This study aims to examine the effect of compliance level to IFRS-based
mandatory disclosure toward the value relevance of earning and book value. The
samples used in this research are 314 public listed companies in BEI 2015. The
compliance level measured by using scoring technique based on Bapepam LK no
VIII G.7 in 2012. The tool for analyzing data for hypothesis is using multiple
regression analysis.
The results of hypothesis testing show that mandatory disclosure index
does not influence the value relevance of earning and book value. These results
indicate that investor does not used compliance level to mandatory disclosure
requirements as their source of information to confirm the value relevance of
earning and book value information.