Title of article
Book value versus the asset value after revaluation: Performance indicators of companies and the role of conservatism in them
Author/Authors
Mehrvarz Hasanbarogh ، Bagher Department of Accounting - Islamic Azad University, Rasht Branch , Kheradyar ، Sina Department of Accounting - Islamic Azad University, Rasht Branch , Vatanparast ، Mohammadreza Department of Accounting - Islamic Azad University, Rasht Branch
From page
365
To page
375
Abstract
The most important goal of revaluation is providing reliable fair price information close to economic realities for different decision-makers. Emphasising conservatism, this research comparatively studies the relationship between book values of assets concerning the performance indicators of companies. The statistical population of the research includes 146 companies listed on the Tehran Stock Exchange from 2009 to 2020. The research methodology is correlational and post-event causal, and the correlation and regression tests are used to test hypotheses. The results show a significant direct relationship between the book value of assets and the rates of return on assets and equity. In addition, conditional conservatism significantly negatively affects the relationship between the asset value after revaluation and the future cash flows. It also has a significant positive effect on the relationship between the book value of assets and the rate of return on assets.
Keywords
Book value of assets , Revaluation , Return on assets , Return on equity , Future cash flows , Conservatism
Journal title
International Journal of Nonlinear Analysis and Applications
Journal title
International Journal of Nonlinear Analysis and Applications
Record number
2773913
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