Vahid Bekhradi Nasab - Department of Accounting, Najafabad Branch, Islamic Azad University, Najafabad, Iran
Hilda Shamsadini - Department of accounting, Bam Branch, Islamic Azad University, Bam, Iran
JR Mulla - Department of Accounting, Pune University, India

This study investigates the moderating effect of the inflation rate on the relationship between asset revaluation and the financial statements of companies listed on the Tehran and Bombay stock exchanges. In this study, parameters including financial leverage, liquidity, firm size, fixed assets ratio, and firm growth and the data of ۱۱۲ companies listed on the Tehran Stock Exchange (TSE) and ۵۶۳ companies listed on the Bombay Stock Exchange (BSE) during the period ۲۰۱۵-۲۰۱۹ are used. Multiple regression is employed to test the research hypotheses to determine the relationship between the dependent and independent variables. F-statistic, F Limmer, and Husman tests are used to test the significance of regression models. The Generalized Least Squares (GLS) method estimates the research models. The results of testing the research hypotheses demonstrate that in both the Tehran and Bombay stock exchanges, without considering the role of the inflation rate, the revaluation of fixed assets is positively and significantly associated with financial leverage, liquidity, and firm size, fixed assets ratio, and firm growth. Moreover, considering the role of the inflation rate, inflation moderates the relationships between financial leverage, liquidity, firm size, fixed assets ratio, firm growth, and the revaluation of fixed assets.

Asset Revaluation, Assets Ratio, Firm Growth, Inflation rate, Liquidity