The effect of adopting international accounting standards on creative accounting practices. A study of a sample of institutions listed on the Paris Stock Exchange

Abstract

The study aimed to measure the impact of the adoption of the International Accounting Standards (IAS/IFRS) on the profit management practices of the quoted institutions, as the European Union issued Law 2002/1606CE on July 19, 2002, which requires companies listed in European financial markets to implement international accounting standards ( IAS/IFRS) in its consolidated financial statements starting in 2005, the law applies to about 7,000 companies listed on European stock exchanges, of which 7,000 are companies, 1100 are French groups.
      The study concluded that the studied sample from the listed institutions listed in the stock market (Paris Stock Exchange) practiced profit management, therefore it can be said that the adoption of International Accounting Standards (IAS/IFRS) did not affect profit management practices