1887

n South African Journal of Economic and Management Sciences - IAS15 inflation adjustments and EVA : empirical evidence from a highly variable inflation regime : inflation

Volume 12, Issue 2
  • ISSN : 1015-8812
USD

 

Abstract

Inflation can have a pronounced effect on the financial performance of a firm. This study makes inflation adjustments to a firm's cost of sales, depreciation, level of gearing and assets in line with International Accounting Standard 15 (IAS15) in order to calculate an inflation-adjusted version of the economic value added (EVA) measure. The study was conducted using data from South African industrial firms during a period characterised by highly variable inflation levels (1991-2005). The results indicate that during this period there were significant differences between the nominal and real values of the firms' EVAs.

Loading full text...

Full text loading...

Loading

Article metrics loading...

/content/ecoman/12/2/EJC31283
2009-06-01
2017-02-21

This is a required field
Please enter a valid email address
Approval was a Success
Invalid data
An Error Occurred
Approval was partially successful, following selected items could not be processed due to error