The purposes of this study are conservative in accruals and cash dividends, and also study is the relationship between conservatism items(profits) and market value to book value ratio. In this study, the degree of conservatism in accrual earnings and cash items, with the panel method, was examined and then given the results to examine was the relationship between conservatism in these items (profits) and market value to book value.
Scope of research from 2000 until 2009 and was elected a total of 88 companies is 880 observations. The results indicate that the level of conservatism in accruals and cash items, and interest income is more conservative in the interest accruals 45/2 times the items are cash and 72 percent of total accruals is explained by accounting conservatism. The results suggest that the relationship between the ratio of market value to book value and earning conservatism accruals, and the ratio of market value to book value and cash items rearnings conservatism, there is a significant relationship.
Hemmati H, Samadi Largani M, Imeni M. Survey the Relationship Between M/B Ratio and Conservatism Earnings. 3 2012; 2 (3) :77-100 URL: http://mta.raja.ac.ir/article-1-76-en.html