The effect of bonus schemes on accounting decisions 2011The effects of bonus schemes on accounting decisions 1981An income strategy approach to the positive theory of accounting standard setting/choice 1979Some economic determinants of accounting policy choice 1981Determinants of the corporate decision to capitalize interest 1990Aggregation of test statistics 1983The effects of debt covenants and political costs on the choice of accounting methods

Cited by

2016Impact of corporate characteristics on human resource disclosures 2005Applying Voluntary Disclosure Theories to Intangibles Reporting: Evidence from the Portuguese Stock Market 2018Setting consolidated reporting standards for local government 2023The Anticipation of Mandatory Audit Firm Rotation and Audit Quality 2007Les déterminants de l'adoption anticipée des normes comptables internationales : choix financier ou opportunisme ?

Explore the map →

Papers that cite the same references — the relational fallback while embeddings are still backfilling.

Imported from OpenAlex (CC0) — nothing here is generated.