Mark-to-market accounting, hedge accounting or historical cost accounting for derivative financial instruments? A survey of financial analysts in Denmark

Frank Thinggaard

European Accounting Review, 1996, vol. 5, issue 1, 57-75

Abstract: This study investigates the preferences of Danish professional financial statement users' for three measurement bases for derivative financial instruments: mark-to-market accounting, hedge accounting and lower-of-cost or market accounting. The study was carried out by means of a postal questionnaire survey of members of the Danish organization of financial analysts. The findings indicate that professional users of financial statements prefer a system based on market value accounting for both speculative and non-speculative financial instruments. Such a system is considered to give a higher quality of information than either of the two alternatives and be just as reliable. These findings are inconsistent with the results of an American survey of financial statement users, however. Possible explanations for this inconsistency are briefly examined in the paper.

Date: 1996
References: View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://www.tandfonline.com/doi/abs/10.1080/09638189600000003 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:taf:euract:v:5:y:1996:i:1:p:57-75

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/REAR20

DOI: 10.1080/09638189600000003

Access Statistics for this article

European Accounting Review is currently edited by Laurence van Lent

More articles in European Accounting Review from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().