scholarly journals Problem aspects of application by state enterprises of international standards of accounting and reporting in rental operations

2021 ◽  
Vol 12 (6) ◽  
pp. s540-s559
Author(s):  
Serhii Rohoznyi ◽  
Iryna Parasii-Verhunenko ◽  
Petro Kutsyk ◽  
Olena Biriuk ◽  
Olena Kolesnikova ◽  
...  
Keyword(s):  
Public Sector ◽  
Financial Reporting ◽  
Financial Statements ◽  
International Standards ◽  
Structural Dynamic ◽  
Accounting Practice ◽  
Accounting Model ◽  
The Impact ◽  
State Enterprises ◽  
Lease Accounting

The purpose of the article is to determine the peculiarities of public sector enterprises' use of international and national accounting and financial reporting standards governing the accounting of lease transactions, study the impact of their provisions on financial reporting indicators, substantiation of the most acceptable lease accounting models for public sector enterprises. The information base of the empirical study was the data of the official website of the Ministry of Economic Development, Trade and Agriculture of Ukraine for 2013-2020. Methodical and methodological basis of accounting for lease transactions were the provisions of P (S) of Accounting 14, NP (S) of Accounting SS 126, IPSASB 13, IAS 17, IFRS 16. In the study used such techniques as comparison, l, time series, structural -dynamic and coefficient analysis. The essence of the concept of "lease" is clarified on the basis of a comparative analysis of its various definitions given in international, national standards of accounting and financial reporting for business entities, public sector entities, as well as in other regulations. The conceptual model of rent accounting for P (S) of Accounting 14, NP (S) of Accounting SS 126, IPSASB 13, IAS 17 and IFRS 16 is considered, the problematic aspects of its application in the accounting practice of domestic state enterprises are identified. Discussion issues concerning the application of the provisions of IAS 17 are highlighted, which include: the lack of a financial component in rental costs; lack of information in the financial statements about lease obligations not incurred by the company; Insufficient information in the financial statements about the existence of the asset to which the lessee has the right to use. The results of the study are to identify the key problems of the lease accounting model in accordance with IAS 17 for state-owned enterprises and make suggestions for their solution. Recommendations for assessing the impact of the lease accounting model in accordance with IFRS 16 on the financial statements of the lessee have been developed. The main directions of elimination of obstacles to the implementation of IFRS in the domestic accounting practice concerning the lease operations of state-owned enterprises are identified.

IFRS IMPLEMENTATION AS ONE OF THE FACTORS FOR IMPROVING THE INVESTMENT CLIMATE IN UKRAINE

2017 ◽  
Author(s):  
Kateryna Sova ◽  
◽  
Natalia Yatsenko ◽  
Denys Zagirniak ◽  
◽  
...  
Keyword(s):  
Financial Reporting ◽  
Direct Investment ◽  
Financial Statements ◽  
International Standards ◽  
Investment Climate ◽  
The European Union ◽  
Economic Activities ◽  
Financial Reporting Standards ◽  
Almost All ◽  
The Impact

The article is devoted to the study of the impact of the introduction of International Financial Reporting Standards (IFRS) on changes in the investment climate in Ukraine. The relevance of the topic is that improving the practice of applying IFRS as a tool for exchanging financial information is one of the key conditions for improving the investment climate in Ukraine. The authors have created the generalized scheme that illustrates the chronological list of enterprises that are required by law to prepare financial statements in accordance with IFRS. It was noted that in 2018, in accordance with Part 2 of Article 12 of the law on accounting and financial reporting in Ukraine and resolution of the Cabinet of Ministers of Ukraine No. 547 from 11.07.2018, the criteria of enterprises that are required to prepare financial statements in accordance with IFRS were updated. This step significantly increased the level of application of international standards due to the adoption of such a decision at the legislative level. The dynamics of the number of IFRS enterprises in Ukraine was analyzed. The analysis showed that over the past three years, the number of almost all enterprises that must apply international standards has been growing. The advantages of using IFRS for different users of financial statements were determined. It was determined that the priority users of IFRS financial statements are investors. At the same time, it was noted that the main advantage for other users of financial statements prepared in accordance with international standards is the improvement of the investment climate. The dynamics of the Investment Attractiveness Index of Ukraine based on the Likert scale in the period from 2016 to 2020 was analyzed. The direct investment receipts to Ukraine from the European Union countries were studied. The dynamics of direct investment in the Ukrainian economy was analyzed for two types of economic activities that should form financial statements in accordance with IFRS, namely, the extractive industry and quarrying, as well as financial and insurance activities.

scholarly journals Special issues of IFRS application in Russian organizations

2020 ◽  
Vol 164 ◽  
pp. 09029
Author(s):  
Tatiana Melekhina ◽  
Elena Sedova ◽  
Irina Karpova
Keyword(s):  
Financial Reporting ◽  
Financial Statements ◽  
International Standards ◽  
Financial Reporting Standards ◽  
Russian Economy ◽  
Operating Leases ◽  
The Right ◽  
Double Entry ◽  
Lease Accounting ◽  
Coefficient Method

In modern conditions, Russian accounting is increasingly oriented to international standards. Accounting for leasing relations is also subject to changes that are associated with the transition of Russian accounting to international financial reporting standards (IFRS). In 2016, a new standard was approved for accounting for leases in public sector organizations - the SPS “Leases” (entered into force on January 1, 2018). For other organizations, on October 16, 2018, FAS 25 “Lease accounting” was approved. This standard introduces the type of asset - the right to lease, which represents a new format for accounting methodological documents. The purpose of the study is to consider the features of the application of FAS 25 “Lease accounting” based on the new IFRS 16 “Leases” in accounting for operating leases of Russian organizations. The authors consider the lease relations of economic entities of the Russian economy using the example of pharmacy organizations, in particular, the main aspects of FAS 25, the procedure for accounting for operating leases from the perspective of a lessee and lessor, features of accounting for sublease, leaseback, lease on special terms, as well as disclosure of lease information in accounting (financial) statements. The methodological basis of the study consisted of elements of the accounting method (system of accounts, double entry book-keeping, reporting) and tools of economic analysis (method of comparison, absolute and relative values, tabular and graphical representations of data, coefficient method). As a result of the study, an operating lease accounting mechanism was proposed, which reflects the specifics of pharmacy organizations.

scholarly journals Adapting Russian Accounting to the International Standards: Models, Algorithms, and Amendments

VUZF Review ◽  
2021 ◽  
Vol 6 (1) ◽  
pp. 49-57
Author(s):  
Aleksandr Troitskiy ◽  
Roman Blizkiy ◽  
Irina Rakhmeeva
Keyword(s):  
Financial Reporting ◽  
Integrated Approach ◽  
Financial Statements ◽  
International Standards ◽  
Successful Implementation ◽  
Factors Affecting ◽  
Income Statement ◽  
Accounting Judgments ◽  
Set Up ◽  
The Impact

The article deals with the impact of the Covid19 pandemic on accounting and financial reporting in terms of the presentation of certain items in the income statement, the assessment of accounting judgments, key sources of uncertainty, and business continuity assumptions. The research focuses on the features of amendments, algorithms, and principles for implementing the provisions of IFRS in 2020: IAS (1) The authors proposed an algorithm for transforming (adapting) financial statements from RAS to IFRS. The article, systematized the approaches representing the key areas in the adaptation of the relationships that create the accounting environment for the successful implementation of the objectives of the transition to IFRS. An integrated approach to the adaptation stages takes into account the external and internal environment of the elements of the transformation of financial statements.  The stages interact and are set up for the result of a successful transition to the formation of financial statements in accordance with IFRS. The authors note that the factors affecting the efficiency, reliability and high operational effect of the stage depend on many variables.  The authors have developed a model of procedures for accounting and control assessment of elements compatibility for the adapting, and unifying stage of transition from RAS to IFRS.

scholarly journals The Strategy for Harmonizing Financial and Non-financial Reporting on Climate Risk Disclosures. Part 1

2020 ◽  
Vol 7 (3) ◽  
pp. 18-25 ◽  
Author(s):  
O. V. Efimova ◽  
O. V. Rozhnova
Keyword(s):  
Climate Change ◽  
Comparative Analysis ◽  
Financial Reporting ◽  
Financial Statements ◽  
Climate Impact ◽  
International Standards ◽  
Climate Risks ◽  
Risk Disclosures ◽  
Conceptual Foundations ◽  
The Impact

The paper substantiates the need to harmonize the financial and non-financial statements of the company and to develop the corrspodig strategy in climate risks. The study assesses the impact of climate change risks on financial reporting indicators and formulates requirements for disclosing information in financial and non-financial statements. There a demand for such disclosures by investors is emphasized, as well as other interested parties, and the relevance of expanding and reorienting their contents from the task of describing the company’s environmental impact to the task of reflecting the climate impact on the company, its financial performance and strategy. The paper presents the results of a comparative analysis of the international standards` conceptual foundations for financial and non-financial reporting and shows their mutual consistency. Based on a comparative analysis of the international standards conceptual foundations, their mutual consistency has been proved, as well as there have been revealed accounting problems and disclosing information on climate risks in financial and corporate reporting. The results of the study (based on methods of logical analysis, abstraction, analogies, groupings, comparative analysis) are the key provisions formulated for developing a strategy for harmonizing financial and non-financial reporting, including climate risks. Also, there are shown recommendations for the preparation of disclosures regarding the interdependence of climate change and the results achieved with the development prospects of the company. The study may be of interest to Government bodies of the Russian Federation, relevant international organizations in the formation of standards for financial and nonfinancial reporting, interested users, as well as economic entities in the development of internal accounting and reporting standards.

IFRS-reporting: practical aspects of transition

2019 ◽  
pp. 42-53
Author(s):  
Mykhaylo Luchko ◽  
Nataliya Melnyk
Keyword(s):  
Financial Reporting ◽  
Open Data ◽  
Financial Statements ◽  
International Standards ◽  
National Standards ◽  
Practical Implementation ◽  
Electronic Format ◽  
Recent Developments ◽  
Accounting Reports ◽  
The Impact

Introduction. Currently, the adoption of IFRS has become both an objective reality and a legal requirement for many domestic enterprises. International standards are a prerequisite for the formation of common approaches and objectives of financial statements, IFRS are focused on the presentation of real and objective accounting and reporting information about the financial position, as well as allow an impartial assessment of the opportunities and prospects of the enterprise. However, the implementation of IFRS requires amendments to the applicable regulations, national standards, clarification of terminology, development of practical recommendations, definition of tools and timing of the transition. As a significant expansion of the IFRS reporting segment is underway in Ukraine, new challenges, tasks, risks for practitioners and the professional accounting community are emerging. Purpose. The purpose of the article is to study the issues, practical aspects and methods of transition to the International Financial Reporting Standards, taking into account the requirements and changes of the current legislation, research of the categories, composition and structure of IFRS reporting. Methods. The methodological and informational basis of the research are regulations, scientific works, periodicals, open data from the Internet. Methods based on general and specific approaches to the study of economic phenomena, facts and processes were applied in the study, in particular: the dialectical cognition method (when summarizing the factors influencing the formation of IFRS financial statements), inductive (to transit from empirical data to practical use of IFRS requirements for systematic reporting, generalizations and conclusions that give an overview of the issues of IFRS reporting) and deductive (in the process of theoretical comprehension of the objectivity of the transition to IFRSs and obtaining partial conclusions to address the practical problems of such transition). Results. As a result of the study, the authors outlined the legal requirements for the content and structure of the first IFRS financial statements and their impact on the consistency and order of IFRS reporting; the practical stages of transition to IFRS have been identified and characterized; parallel accounting, translation and transformation have been described and critically evaluated as methods of financial reporting in the transition to IFRSs. It is emphasized that the transition to IFRS is not only associated with technical difficulties, but also complicates the organization of accounting services at the enterprise and influences management processes that rely on accounting reports and indicators. The problems of hiring qualified personnel, accountants training or involvement of outsourcing consultancies are considered. Recent developments concerning the Financial Reporting System (FRS) in electronic format on the XBRL standard for entities transitioning to IFRS have been analyzed. Discussion. Further research should be performed on the basis of domestic and international experience, taking into account the impact of IFRS implementation synergistic effect for different categories of businesses, and issues of practical implementation of financial reporting systems (FRS) in electronic format on the XBRL standard.

scholarly journals Content requirements for narrative reporting in the public sector: a contextual perspective

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Benson Igboke ◽  
Razaq Raj
Keyword(s):  
Public Sector ◽  
Service Delivery ◽  
Financial Reporting ◽  
Information Needs ◽  
Financial Statements ◽  
Financial Reports ◽  
Content Type ◽  
The Public ◽  
Narrative Reporting ◽  
The Impact

Purpose Accounting literature is definite about the content and presentation of traditional financial statements, but the basic information to be provided in the narrative reports of public sector entities remains unsettled. This paper aims to investigate the needs and expectations of stakeholders (primary users and preparers) regarding the content and presentation of narrative reports in the public sector of Nigeria. Design/methodology/approach The research used a qualitative approach that draws on stakeholder and contingency theories to collect primary data through in-depth individual interviews using semi-structured questionnaires. Data were analysed by a thematic method using the NVivo 11 Pro software package. Findings The study reveals that financial statements constitute the statutory financial reports of public sector entities in Nigeria as narrative reporting is undeveloped, both as a concept and in practice. Stakeholders believe that narrative reporting is required to enhance the accountability usefulness of the annual financial reports published by the government and public agencies. Data analysis further reveals that public perception about the management of government financial resources influences the information needs of stakeholders regarding financial reporting. In addition, stakeholders consider the approved budget as the cornerstone of public financial reporting. Accordingly, users and other stakeholders expect public sector narrative reports to provide budget-based performance information that relates the accounting data presented in the financial statements to the key budgetary provisions, in both financial outlays and service delivery achievements. Stakeholders also expect narrative reports to be presented in plain language and provide information about the impact of financial decisions and actions on the basic socioeconomic variables that signpost citizens’ well-being, such as education, health care, employment and security. Practical implications The study suggests that the inclusion of narrative information in the statutory financial reports of public entities in Nigeria is imperative and should engage the attention of policymakers and relevant regulatory authorities. In addition, a more elaborate systematic investigation of the information needs of stakeholders in Nigeria should be undertaken by relevant units of government. Originality/value To the best of the authors’ knowledge, this is the first documented research on narrative reporting and the information needs of a broad range of stakeholders in the public sector of Nigeria. The paper identifies the approved budget as the focal point of governmental financial reporting, and a clear linkage between budget provisions, accounting results and service delivery achievements as the basic content of a narrative report in developing countries.

Particularities of the independent auditor's report on reliability of accounting (financial) statements for 2019: COVID-19 as qualitatively essential information (Part 2)

2020 ◽  
Vol 23 (7) ◽  
pp. 777-799
Author(s):  
O.I. Shvyreva ◽  
Z.I. Kruglyak ◽  
A.V. Petukh
Keyword(s):  
Financial Reporting ◽  
Financial Statements ◽  
Economic Situation ◽  
Risk Disclosure ◽  
Essential Information ◽  
Logical Method ◽  
Annual Reporting ◽  
The Face ◽  
Key Aspects ◽  
The Impact

Subject. This article discusses the issues related to the practice of financial reporting in the face of uncertainties caused by the coronavirus contagion, as well as the specifics of the audit strategy and formation of an audit opinion on this reporting. Objectives. The article aims to identify the quality characteristics of financial reporting prepared in the context of the COVID-19 pandemic and justify the key aspects of assurance engagement completion in an extremely uncertain epidemiological and economic situation. Methods. For the study, we used an abstract-logical method, content analysis techniques, systematization, and classification. Results. Analyzing the impact of the extremely uncertain epidemiological and economic situation on financial statements, the article clarifies aspects of disclosure of events after the reporting date and threats to business continuity in the annual reporting of economic entities. The article identifies possible alternative procedures and algorithms to obtain proper evidence when it is insufficient in the face of the inability to meet certain audit standards requirements in a remote audit environment. The article defines the impact of COVID-19 risk disclosure on the structure of the audit report and opinion. Relevance. The results of the study can be used in the practical activities of economic entities that prepare financial statements in the face of significant uncertainty, as well as auditors and audit organizations.

Federal public finance accounting standard “Employee Payments”

2020 ◽  
pp. 5-10
Author(s):  
Olga Shinkareva
Keyword(s):  
Public Finance ◽  
Public Sector ◽  
Financial Reporting ◽  
Financial Statements ◽  
Employee Benefits ◽  
Reporting Standard ◽  
Accounting Standard ◽  
Disclosure Of Information

The article is devoted to the analysis of the Federal Accounting Standard of Public Finance “Payments to Personnel”, which will be applied in the conduct of accounting and reporting from January 1, 2021, including medical state and municipal institutions. The article considers the main provisions of this standard — peculiarities of recognition and evaluation of objects of personnel benefits accounting, termination of their recognition, as well as disclosure of information on objects of personnel benefits accounting in accounting financial statements. This standard is compared with the International Public Sector Financial Reporting Standard 39 “Employee Benefits”

Do globalisation and adoption of IFRS by banks in Africa lead to less earnings management?

2019 ◽  
Vol 17 (2) ◽  
pp. 222-248 ◽  
Author(s):  
Mohammed Amidu ◽  
Haruna Issahaku
Keyword(s):  
Financial Reporting ◽  
Design Methodology ◽  
Information Quality ◽  
Accounting Information ◽  
Financial Statements ◽  
International Standards ◽  
Content Type ◽  
Financial Reporting Standards ◽  
Accounting Information Quality ◽  
National Economies

Purpose This paper aims to analyse the implications of globalisation and the adoption of international standards (International Financial Reporting Standards [IFRS]) for accounting information quality. Design/methodology/approach This paper uses a sample of 329 banks across 29 countries leading up to and beyond the implementation of IFRS to test for related hypotheses. Findings First, banks’ financial statements are prepared on the basis of international standards as national economies are integrated when social norms are diffused. Building on these results, the second test suggests that the relatively high-quality earnings among banks in Africa during the period is attributable to the adoption of and interaction of IFRS with globalisation and the strategy of banks to diversify within and across interest and non-interest income. Originality/value The authors investigate how globalisation and the adoption of IFRS affect accounting information quality.

scholarly journals Statutory audit in Slovakia – significant phenomenon of global European changes

2020 ◽  
Vol 74 ◽  
pp. 06006
Author(s):  
Denisa Domaracká ◽  
Veronika Kňažková
Keyword(s):  
Financial Reporting ◽  
Global Economy ◽  
Financial Statements ◽  
Legislative Regulation ◽  
Significant Phenomenon ◽  
The Subject ◽  
The Impact ◽  
Regulation Changes ◽  
Audit Performance

The changing global economy environment also affected the area of statutory audit. Nowadays, statutory audit faces the significant changes not only because of the processes of digitization and automation in accounting and auditing, but because of increased and tightened legislative regulation, too. The most important aspects of financial reporting and auditing are subject to EU Regulations and EU Directives. For this reason, the issue of legislative regulation changes in field of statutory audit in Slovakia has become the subject of our article. Currently, the proposal of amending and supplementing Act. No 431/2002 Coll. on Accounting, as amended underwent an interdepartmental comment procedure. The proposal includes the changes on requirements for statutory audit. This article examines the current proposal to change (mainly increase) the conditions for performing the mandatory statutory audit of financial statements in Slovak audit environment. Our goal is to clarify the reasons and implications behind the changes of Slovak legislation as well as the impact of these changes on audit performance in Slovakia. We believe conducting statutory audits in accordance with the applicable legislation accepted and implemented at international European level can contribute to transparency and improve the quality of audit performance. In order to achieve the goal, it was necessary to choose a purposeful work methodology and research methods.

Sign in / Sign up

Export Citation Format

Share Document