Impact of International Financial Reporting Standards adoption on Financial Reporting of Agricultural Firms in Nigeria

Abstract

Since the adoption of IFRS in Nigeria, most of the empirical studies have been geared towards the impact of IFRS adoption on financial reporting with little effort towards the impact of IFRS adoption on financial reporting of Agricultural Firms in Nigeria by comparing the two periods. The study examined the impact of IFRS adoption on financial reporting of Agricultural Firms in Nigeria. The coverage of the study is the period of sixteen years with eight years which was disaggregated into two periods: pre covering eight years and covering eight years. The study also covered all the five listed agricultural companies. The theoretical strength of the study was drawn in Efficient Market Hypothesis and the technique employed to analyze the data OLS regression model. The study established that book value and cash flow are relatively useful in explaining share prices in pre adoption period while in post adoption period only earnings has explanatory power to share prices. The study recommended that book value and cash flow are relatively useful in explaining share prices in pre adoption period while in post adoption period only earnings has explanatory power to share prices.