Proceedings of the 1st International Conference on Finance Economics and Business, ICOFEB 2018, 12-13 November 2018, Lhokseumawe, Aceh, Indonesia

Research Article

Market Reaction Due to Implementation on International Financial Reporting Standard (IFRS) on Public Listed Companies at LQ45

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  • @INPROCEEDINGS{10.4108/eai.12-11-2018.2288855,
        author={Murhaban  Murhaban and M. Natsir Mahmud Nur and Indrayani  Indrayani and Sri  Mulyati and Bintang  Pratama},
        title={Market Reaction Due to Implementation on International Financial Reporting Standard  (IFRS) on Public Listed Companies at  LQ45},
        proceedings={Proceedings of the 1st International Conference on Finance Economics and Business, ICOFEB 2018, 12-13 November 2018, Lhokseumawe, Aceh, Indonesia},
        publisher={EAI},
        proceedings_a={ICOFEB},
        year={2019},
        month={10},
        keywords={average abnormal return cumulative average abnormal return and international accounting standard (ifrs)},
        doi={10.4108/eai.12-11-2018.2288855}
    }
    
  • Murhaban Murhaban
    M. Natsir Mahmud Nur
    Indrayani Indrayani
    Sri Mulyati
    Bintang Pratama
    Year: 2019
    Market Reaction Due to Implementation on International Financial Reporting Standard (IFRS) on Public Listed Companies at LQ45
    ICOFEB
    EAI
    DOI: 10.4108/eai.12-11-2018.2288855
Murhaban Murhaban1,*, M. Natsir Mahmud Nur1, Indrayani Indrayani1, Sri Mulyati1, Bintang Pratama1
  • 1: Department Of Accounting Economic and Bussiness Faculty, Mallikussaleh University, Indonesia
*Contact email: Murhaban@unimal.ac.id

Abstract

The perpose of this study to determine market reaction that reflected by average abnormal return before and after the implementation of International Financial Accounting Standard (IFRS) and market reaction that reflected by cumulative average abnormal return before and after the implementation of International Financial Accounting Standard (IFRS). The Population in this research are 45 Companies that listing LQ45. The sampling method used purposive sampling method with 41 Companies. The data that used in this research in secondary data. The analytical method that used is descriptive statistic with the help of SPSS 18.0. The result of this study indicate that market reaction that reflected by average abnormal return before and after the implementation of International Financial Accounting Standart (IFRS) has positive reaction and market reaction that reflected by cumulative average abnormal return before and after the implementation of international accounting standart (IFRS) has positive reaction.