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Fair value evaluation: analysis and determinants

Author

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  • Chedli Baccouche
  • Sana Ben Ghodbane

Abstract

The implementation of a new accounting referential IAS/IFRS introduced a new philosophy for the estimation and the valorisation of a corporation's assets as well as liabilities. Our objective is to identify the main factors which influence a practitioner's choice of the fair value as a basis for evaluation. Empirical results indicate that businesses owned by a foreign group whose auditor is affiliated with a 'Big Four' chose the fair value. Furthermore, the absence of complex fiscal adjustments and the corporation's field of activity are important factors which influence the choice of the practitioner.

Suggested Citation

  • Chedli Baccouche & Sana Ben Ghodbane, 2012. "Fair value evaluation: analysis and determinants," International Journal of Critical Accounting, Inderscience Enterprises Ltd, vol. 4(1), pages 77-91.
    • Handle: RePEc:ids:ijcrac:v:4:y:2012:i:1:p:77-91
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    References listed on IDEAS

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    1. Jean-François Casta, 2003. "La comptabilité en « juste valeur » permet-elle une meilleure représentation de l’entreprise ?," Revue d'Économie Financière, Programme National Persée, vol. 71(2), pages 17-31.
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