The impact of national accounting standards on the quality of financial reporting in Tehran stack Exchange: Earning Persistence approach

This study has attempted to evaluate the effect of Iranian accounting standards on earnings persistence. In fact¡ earnings persistence is one of the methods of measuring earning quality. To do so¡ 80 active corporations from Tehran stock exchange were chosen as the Earnings persistence of these participants was studied in two time period. In the first period¡ which was happened «during 1994-1998» these participants. In that period¡ there was no mandatory to present financial statement based on Iranian accounting standards. In the second period «during 1999-2004» it was mandatory to present financial statement based on national accounting standards. To realize whether the null hypothesis is true or not¡ correlation coefficient Wald statistics was implemented to analyze the data. The results show that there is not a significant difference between the earnings persistence of the participants on before and after the application of Iranian accounting standards. That is¡ accounting standards are not effective on earnings persistence.