The Impact of Ifrs Adoption on Earnings Quality of Chinese Firms

Abstract

This research examines whether the 2007 mandaiory adoption of Accounting Standards for Business Enterprises (ASBE) by Chinese publicly traded companies had an impact on firms' earnings quality. Due to the close similarity between ASBE and International Financial Reporting Standards (IFRS), this study contributes to the growing literature on the impact of the proposed implementation of a single global set of reporting standards on the quality of financial disclosures.