THE POST 1947 PLAN ERA During the 1950s, the Higher Council of Accounting made the first revision of the 1947 Plan. The new Plan was approved in 1957. The Council mainly devoted its efforts to improving the various elements of the 1947 Plan while retaining its framework and giving the cost accounting section of the plan more flexibil­ ity. A 1962 decree required the 1957 Plan be used in the private economic sector. The 1957 Plan thus became legally binding in over eighty lines of business for which particular plans were developed. Further, in the 1960s, the 1957 Plan served as basis for the development of the Plan for the African, Madagascar and Mauritius Organization (grouping of former French colonies) by a group of experts from the National Council of Accounting and INSEE. With changing economic conditions in France, the passing of new laws, the rapid development of information processing tech­ niques and the internationalization of trade and capital markets, the Accounting Plan needed revision. The need to improve the possibilities for financial and economic analysis offered by the plan’s financial statements played an important role in drafting the revised plan’s conceptual framework; in fact, this consider­ ation dominated the first phase of the revision (1970 to 1975). The new proposed plan changed the classification criteria adopted in the 1947 and 1957 Plans, and introduced a number of innovations. The classification of balance sheet elements according to their de­ gree of liquidity/maturity was replaced by a classification of assets and liabilities according to their economic function in the firm. The impact of tax regulations on accounting income and on the balance sheet was to be shown separately in accounts such as regulated provisions. The presentation of a statement of changes in financial position was to be made mandatory as a result of banks’ and financial analysts’ requests for information about the impact of the firm’s transactions on its financial position. In the income statement, components of production were to be shown separately, and computation of value added was required to meet national accountants' information needs. These changes were ap­ proved by the National Council of Accounting (Conseil National de la Comptabilite) in 1975. Unfortunately, the 1975 Plan could not be adopted as such, since it had to be harmonized with the requirements of the Euro­ pean Economic Community (EEC) directive on company financial statements, which was approved in 1977. The EEC fourth direc­

2014 ◽  
pp. 353-353
Keyword(s):  
Information Needs ◽  
Rapid Development ◽  
Balance Sheet ◽  
Value Added ◽  
Financial Statements ◽  
National Council ◽  
Financial Position ◽  
The 1960S ◽  
The Impact

tive had both positive and negative impacts on the evolution of French accounting. Among the positive results were the introduction of the “true and fair” concept used in English-speaking countries, which -goes beyond the French notion of comptes reguliers et sinceres (whose meaning is closer to careful obedience of the law), the new level of importance granted to notes to financial statements, the break­ down of income taxes information on deferred taxes. Among the negative impacts of the fourth directive on French accounting were the abandonment of the requirement for the preparation of a statement of changes in financial position; the partial abandonment of the functional classification in the balance sheet reverting to the previous classification of elements according to their degree of liquidity/maturity; and the abandonment of the computation of value added on the income statement. At the EEC level, financial statements were not designed with the same broad objective of serving micro and macro-accounting as in France. Furthermore, its development was based on the 1957 Accounting Plan's financial statements and on the German financial state­ ments in use in the 1960s [Nichus, Spring 1972]. Therefore, a number of innovations of the 1975 Plan, some of which reflected national accountants' demands, were not incorporated into the fourth directive. Similarly, since no conciliatory work had been done on a possible statement of changes in financial position at the EEC level, no such statement was included among the manda­ tory documents to be prepared annually by firms. EEC member countries could go beyond the fourth directive's requirements when incorporating its provisions into their respec­ tive laws. Nevertheless, France was bound by the EEC require­ ments, since the French industry representatives at the CNC found support in the directive for their claims for simpler statements and fewer disclosures than originally anticipated in the 1975 Plan. French companies did not want to have to disclose more informa­ tion than was required from their EEC competitors. Furthermore, it was not difficult at this point for industry representatives at the CNC to bring about changes in the 1975 Plan, since it was only a draft and had not yet been implemented. A compromise solution involved providing, in addition to the basic set of financial state­ ments, a more elaborate, optional set of documents with the same basic structure as the EEC directive statements, but retaining as many as possible of the innovations of the 1975 Plan. A third, much shorter set of statements was adopted for small firms. 298

2014 ◽  
pp. 354-354
Keyword(s):  
Small Firms ◽  
Balance Sheet ◽  
Value Added ◽  
Basic Structure ◽  
Financial Statements ◽  
Financial Position ◽  
Income Statement ◽  
Negative Impacts ◽  
The 1960S ◽  
Broad Objective

scholarly journals IMPACT OF ACCOUNTING POLICIES ON BOOK VALUE OF ENTERPRISE

2018 ◽  
Vol 2018 (04) ◽  
pp. 55-62
Author(s):  
Valentyna ORLOVA ◽  
◽  
Sofiia KAFKA
Keyword(s):  
Balance Sheet ◽  
Financial Statements ◽  
Reliable Determination ◽  
Book Value ◽  
Financial Position ◽  
Business Operations ◽  
Real Value ◽  
The Difference ◽  
Transfer Of Information ◽  
The Impact

Content and purpose of accounting are identification, measurement, registration, accumulation, synthesis, storage and transfer of information about activities of an enterprise to external and internal users for adoption of management decisions. Business operations are recorded in prices at the time of transaction; that ensures a reliable determination of financial performance of enterprise for one or another period in prices of that period. However, its financial position is also affected by other factors: investment attractiveness of enterprise, its position in the market, inflation, emergencies, etc. As a result, the price of accounting objects can change. It was found out whether it is expedient to reflect such changes in accounting records. Peculiarities of the impact of accounting policies on the value of enterprise are researched. Solutions of problematic aspects of the valuation of some items of accounting are revealed and proposed. In particular, it concerns the order of reflection of revaluations in accounting items and presentation of information about them in financial statements as a source of information about value of enterprise. There are a number of methods for assessing the value of an enterprise, the main one among them is valuation based on financial statements, namely balance sheet (so-called book value). It is determined that under current conditions of managing and doing business, accounting policies is a powerful tool for managing not only accounting but also the results of financial and economic activity and the value of enterprise. To provide users with information about real value of assets, liabilities and equity, the balance sheet items at the reporting date, if necessary, should be re-evaluated, and the results filed in the statement of financial position. The difference between the data of balance sheet and statement of financial position should be disclosed in the notes to the financial statements.

scholarly journals Isu Penyatuan Akuntansi Atas Aset Tak Berwujud

2013 ◽  
Vol 4 (2) ◽  
pp. 821-833
Author(s):  
Rosinta Ria Panggabean
Keyword(s):  
Intangible Assets ◽  
Balance Sheet ◽  
Accounting Standards ◽  
Financial Statements ◽  
International Accounting Standards ◽  
Financial Position ◽  
Knowledge Based ◽  
The Impact ◽  
Accounting Convergence ◽  
Alternative Solutions

Globalization, technological innovation, and intense competition made companies change from laborbased business to knowledge-based business. Investors use financial statements published by the company as a basis for their investment decisions. Difficulties to compare and interpret financial statements prepared by different rules have led to demands from practitioners and academics on international harmonization, and even support for the unification of accounting standards around the world. Thus, the unification (convergence) of accounting is a big issue, especially at this time which the balance sheet of asset is increasingly dominated by intangible assets. Difficulties to recognize and to record the intangible assets in the financial statements especially Statement of Financial Position are regarded as a major issue in accounting for intangible assets. This article is a literature review of accounting for intangible assets and the impact of globalization, science, and technology against it. The discussion began with outlining the issue of unification of international accounting standards, the advantages, disadvantages, and the parties concerned in relation to accounting convergence. Article discussed later on intangible assets, along with the controversy issues that arised. Alternative solutions along with conclusions and suggestions were at the end of this article.

scholarly journals The Impact of Intellectual Capital on the Profitability of Russian Agricultural Firms

Agronomy ◽  
2021 ◽  
Vol 11 (2) ◽  
pp. 286
Author(s):  
Danila V. Ovechkin ◽  
Gulnara F. Romashkina ◽  
Vladimir A. Davydenko
Keyword(s):  
Method Of Moments ◽  
Intellectual Capital ◽  
Generalized Method Of Moments ◽  
Balance Sheet ◽  
Value Added ◽  
Financial Statements ◽  
Structural Capital ◽  
The Impact ◽  
The Relationship ◽  
Financial Profitability

Economic efficiency is a function of two types of resources: those that are presented in financial statements and those that are not. Non-balance sheet resources are referred as to intellectual capital (IC). The purpose of the paper is to investigate the relationship between IC, its components and the level of financial profitability. To conduct the analysis, we used the system generalized method of moments for a broad sample of Russian firms that operate in the agribusiness industry. We employed two financial approaches to IC estimation. The first one is the Value Added Intellectual Coefficient (VAIC). The second one is own-created approach that is supposed to respond the criticism regarding VAIC. Comparison between VAIC and own-created approach to IC estimation revealed that the latter is more appropriate due to its advantages. Our approach unlike VAIC allows measuring both efficiency ratios and the stocks of IC. The results showed that the efficiency of structural capital usage and the stock of human capital have the biggest impact on the profitability level of the agricultural businesses among employed measures of IC.

scholarly journals Changes in the themes, aesthetics and functions of public images in Kyiv due to the influence of socio-cultural processes in the society of 1990-2010

2021 ◽  
pp. 183-194
Author(s):  
Mariia Ospishcheva-Pavlyshyn
Keyword(s):  
Contemporary Art ◽  
Visual Arts ◽  
Public Art ◽  
Visual Art ◽  
Rapid Development ◽  
Practical Aspect ◽  
Cultural Processes ◽  
The Impact ◽  
Theoretical Developments

On the back of the rapid development in public art in recent decades, and in particular graffiti and muralism, interest in them has grown significantly among cultural studies scholars, art critics, architects, sociologists, and urban planners. Numerous works that have appeared in the West and in Ukraine are devoted to various aspects of the visual public art existence. This theme continues to be one of the most relevant for contemporary visual art. This article complements the bunch of acquired knowledge with a detailed study of the impact of socio-cultural processes in society on the changes that took place in monumental painting, graffiti and muralism in Kyiv during 1990–2010, i.e. during the most important changes in politics and society in recent decades. The peculiarities of each historical stage of this influence are analysed and outlined in the study, and the theoretical analysis is displayed by the description of the most characteristic works. Most of them are researched in detail. In addition, the process of decline of monumental painting in the late 1980s and early 1990s is analysed, the factors of graffiti flourishing in the 1990s are identified and highlighted, and the origins of the rapid development of muralism after 2004 and especially after 2014 are explored. At each stage, changes in the themes, aesthetics and functions of public images are traced. The definitions, such as muralism and graffiti, are updated in this paper, taking into account changes in art and the latest achievements in its analysis. The manifestations of the national-patriotic themes in the contemporary art of muralism are considered in detail, the classification of art work on this subject is given, the corresponding examples are given. Such concepts as public art, synthesis of arts, monumental painting, graffiti, muralism are attentively aligned. The study of the nature of the socio-cultural processes and visual arts correlations is promising for further scientific and theoretical developments and the practical aspect for better understanding of the specific works

Instructional Case: Worldwide Shipping Corporation Ltd: Early or Late Adoption of a New International Accounting Standard?

1999 ◽  
Vol 14 (2) ◽  
pp. 211-231
Author(s):  
Peter Lee ◽  
Pearl Tan
Keyword(s):  
Financial Reporting ◽  
Financial Analysis ◽  
Balance Sheet ◽  
Financial Statements ◽  
Economic Consequences ◽  
International Accounting ◽  
Accounting Choice ◽  
Accounting Standard ◽  
The Impact ◽  
International Accounting Standard

The management of Worldwide Shipping Corporation Ltd (hereafter “Worldwide Shipping”) is confronted with a dilemma when a new international accounting standard on leases is introduced which contains a transitional provision allowing firms to defer implementation for a period of four years. Students are required to put themselves in the position of managers who have to weigh the adverse impact of early adoption of the new accounting standard against a responsibility for fair financial reporting. Worldwide Shipping is a multifaceted case that can be used as an accounting case study or a financial analysis study. The objectives of the case are threefold. First, it aims to provide students with a better understanding of the impact of off-balance sheet transactions (in this case, sale-leaseback contracts) on a firm's financial statements. Second, it requires students to examine implications of accounting choice on management compensation and debt-contracting costs, as well as the perplexing problem of recognition in financial statements vs. footnote disclosures. By putting students in the position of managers, the case increases students' awareness of the possible economic consequences arising from accounting choice. Third, it provides students with a useful exercise in the mechanics of effecting a change in accounting method using the retroactive method.

The Impact of COVID-19 on the Business Performance and Financial Position in Hotel Industry

2021 ◽  
pp. 1-22
Author(s):  
Sanja Sever Mališ ◽  
Ivana Mamic Sačer
Keyword(s):  
Comparative Analysis ◽  
Business Performance ◽  
Statistical Data ◽  
Hotel Industry ◽  
Financial Statements ◽  
Basic Information ◽  
Financial Position ◽  
Tourism Sector ◽  
The Impact ◽  
Profitability Ratios

The hotel industry, among others, has been affected by the COVID-19 pandemic. The effect of the pandemic can be noticed through financial statements. The aim of the chapter is to analyse how the COVID-19 pandemic has affected the financial position and business performance of the hotels in a tourism-oriented country such is Croatia. The chapter covers the basic information of tourism and the features of the hotel industry in Croatia. The authors represent the sets of national recommendations for dealing with the pandemic in the tourism sector that are enriched with available macroeconomic statistical data. Further, the analysis of financial statements of the five selected hotels is presented. The analysis was done in order to provide comparative analysis of financial results in the pandemic environment (2020) and the previous year (2019). Based on the calculated liquidity, solvency, activity, economy, and profitability ratios, the authors conclude that all the mentioned ratios worsened in 2020 for all the observed hotels.

scholarly journals Issues surrounding the classification of accounting information

2011 ◽  
Vol 12 (3) ◽  
pp. 353-369 ◽  
Author(s):  
Huibrecht Van der Poll ◽  
Daan Gouws
Keyword(s):  
Balance Sheet ◽  
Accounting Information ◽  
Financial Statements ◽  
Classification Theory ◽  
New Classification ◽  
Second Nature ◽  
Classification Framework ◽  
Income Statement ◽  
Current Classification

The act of classifying information created by accounting practices is ubiquitous in the accounting process; from recording to reporting, it has almost become second nature. The classification has to correspond to the requirements and demands of the changing environment in which it is practised. Evidence suggests that the current classification of items in financial statements is not keeping pace with the needs of users and the new financial constructs generated by the industry. This study addresses the issue of classification in two ways: by means of a critical analysis of classification theory and practices and by means of a questionnaire that was developed and sent to compilers and users of financial statements. A new classification framework for accounting information in the balance sheet and income statement is proposed.

Morocco's phosphate company is set for an export surge

2017 ◽  
Keyword(s):  
Credit Rating ◽  
Rapid Development ◽  
Atlantic Coast ◽  
Production Capacity ◽  
Value Added ◽  
Tax Credits ◽  
Content Type ◽  
International Credit ◽  
The Government ◽  
The Impact

Significance Meanwhile, the Office Cherifien des Phosphates (OCP), Morocco’s government-controlled phosphate company, has started production in a new fertiliser unit at its main processing and export centre in Jorf Lasfar, on the Atlantic coast. Morocco’s traditional phosphate industry has been eclipsed in recent years by the rapid development of new sectors such as the automotive and aeronautical industries, which are similarly oriented towards exports. Impacts OCP’s fertiliser production capacity will increase by 50% during 2018, boosting the value added to its phosphate mining activities. Increased volumes of exports of phosphates and fertilisers will counterbalance the impact of relatively low international prices. Once the new cycle of investment is complete, OCP will be in a position to pay back tax credits it has received from the government. Repayment of tax credits would boost OCP's international credit rating.

scholarly journals IPTEKS NILAI WAKTU UANG DAN IMPLIKASI PENCATATAN AKUNTANSI

2019 ◽  
Vol 3 (2) ◽  
Author(s):  
Novi Swandari Budiarso
Keyword(s):  
Interest Rate ◽  
Balance Sheet ◽  
Financial Statements ◽  
Cash Flows ◽  
Time Value Of Money ◽  
Time Value ◽  
Financial Position ◽  
Income Statement ◽  
Statement Of Cash Flows ◽  
Value Of Money

Most of general public and firms know about money and its value but do not have better understanding how the money creates its own value relates to interest rate. Another side, most of firms still not realize that the time value of money has an impact on accounting recording and its reporting in financial statements, such as statement of financial position (balance sheet), income statement, and statement of cash flows.

Sign in / Sign up

Export Citation Format

Share Document