Comparative analysis of accounting information quality amongst French, Brazilian and Latin American companies

Authors

DOI:

https://doi.org/10.21680/2176-9036.2024v16n2ID36715

Keywords:

Capital markets. Earnings persistence. Price relevance. Accounting Information Quality.

Abstract

Purpose: This work aimed to compare the Accounting Information Quality (AIQ) of publicly traded companies in markets with different levels of economic development, represented by France, Brazil and other Latin American countries (these together).

Methodology: The methodological approach was quantitative, using descriptive and exploratory statistics, and regression with unbalanced panel data. The data used encompassed the following periods: between 1987 and 2017, for the French market; between 1995 and 2017, for the Brazilian market; and between 1989 and 2015, for the Latin American market.

Results: The results pointed to structural differences in AIQ in financial statements between the markets analyzed, indicating that the more developed market has better AIQ.

Contributions of the Study: As a practical contribution, this research can support investor decisions, while the academic knowledge generated reveals that markets in different economic contexts have different levels of AIQ.

Downloads

Download data is not yet available.

Author Biographies

Antônio Artur de Souza, Federal University of Minas Gerais (UFMG).

Post-Doctoral Professor in Finance, with knowledge in the areas of accounting, finance and information systems, works at the Faculty of Economic Sciences (FACE) of the Federal University of Minas Gerais (UFMG).

Simone Evangelista Fonseca, Federal University of Ouro Preto (UFOP).

Professor with a PhD in Administration, with knowledge in the area of ​​finance, works at the Institute of Applied Social Sciences (ICSA) of the Federal University of Ouro Preto (UFOP).

Letícia Drummond Rezende, Federal University of Minas Gerais (UFMG).

PhD student in Administration, with knowledge in the area of ​​finance, at the Center for Postgraduate Studies and Research in Administration (CEPEAD) at the Faculty of Economic Sciences (FACE), at the Federal University of Minas Gerais (UFMG).

References

Accounting Pronouncements Committee. (2011). Estrutura conceitual para elaboração e divulgação de relatório contábil-financeiro. Brasília. Recuperado em 10 janeiro, 2019, de .

Algrari, A. Y., & Ahmed, R. M. (2019, fevereiro). The impact of accounting information systems’ quality on accounting information quality. Anais da Conference Reform of Accounting and Auditing Systems- Reality & Requirements. Kurdistan, Iraq.

Ball, R., & Brown, P. (1986). An empirical evaluation of accounting numbers. Journal of Accounting Research, Chicago, 6(2), 159–178.

Beaver, W. (1968). The information content of annual earnings announcements. Journal of Accounting Research, 6(1), 67–92. (DOI: https://doi.org/10.2307/2490070).

Beisland, L. A. (2009). A review of the value relevance literature. The Open Business Journal, 2, p. 7–27. (DOI: https://doi.org/10.2174/1874915100902010007).

Black, R., & Nakao, S. H. (2017). Heterogeneidade na qualidade do lucro contábil entre diferentes classes de empresas com a adoção de IFRS: evidências do Brasil. Revista Contabilidade & Finanças, 28(73), 113–131. (DOI: https://doi.org/10.1590/1808-057x201702750).

Bourkhis, K., & Najar, M. W. (2017). The effect of ownership and regulation on bank earnings quality an investigation of the conventional and Islamic banks in MENA region. European Journal of Islamic Finance, 6. (DOI: https://doi.org/10.13135/2421-2172/2047).

Cappellesso, G., Niyama, J. K., & Rodrigues, J. M. (2020). Influências da regulação na qualidade das informações contábeis no âmbito do mercado de capitais: um ensaio teórico. Revista Universo Contábil, 16(2), p. 07–25. (DOI: https://doi.org/10.4270/ruc.2020207).

Carneiro, J., Rodrigues, L. L., & Craig, R. (2017). Assessing international accounting harmonization in Latin America. In Accounting Forum, 41(3), p. 172–184. (DOI: https://doi.org/10.1016/j.accfor.2017.06.001).

Collins, D. W., Maydew, E. L., & Weiss, I. S. (1997). Changes in the value-relevance of earnings and book values over the past forty years. Journal of Accounting and Economics, 24(1), 39–67. (DOI: https://doi.org/10.1016/S0165-4101(97)00015-3).

Dang, C., Li, Z. F., & Yang, C. (2018). Measuring firm size in empirical corporate finance. Journal of Banking & Finance, 86, 159–176. (DOI: https://doi.org/10.1016/j.jbankfin.2017.09.006).

Daradkeh, L. J. A., & Atta, H. M. B. (2021). The quality of accounting information and its impact on the financial stumbling in industrial companies in the northern region and accounting information systems a moderating variable. Turkish Online Journal of Qualitative Inquiry, 12(6), p. 5061–5078.

Dechow, P., Ge, W., & Schrand, C. (2010). Understanding earnings quality: A review of the proxies, their determinants and their consequences. Journal of Accounting and Economics, 50(2-3), 344–401. (DOI: https://doi.org/10.1016/j.jacceco.2010.09.001).

Di Martino, G., Dicuonzo, G., Galeone, G. & Dell’Atti, V. (2017). Does the new european banking regulation discourage earnings management? International Business Research, 10. (DOI: https://doi.org/10.5539/ibr.v10n10p45).

Filip, A., & Raffournier, B. (2010). The value relevance of earnings in a transition econ¬omy: The case of Romania. The International Journal of Accounting, 45, p. 77–103. (DOI: https://doi.org/10.1016/j.intacc.2010.01.004).

Francis, J., Olsson, P., & Schipper, K. (2008). Earnings quality. Foundations and Trends in Accounting, 1(4), 259–340. (DOI: https://doi.org/10.1561/1400000004).

Frankel, R., & Litov, L. (2009). Earnings persistence. Journal of Accounting and Economics, 47(1–2), 182–190. (DOI: https://doi.org/10.1016/j.jacceco.2008.11.008).

Gonçalves, J. C., Batista, B. L. L., Macedo, M. A. S., & Marques, J. A. V. C. (2014). Análise do impacto do processo de convergência às normas internacionais de contabilidade no Brasil: um estudo com base na relevância da informação contábil. Revista Universo Contábil, 10(3), 25–43. (DOI: https://doi.org/10.4270/ruc.2014318).

Guerra, C. J. O., Maia, L. L., Takamatsu, R., T., & Francisco, J. R. S. (2018, outubro). Determinantes da qualidade da informação contábil em empresas do setor financeiro. Anais do IX Congresso Brasileiro de Administração e Contabilidade. Rio de Janeiro, RJ, Brasil.

Habib, A., & Azim, I. (2008). Corporate governance and the value-relevance of accounting information: evidence from Australia. Accounting Research Journal, 21(2), p. 167–194. (DOI: https://doi.org/10.1108/10309610810905944).

Heij, C., de Boer, P., Franses, P. H., Kloek, T., & van Dijk, H. K. (2004). Econometric methods with applications in business and economics. (1ª ed.). Nova York: Oxford University Press.

Houqe, M. N., Easton, S., & Zijl, T. V. (2014). Does mandatory IFRS adoption improve information quality in low investor protection countries? Journal of International Accounting, Auditing and Taxation, 23(2), p. 87–97. (DOI: https://doi.org/10.1016/j.intaccaudtax.2014.06.002).

Jarah, B. A. F., & Iskandar, T. B. M. (2019). The role of characteristics of accounting information systems in the improve the financial performance of Jordanian companies. IJCIRAS, 1(11), p. 32–45.

Kajimoto, C. G. K., & Nakao, S. H. (2018). Persistência do lucro tributável com a adoção das IFRS no Brasil. Revista Contabilidade Vista & Revista, 29(1), 130–149. (DOI: https://doi.org/10.22561/cvr.v29i1.4057).

Li, Y. (2021). Research on the quality of accounting information disclosure of listed companies. PiscoMed Publishing - Financial Forum, 10(4), p.32–35.

Macedo, M. A. S., Romana, T. D., & Silva, J. C. Q. (2014, julho). Análise dos determinantes da relevância das informações contábeis no Brasil: um estudo com base no lucro líquido (LL) e no patrimônio líquido (PL) para o período de 2010 a 2012. Anais do XIV Congresso e Controladoria e Contabilidade da USP, São Paulo, SP, Brasil.

Manchilot, T. (2019). A review on determinants of accounting information system adoption. Science Journal of Business and Management, 7(1), p. 17–22. (DOI: https://doi.org/10.11648/j.sjbm.20190701.13).

Mazzioni, S., & Klann, R. C. (2016). Determinantes da qualidade das informações contábeis no contexto internacional. Revista Contemporânea de Contabilidade, 13(29), 3–32. (DOI: https://doi.org/10.5007/2175-8069.2016v13n29p3).

Mazzioni, S., & Klann, R. C. (2018). Aspectos da qualidade da informação contábil no contexto internacional. Revista Brasileira de Gestão de Negócios, 20(1), p. 92–111. (DOI: https://doi.org/10.7819/rbgn.v20i1.2630).

Nardi, P. C. C., Amadi, A. F, & Silva, R. L. M. (2019). Análise da relação entre as características qualitativas da informação contábil e o audit delay. Advances in Scientific and Applied Accounting, 12(3), 101–119. (DOI: https://doi.org/10.14392/ASAA.2019120306).

Ohlson, J. A. (1995). Earnings, book values, and dividends in equity valuation. Contemporary Accounting Research, 11(2), 661–687. (DOI: https://doi.org/10.1111/j.1911-3846.1995.tb00461.x).

Rathke, A. A. T., Santana, V. D. F., Lourenço, I. M. E. C., & Dalmácio, F. Z. (2016). International financial reporting standards and earnings management in Latin America. Revista de Administração Contemporânea, 20(3), p. 368–388. (DOI: http://dx.doi.org/10.1590/1982-7849rac2016140035).

Rodrigues, J., & Niyama, J. K. (2018). Qualidade da informação contábil: uma análise da adoção dos padrões internacionais de contabilidade pelos países que compõe o G-7 e BRICS. Enfoque: Reflexão Contábil, 37, p.32–49. (DOI: https://doi.org/10.4025/enfoque.v37i4.34646).

Santos, T. A., Costa, P. de S., & Gonçalves, W. D. B. (2018). Value relevance da evidenciação de informações por segmento. Revista Ambiente Contábil, 10(1), 239–254. (DOI: https://doi.org/10.21680/2176-9036.2018v10n1ID11572).

Schipper, K., & Vincent, L. (2003). Earnings quality. Accounting Horizons, 17, 97–110. (DOI: https://doi.org/10.2308/acch.2003.17.s-1.97).

Shiri, M. M., Vaghfi, S. H., Soltani, J, & Esmaeli, M. (2012). Corporate governance and earning quality: Evidence from Iran. Middle-East Journal of Scientific Research, 11(6), 702–708.

Silva, N. P., Mazzioni, S., & Vargas, L. A. (2020). Qualidade da informação contábil: uma análise das empresas de utilidade pública listadas na B3. Contabilometria - Brazilian Journal of Quantitative Methods Applied to Accounting, 7(1), p. 61–76.

Souza, A. A., Fonseca, S. E., & Martucheli, C. T. (2022). Qualidade das informações contábeis, governança corporativa e desempenho financeiro: uma análise comparativa de empresas brasileiras e francesas. Revista Catarinense da Ciência Contábil, 21, p. 1–18, e3322. (DOI: https://doi.org/10.16930/2237-766220223322).

World Bank Group. Flagship Report. (2023, junho). Global Economic Prospects. Recuperado em 14 outubro, 2023, de: https://www.worldbank.org/pt/publication/global-economic-prospects.

Downloads

Published

01-07-2024

How to Cite

SOUZA, A. A. de; FONSECA, S. E. .; REZENDE, L. D. . Comparative analysis of accounting information quality amongst French, Brazilian and Latin American companies. REVISTA AMBIENTE CONTÁBIL - Universidade Federal do Rio Grande do Norte, [S. l.], v. 16, n. 2, 2024. DOI: 10.21680/2176-9036.2024v16n2ID36715. Disponível em: https://periodicos.ufrn.br/ambiente/article/view/36715. Acesso em: 2 jul. 2024.

Issue

Vol. 16 No. 2 (2024): Jul./Dez.

Section

Section 7: International (S7)

License

Copyright (c) 2024 REVISTA AMBIENTE CONTÁBIL - Universidade Federal do Rio Grande do Norte

Creative Commons License

This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.

Authors who publish in this magazine agree with the following terms: 

Authors keep the copyrights and concede the right of its first publication to the magazine. The work piece must be simultaneously licensed on the Creative Commons Attribution Licence which allows the paper sharing, and preserves both the author identity and the right of first publication to this magazine. 

Authors are authorized to assume additional contracts separately, to not-exclusively distribution of the paper version published in this magazine (e.g.: publish in institutional repository or as a book chapter), with the author identity recognition and its first publication in this magazine. 

Authors are permitted and stimulated to publish and distribute their papers online (e.g.: in institutional repository or on their personal webpage), considering it can generate productive alterations, as well as increase the impact and the quotations of the published paper.

Creative Commons - Atribuição-NãoComercial-SemDerivações 4.0 Internacional.