Browsing by Author "Bradbury, Michael"

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Open Access
Due Process and the Adoption of IFRS in New Zealand
(Te Herenga Waka—Victoria University of Wellington, 2005) Bradbury, Michael; van Zijl, Tony
This paper reviews the decision to adopt IFRS in New Zealand and the subsequent decisions made on implementation of adoption. The emphasis of the review is on due process. The paper outlines the current regulatory structure for financial reporting in New Zealand, the role of due process and describes the due process requirements that applied in New Zealand prior to implementation of the decision to adopt IFRS. The paper describes how the decision to adopt IFRS was made, how the approach to implementation was determined and reviews the adequacy of the due process followed. We conclude that the limited due process followed for the decision to move to international financial reporting standards and for each individual IAS or IFRS was adequate. However, the actual method of converting international standards to New Zealand standards did not go through sufficient due process.
Open Access
Identifying Decision Useful Information With the Matrix Format Income Statement
(Te Herenga Waka—Victoria University of Wellington, 2007) Brown, Phil; Bradbury, Michael; van Zijl, Tony; Hancock, Phil; Woodliff, David; Tarca, Ann
We conduct an experiment to investigate the potential benefits of an alternative format for the income statement, the matrix format, initially developed by the IASB and UK ASB in their joint project on performance reporting. Sophisticated financial statement users (financial analysts and professional accountants) and less sophisticated financial statement users (MBA students) were asked to extract information from a set of financial statements that included an income statement either in the IAS 1 format or in the matrix format. We find that the matrix format improves the accuracy with which users extract financial information. This result is driven by greater accuracy, for all user groups, on ‘below-the-line’ items. Furthermore, despite lack of familiarity with the matrix format, its use did not appear to affect the time taken, the ease of extracting financial information, or users’ task completion confidence; further experience with the matrix format could lead to benefits along these lines as well. Our findings may assist the FASB and IASB in their joint project on financial statement presentation.