Ali Faal Ghayoumi and Mahmoud Dehghan Nayeri and Manouchehre Ansari and Taha Raeesi
ValueRelevance of Accounting InformationEvidence from Iranian Emerging Stock Exchange
830 - 835
2011
5
6
International Journal of Economics and Management Engineering
https://publications.waset.org/pdf/15331
https://publications.waset.org/vol/54
World Academy of Science, Engineering and Technology
This study aims to investigate empirically the valuerelevance
of accounting information to domestic investors in Tehran
stock exchange from 1999 to 2006. During the present research
impacts of two factors, including positive vs. negative earnings and
the firm size are considered as well. The authors used earnings per
share and annual change of earnings per share as the income
statement indices, and book value of equity per share as the balance
sheet index. Return and Price models through regression analysis are
deployed in order to test the research hypothesis. Results depicted
that accounting information is valuerelevance to domestic investors
in Tehran Stock Exchange according to both studied models.
However, income statement information has more valuerelevance
than the balance sheet information. Furthermore, positive vs. negative
earnings and firm size seems to have significant impact on valuerelevance
of accounting information.
Open Science Index 54, 2011