Valuation of value relevance between parent and consolidated financial statements : Evidence in Vietnam
Abstract
Value relevance of financial information has been widely addressed in
accounting research; however studies regarding value relevance between parent and
consolidated financial reports are of limited in international literature and most of
them are conducted in developed capital market such as: UK, France, German…
This study, therefore, valuates the usefulness of information provided by two sets of
financial report on the sample of 74 non-financial companies listed on Ho Chi Minh
Stock Exchange over the period 2009-2013. This study employs panel data and three
variables: earning, book value of equity and operating cash flow are included as
predictor variables to explain the variation in stock price. The results lend support to
the superior value relevance of consolidated account over group account