Kythreotis, Alexios

2016-01-01, Kythreotis, Alexios, Constantinou, Constantinos P.

The IASB generates the International Accounting Standards and the Conceptual Framework in an attempt to create higher quality financial statements. Through this article, the extent to which this objective has been achieved is examined. Specifically, one fundamental (relevance) and one enhancing (timeliness) qualitative characteristic, as set by the IAS Committee through the conceptual framework, are under study. The sample consists of listed companies of 15 European countries that have adopted IAS mandatorily. Generally, the obtained findings support an increase in the quality of the financial statements and indicate a positive relationship between relevance and earnings timeliness.