ANALYSIS OF CONDITIONAL CONSERVATISM LEVEL OF BRAZILIANS COMPANIES LISTED ON BM&FBOVESPA AFTER IFRS ADOPTION

The study deals with the conditional conservatism, defined as the opportunity for asymmetric recognition of gains and losses in earnings. The aim of this study is to investigate the level of conditional conservatism in financial statements prepared in accordance with IFRS adopted by Brazilian companies listed on BM&FBOVESPA. For this purpose, we used descriptive, documentary and quantitative. The population consists of the companies listed in BM&FBOVESPA excluding financial firms and those who did not have available the necessary data for analysis, which amounted to a sample of 291 companies. Data collection was performed using the software and Economática® period corresponds to the years 2006 to 2010 to obtain statements before and after adherence to IFRS by companies surveyed. So we could check the level of conservatism used the regression model Basu (1997) processed in the Statistical Package for Social Sciences (SPSS). It was concluded that the financial statements prepared in accordance with IFRS are more conservative than those prepared in accordance with Brazilian’s GAAP and IFRS accounting profit incorporates the economic return significantly more than in Brazilian’s GAAP.