Grabiński, Konrad; Paszek, Zbigniew
September 2013
Economic Themes;2013, Vol. 51 Issue 3, p515
Academic Journal
In the article, the authors have analyzed large financial datasets from the perspective of consistency with Benford'a law. Two groups of datasets have been investigated: selected accounting items reported by European publicly listed companies and profitability rations. We argue that if datasets representing components of financial ratios are reliable from Benford's law perspective, also datasets representing financial ratios build on these accounting items are reliable. Presented study provides evidence that if large financial datasets are of high quality, also datasets constructed on previous datasets are of high quality.


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