An overview of the methods of measurement and evaluation of conservatism in accounting

fateme.talkhabi¹ mahsa.ghajarbeigi² samira.esmaeili³

1) Department of accounting , Kish International Branch, Islamic Azad University, Kish Island, Iran
2) Department of accounting , Kish International Branch, Islamic Azad University, Kish Island, Iran
3) 2Department of accounting , Khomein , Islamic Azad University, Iran

IOI Code : XYCH-AECBB
Publication : 3rd International conference on Management , Economics and Humanities(icmeh.org)
Abstract :
    Conservatism is a component of the theoretical framework of financial reporting. From 1977 to date, researchers have presented several models for evaluation of conservatism. Including Basu s model, the model Braqlam accrual, non operational accruals (Model Khan and Watts, 2007), based on market value, based on the relationship between stock returns and dividends as well as the model proposed by the praise of colleagues who saved devaluation inventory, storage, contingent liabilities, contingent assets related to conservatism, save depreciation of investments, save depreciation of tangible fixed assets, etc., is formed. The research review of the method of measuring the conservatism in accounting.

Keywords : accounting conservatism