Perceptions of Executives in Implementation of IFRS in India- A Factor Analysis

Abstract

The main purpose of the empirical research of the study is to evaluate the factors affecting the IFRS Implementation in India with the help of descriptive statistics and Factor analysis.This study based on primary data.The primary information collected from 40 respondent’s through questionnaire from executives of Indian companies. The questionnaire covered the questions on various issues, challenges, and suggestions pertaining to implementation/adoption of IFRS. The Empirical findings of the study are there is anImpact of IFRS Implementation on the financial performance of Indian Companies by Using Descriptive Statistics, and the Factor analysis reveals that six factors whose cumulative % of Variance is 72.347 out of which from screen plot we see four are most important. One can conclude that the four factors (1, 2, 3 and 4) are influencing up to 59.733% in which questions 15, 16, 17, 18, 19, 23,22,24, 25, 26, 27, 10, 12, 28, 13 and 14 are present which should not be neglected because of that we are excluding three questions 11, 20 and 21. For population also it is likely to be same. Finally, it is recommended to Government, Companies,and ICAI,develop new steps for better improvement in Indian Financial Reporting System for accounting users throughout the world.