Financial statement analysis and accounting policy choice: What history can teach us

Abstract

The choice of accounting policies by a company has implications for the market’s understanding of corporate performance. Whilst the critical areas of choice may change over time with new developments and changes in standards, the underlying issue remains relevant. This paper examines the effect of accounting techniques upon the relationship between accounting variables and UK share prices.

Citation

Brown, R. and Whittington, M. (2007), "Financial statement analysis and accounting policy choice: What history can teach us", Journal of Applied Accounting Research, Vol. 8 No. 3, pp. 1-47. https://doi.org/10.1108/96754260880001053