The Value Relevance of Accounting Information Under Greek and International Financial Reporting Standards : The Influence of Firm-Specific Characteristics

The aim of the present study is to compare the value relevance of accounting information under International Financial Reporting Accounting standards (IFRS) and Greek Accounting Standards (GAS) and to investigate whether the results are influenced from firm specific characteristics. Firstly, it is examined how the mandatory application of IFRS affected the relative and incremental value relevance of book value and net income in Greece. Secondly, it is investigated whether the size of the companies and their level of fixed assets affect the value relevance of accounting information. The results show that both firm size and fixed assets become significant factors, implying that the consequences of the mandatory transition to IFRS may not be the same for all firms