Authors:
Nurina Laili
and
Zahroh Naimah
Affiliation:
Airlangga University, Indonesia
Keyword(s):
Accounting Earnings,
Book Value,
Goodwill,
Intangible Asset,
Market Value Of Equity,
IFRS
Abstract:
This study aimed to examine the value relevance of accounting earnings, book value of equity, goodwill, and intangible asset and the effect of International Financial Reporting Standard (IFRS) on the value relevance of accounting earnings, book value of equity, goodwill, and intangible asset. The study was conducted at the manufacturing companies listed on Indonesian Stock Exchange in the period 2008-2009 and 2012-2013 with 128 companies for four years. The hypothesis is tested by regression analysis. The results show that accounting earnings, book value, and goodwill have significant effect on the market value of equity, but intangible assets do not affect market value significantly. Then, the results of IFRS as moderated variable showed that IFRS has a significant influence on the value relevance of accounting earnings, while IFRS do not affect significantly on the value relevance of book value, goodwill, and intangible asset.