Challenging the compliance myth: evidence from the IFRS impairment testing regime

Tyrone Carlin, Nigel Finch

Research output: Contribution to journalConference paperpeer-review


There has been much criticism of the IFRS impairment testing regime, principally because of the increased potential for opportunism in financial statement preparation due to the subjective and unverifiable nature of a range of required assumptions. This paper adds to the extant literature’s catalogue of concerns by documenting systematic non compliance with the disclosure requirements of AASB136. We argue that a key problem resulting from this phenomenon is a decline in financial statement comparability and we raise questions as to the implications of the complexity of the IFRS based impairment testing regime both from the preparer and audit perspective.
Original languageEnglish
Pages (from-to)1-27
Number of pages27
Journal2009 AFAANZ Conference proceedings, 5-7 July 2009, Adelaide, Australia. Carlton, Vic. : AFAANZ,2009
Publication statusPublished - 2009
EventAccounting and Finance Association of Australia and New Zealand Conference (2009) - Adelaide
Duration: 5 Jul 20097 Jul 2009


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