Suchergebnisse

In 2010, Portuguese unlisted companies started to apply a new accounting frame of reference called Accounting Standardisation System (Sistema de Normalização Contabilística – SNC) based on IAS/IFRS. This paper seeks to analyse the impact of SNC first-time adoption regarding the accounting treatment of impairment losses. Portugal has been recognized as a Code-law country, with weak legal enforcement mechanisms, and conservative accounting practices. However, since 2005 Portuguese companies have been changing their financial reporting practices to a common-law institutional logic. Therefore, the present research setting might provide interesting insights to confirm if the differences found are due to management interests, rather than cultural issues. Differences found are neither due to cultural issues nor management interests. To mitigate political costs associated with their public visibility, larger companies present more credible financial statements that reflect their overall true financial and economic condition. This study is a valuable contribution to both the users of financial information and domestic standard-setters entities to help them understand and improve the impact of accounting standards. Consistent with Khalil and Simon (2014), it also contributes to the debate on the optimal flexibility permitted by International Financial Reporting Standards to improve reporting quality and reduce earnings management. ; info:eu-repo/semantics/acceptedVersion

The present study aims to identify the degree of compliance with the intangible assets disclosure requirements outlined in the Accounting and Financial Reporting Standard (Norma Contabilística de Relato Financeiro – NCRF) 6 - Intangible Assets. It also seeks to analyse the factors influencing compliance with intangible assets mandatory disclosure requirements. An analysis of the 500 largest companies ranked by Exame Magazine, 2010, which are subject to the general Portuguese Accounting Standards System (Sistema de Normalização Contabilística - SNC), was conducted to check whether their Financial Statements for the years 2010 (transition year) and 2011 were made available on their websites. The methodology chosen to answer the research questions and achieve the proposed objectives was the content analysis of the financial statements of a sample of 37 Portuguese unlisted companies. The data collected in 2010 and 2011 allowed the construction of an index of intangible assets and the identification of disclosure explanatory factors. We tested six hypotheses for a possible association between the disclosure index and six explanatory variables through analysis, descriptive statistics, normality, differences in means, correlation and regression. Our results show an average of 30% in the disclosure index for intangible assets. Contrary to what was expected, results confirm that the adoption of SNC did not cause a higher level of disclosure over time. Companies' size is the most influencing factor, indicating that larger companies disclose information on intangible assets basically to reduce agency costs, political costs related to their public visibility, and in such a way manage the relationship with their relevant stakeholders. ; info:eu-repo/semantics/acceptedVersion

This paper examines the relation between firms' political connections and corporate social responsibility (CSR) reporting in Portugal. We argue that in settings where the existence of political connections are viewed as damaging collective interests of stakeholders, political connected firms can deal with legitimacy issues from such connections by resorting to CSR practices and the reporting thereof. Using archival data from a panel sample of 36 firms from Portugal between 2009 and 2012, we examine the relation between political connections and CSR reporting by way of regression analysis. We find a positive relation between political connections and CSR reporting. This study draws on legitimacy theory to highlight that CSR can be used to deal with stakeholder activism and vigilance pertaining to suspicion related to the existence of political connections. ; info:eu-repo/semantics/acceptedVersion