The Role and Current Status of IFRS in the Completion of National Accounting Rules – Evidence from the UK

Abstract

Drawing on secondary data, we examine the transposition of the Accounting Directive 2013 into UK GAAP with a specific focus on references to IFRS. The process involved consultation and regulatory impact assessment on the options in the Accounting Directive and proposed changes to accounting standards for non-publicly accountable entities. This led to an IFRS-based approach from 2016 with three tiers: EU-adopted IFRS for group listed companies and other publicly accountable entities, an adaptation of IFRS for SMEs for non-publicly accountable entities, and a simplified version for micro-entities incorporating the requirements of the Accounting Directive. This outcome is not surprising since the UK was one of the founding members of the original International Accounting Standards Committee and a strong proponent of little GAAP. Indeed, the UK’s former Financial Reporting Standard for Smaller Entities provided a model for the IFRS for SMEs. In the past, there were few references to IFRS by the UK’s enforcement and interpretation bodies. Today, guidance is taken from IFRS Interpretations Committee. We contribute to the literature by describing the main processes involved in implementing the Accounting Directive and the move to an IFRS-based approach in UK GAAP. Our analysis should be of interest to researchers and policymakers alike.     

Balancing board? The effects of board independence and capital on firms offering work‐family benefits

While prior research demonstrates the strategic human resource (HR) advantages associated with offering work–family benefits (WFBs), firms continue to be reluctant in providing their employees with these benefits. Drawing on the corporate governance and stakeholder orientation literatures, this study examines the role of board independence and capital for WFBs being offered in publicly‐traded firms. Our results demonstrate that various director independence and capital attributes are related to the firm offering WFBs. Specifically, board directors who are outsiders, women, and holders of additional directorships, with their broad stakeholder orientation, increase the likelihood of WFBs being offered by the firm [Correction added on December 14, 2017, after first online publication: the preceding sentence has been updated to clarify the findings of the study.]. These findings are of importance to HR practitioners considering the influence that corporate boards can have on the firm's use of HR practices, such as WFBs, that affect all employees, not just the executives.     

A Comparison of Conjoint Analysis Response Formats

A split-sample design is used to evaluate the convergent validity of three response formats used in conjoint analysis experiments. We investigate whether recoding rating data to rankings and choose-one formats, and recoding ranking data to choose one, result in structural models and welfare estimates that are statistically indistinguishable from estimates based on ranking or choose-one questions. Our results indicate that convergent validity of ratings, ranks, and choose one is not established. In addition, we find that people frequently use "ties" in responses to rating questions, and that the option not to choose any of the alternatives ("opt-out") affects some preference estimates.     

Correction to: A multi-country,multi-sector replication challenge to the validity of the cultural tightness-looseness measure

Asia Pacific Journal of Management - The original version of this article unfortunately contained mistakes. Appendix heading was misplaced and first entry of the Appendix table was incorrectly...     

Estimating Transaction-Based Price Indices of Local Commercial Real Estate Markets Using Public Assessment Data

This study examines the feasibility of constructing reliable commercial property price indices using property tax records. We employ the Clapp and Giacotto (Journal of American Statistical Association, 87(418), 300–306, 1992) assessed-value method to estimate price indices for commercial properties in Florida. The estimated Florida commercial property price index is compared to the Moody’s/REAL Commercial Property Price Index (CPPI) and to the transaction-based index (TBI) produced at MIT. Our results are promising, suggesting that this widely-available data source can be used to produce commercial property price indices for a variety of precise market locations and specific investor segments. A secondary but interesting objective of this paper is to use our rich and comprehensive database to examine the price performance of two specific subsets of properties in more detail. First, we narrow our range to focus on just the office sector for Florida. We compare price movements for the Florida office sector with the comparable CPPI. Estimates produce very similar price movements providing support to both methods. Second, we contrast the price performance of higher- and lower-valued properties and reject the hypothesis that their periodic price index levels are equal. The mean price changes of Florida commercial properties assessed at $2.5 million and above are observed to be slightly higher than for properties assessed below $2.5 million, although not statistically different. In particular, higher-valued properties had higher mean price changes relative to lower-valued properties during periods of economic expansion. This economic difference represents an important contribution toward beginning to understand the relative performance of smaller and investment-grade commercial properties.     

Job perceptions and turnover behavior of tenure-track accounting educators

This paper compares the job-related need fulfillment of academic accountants in 1994 with that reported nearly a quarter of a century earlier by Carpenter and Strawser (1971. A study of the job satisfaction of academic accountants. The Accounting Review (July), 46, 509-518). We also investigate whether job dissonance (dissatisfaction resulting from unmet needs) foreshadowed turnover of faculty respondents during the 2-year period following our survey. Results suggest that fulfillment for most job-related needs was lower for 1994 accounting educators than for their 1970 counterparts. Within the 1994 sample, certain perceptual differences were attributed to both race (black versus non-black) and gender. Regardless of demographics, however, reported job dissonance in 1994 was strongly associated with subsequent job turnover, particularly among assistant professors. Taking steps to reduce or eliminate job dissonance is arguably more important in today's environment than in 1994. Accounting faculty members today enjoy a greater number of opportunities and thus can more readily remove themselves from situations that create perceived job dissonance.