scholarly journals ANALYSIS OF THE BALANCE SHEET FROM THE ASPECT OF BUILT-IN ESTIMATES

2020 ◽  
Vol 20 (2) ◽  
Author(s):  
Nedim Smailović ◽  
Milanka Aleksić ◽  
Nina Uremović
Keyword(s):  
Economic Value ◽  
Balance Sheet ◽  
Economic Benefits ◽  
Accounting Practice ◽  
Financial Position ◽  
Income Statement ◽  
Fixed Assets ◽  
Assets Assessment ◽  
Basic Hypothesis ◽  
Available Information

The balance sheet should present the financial position of the company truthfully and objectively. The presentation of the balance sheet requires the use of the best possible estimates and reasonable assumptions that are reflected in the value of the balance sheet items. Estimates are based on historical and other available information at date of the balance sheet. Each estimate carries a risk with an outcome in materially significant adjustments to the present value of assets, liabilities, incomes and expenses in the next financial year. In the absence of a precise method of measurement, an assessment of the financial statement items is made. The use of adequate estimates does not compromise the reliability of the balance sheet. However, due to the uncertainty of business activities and a certain distinctiveness in the understanding of accounting and economic value, balance sheet items may take different values. There are numerous examples of misuse of creative accounting in accounting practice, and when implemented untrue and biased information is published. The motives for such actions are different, ranging from the need of avoiding paying taxes, more profitable business sales, gaining better creditors position and creditors, to the realization of bonuses and management privileges. In addition to management, competent external experts are hired for appraisal work, whose work does not always have to be reliable because an alternative appraiser can be selected or manipulative data can be provided as a basis for assessment. The aim of this paper is to point out the balance sheet items that carry the greatest risks of objective reporting, and to assess the validity of the applied concept (basis) for measurement. The paper also points to possible ways of manipulating the balance sheet: if you want to show a financial result lower than the real one, then the value of assets is shown lower than it really is, and income statement expenses increase, while the situation is reversed if the company wants to show better financial results of the existing ones: then the estimated value of the assets in the balance sheet increases, and the value of the expenses in the income statement decreases. The paper starts from the basic hypothesis that the value assets assessment affects the presentation of the financial position of the company. An important item in the estimates is the assessment of the useful life of fixed assets. These estimates are reviewed annually and changed in accordance with the expected changes and the dynamics of spending the future economic benefits of fixed assets. The hypothesis proof was performed on the example of the analysis of the property position of a large service company for the period from 2004 to 2019. The results indicate that estimates can significantly correct the financial position of the company, and that the analysis of the company should focus on positions that are subject to assessments and that can significantly change the value of the company, instead of cash and liquidity positions that are considered priority in most analysis.

scholarly journals IMPLEMENTASI PENYUSUNAN LAPORAN KEUANGAN BERDASARKAN SAK EMKM PADA UMKM PASTELLIA INTERMODA BUMI SERPONG DAMAI DENGAN MENGGUNAKAN APLIKASI SI APIK PERIODE 2018 – 2019

2021 ◽  
Vol 4 (2) ◽  
pp. 160
Author(s):  
Bettynia Dwi Orparani ◽  
Yumniati Agustina
Keyword(s):  
Comparative Analysis ◽  
Balance Sheet ◽  
Financial Statements ◽  
Financial Accounting ◽  
Financial Reports ◽  
Financial Position ◽  
Income Statement ◽  
Fixed Assets ◽  
The Difference ◽  
Descriptive Method

The purpose of this study is to evaluate whether the financial statements based on SAK EMKM have been applied by Pastellia Intermoda Bumi Serpong Damai SMEs, compare the financial statements of Pastellia Intermoda Bumi Serpong Damai SMEs with Si Apik's version of the financial statements, and interpret the results of a comparative analysis which is then drawn into a conclusion. . This research method is a comparative & descriptive method. Data obtained through interviews, observation. Comparative analysis of the data by analyzing the presentation of the financial statements of Pastellia Intermoda Bumi Serpong Damai SMEs with a theory that refers to the Financial Accounting Standards for Micro, Small and Medium Entities (SAK EMKM) and comparing financial statements manually with financial reports using the Si Apik application. The results of this study are that the types of financial statements produced are statement of financial position (balance sheet), income statement and cash flow statement, and do not make notes on financial statements (CALK) so that they are not in accordance with SAK EMKM. The difference between the financial statements produced by Pastellia Intermoda Bumi Serpong SMEs and the Si Apik application is in the statement of financial position and income statement related to depreciation of fixed assets

scholarly journals Analisis Penghentian Pengakuan Aset Tetap Pada PT Central Light Concrete Berdasarkan SAK-ETAP

2019 ◽  
Vol 16 (2) ◽  
Author(s):  
Eka Yuni Amaliya ◽  
Sjamsul Hidayat ◽  
Andrianto Andrianto
Keyword(s):  
Balance Sheet ◽  
Financial Statements ◽  
Economic Benefits ◽  
New Production ◽  
Fixed Asset ◽  
Income Statement ◽  
Fixed Assets ◽  
Production Concept ◽  
Useful Life ◽  
Collection Methods

ABSTRACT This study aims to determine the analysis of the termination of fixed asset recognition at PT Central Light Concrete based on SAK-ETAP. The method in the study is descriptive with a qualitative approach, namely by providing an overview of the analysis of the termination of fixed assets at PT Central Light Concrete based on SAK-ETAP. In conducting this research, the author uses data collection methods by means of interviews, observation, and documentation.The results of the study indicate that when a fixed asset usage discontinuation occurs because it is damaged or not in accordance with the new production concept, PT Central Light Concrete has not terminated the recognition of fixed assets. PT Central Light Concrete still charges the depreciation of these fixed assets in the income statement and recognizes those fixed assets in the balance sheet.The conclusion in this study is that PT Central Light Concrete has not implemented the termination of recognition of damaged fixed assets or fixed assets that are no longer used before the useful life is used up and still records the depreciation of the fixed assets. This is not in accordance with SAK-ETAP where the entity must stop recognizing fixed assets when released or when no future economic benefits are expected from their use or disposal. Gains or losses arising from derecognition of property and equipment must be recognized in the income statement at the end of the period. Fixed assets that have been derecognized must also be written off from the company's fixed assets list and balance sheet at the end of the period. It is intended that the financial statements presented can help the Management of PT Central Light Concrete in making decisions or policies.Keywords                   : Fixed Assets, Termination of RecognitionCorrespondence to       : [email protected] ABSTRAK  (bahasa indonesia)Penelitian ini bertujuan untuk mengetahui analisis penghentian pengakuan aset tetap pada PT Central Light Concrete berdasarkan SAK-ETAP.Metode dalam penelitian adalah deskriptif dengan pendekatan kualitatif yaitu dengan memberikan gambaran mengenai analisis penghentian pengakuan aset tetap pada PT Central Light Concrete berdasarkan SAK-ETAP. Dalam melakukan penelitian ini, penulis menggunakan metode pengumpulan data dengan cara wawancara, observasi, dan dokumentasi.Hasil penelitian menunjukkan bahwa saat terjadi penghentian pemakaian aset tetap karena rusak atau tidak sesuai dengan konsep produksi yang baru PT Central Light Concrete belum melakukan penghentian pengakuan aset tetap. PT Central Light Concrete masih membebankan penyusutan aset tetap tersebut dalam laporan laba rugi dan mengakui aset tetap tersebut dalam laporan neraca.Kesimpulan dalam penelitian ini adalah PT Central Light Concrete belum menerapkan penghentian pengakuan aset tetap yang rusak atau aset tetap yang tidak dipakai lagi sebelum umur manfaatnya habis dan masih mencatat penyusutan aset tetap tersebut. Hal ini tidak sesuai dengan SAK-ETAP di mana entitas harus menghentikan pengakuan aset tetap pada saat dilepaskan atau ketika tidak ada manfaat ekonomi masa depan yang diekspektasi dari penggunaan atau pelepasannya. Keuntungan atau kerugian yang timbul dari penghentian pengakuan aset tetap harus diakui dalam laporan laba-rugi di akhir periode. Aset tetap yang telah dihentikan pengakuannya juga harus dihapuskan dari daftar aset tetap perusahaan dan laporan neraca di akhir periode. Hal ini bertujuan agar laporan keuangan yang disajikan dapat membantu Manajemen PT Central Light Concrete dalam pengambilan keputusan atau kebijakan.Kata kunci                  : Aset Tetap, Penghentian PengakuanKorespondensi             : [email protected]

scholarly journals RESEARCH OF THE BANKRUPTCY PREDICTION RELIABILITY IN CASE TO INTRODUCE A NEW CATEGORY OF THE COMPANIES FINANCIAL POSITION

2020 ◽  
pp. 105-122
Author(s):  
Aleksandra Noskova ◽  
◽  
Aleksander Alekseev
Keyword(s):  
Fuzzy Sets ◽  
Balance Sheet ◽  
Point Of View ◽  
Linguistic Variables ◽  
Membership Functions ◽  
Financial Position ◽  
Fixed Assets ◽  
Theoretical Significance ◽  
Prediction Reliability ◽  
Accuracy Increase

The motivation for this research was the result obtained earlier by the authors in the field of developing industry models for predicting bankruptcy with high prognostic ability. The article examines the prediction reliability of the financial position of companies in the case of introducing an additional category of financial position that reflects the position between financial solvency and insolvency (bankruptcy). The authors hypothesize that the reliability of models decreases if the requirements for their accuracy increase due to the introduction of an additional category of financial position. Hypothesis testing is performed using a non-entropic approach. This approach should reduce the measure of uncertainty in terms of the uncharacteristic nature of some of the identified features of financial position relative to the initial categories. At the same time, features of financial position are defined as ranges of specific weight of balance sheet items that have positive or negative information importance. Information importance is determined based on the methods of system-cognitive analysis, implemented automatically in the EIDOS X++ system, as well as by reproducing information models using MS Excel tools. Normalization of the informational importance values of features and their interpolation allowed us to obtain functions similar to the membership functions in the theory of fuzzy sets. When constructing membership functions relative to ranges of significant balance sheet items ("Fixed assets", "Inventory", "Accounts Receivable", "Short-Term financial investments", "Retained earnings (uncovered loss)", "Accounts payable"), ranges with zero or insignificant values of characteristic functions corresponding to the initial categories of financial position are identified. This actually meant a high level of uncertainty in the prediction. The authors propose to introduce additional linguistic variables and their corresponding fuzzy sets, whose carriers are the relative scales of the above balance items, this will reduce uncertainty. A total of 5 such fuzzy sets were identified, where the researchers used the concept of "gray zone" as a linguistic variable, which was actually used as a new category of financial position. All calculations are shown on the example of fixed assets. The prognostic ability of models based on an optimized sample, where the category of the position of companies that have at least 3 out of 5 features of the "gray zone" has been replaced, is reduced, as expected, but only slightly. And in the case of reproducing algorithms of system-cognitive analysis using MS Excel tools, there is even an increase in the prognostic ability of one of the models. In fact, the hypothesis that the reliability of models decreases if the requirements for their accuracy increase was not confirmed. From an economic point of view, the theoretical significance of the obtained result is that with the help of a non-entropic approach it was possible to show the need to introduce a new category of financial position. From a mathematical point of view, the theoretical significance lies in the fact that membership functions for linguistic variables are obtained based on real data on the financial position of almost two hundred Russian companies, these reduction functions can be used by specialists in the field of fuzzy set theory in the future. The results obtained are applicable at least for the construction industry, but can also be replicated relative to other sectors of the economy when forming the corresponding samples.

PENERAPAN PSAP NOMOR 07 TENTANG AKUNTANSI ASET TETAP PADA KANTOR KEPOLISIAN RESOR KOTA LUBUKLINGGAU

2021 ◽  
Vol 4 (3) ◽  
pp. 961
Author(s):  
Norman Hadi ◽  
Sriyani Sriyani
Keyword(s):  
Financial Reporting ◽  
Financial Management ◽  
Balance Sheet ◽  
Economic Benefits ◽  
Point Of View ◽  
Police Station ◽  
Straight Line ◽  
Fixed Assets ◽  
The Government

The reform of state financial management in 2003 was aimed at realizing transparent and accountable government financial reporting. Reform of state financial management is the first step in improving the quality of state finances. In the government environment, fixed assets play an important role in government operations and also benefit the community. The problem studied is how the suitability of accounting for fixed assets at the Lubuklinggau Police with PSAP number 07 concerning Accounting for Fixed Assets from the point of view of recognition, measurement, presentation, and disclosure of Fixed Assets in Financial Statements. The research method used is a qualitative method, the method of data collection is carried out by means of observation and interviews with parties related to accounting at the Lubuklinggau Police Station. The results of this study are the Lubuklinggau Police Station has implemented Fixed Asset Accounting in accordance with PSAP 07, namely Assets are recognized when future economic benefits have been obtained and their value can be measured reliably, Fixed Assets are measured at cost, depreciation is carried out using a straight line and presented in Balance sheet according to PSAP 07.

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.

scholarly journals ANALISIS TERHADAP IMPLEMENTASI STANDAR AKUNTANSI KEUANGAN UNTUK ENTITAS TANPA AKUNTABILITAS PUBLIK (SAK ETAP) PADA EMKM CV. M’ARS STUDIO

2019 ◽  
Vol 14 (3) ◽  
Author(s):  
Christian Jhon Mamengko ◽  
David Paul Elia Saerang ◽  
Lidia M. Mawikere
Keyword(s):  
Financial Reporting ◽  
Small And Medium Enterprises ◽  
Balance Sheet ◽  
Secondary Data ◽  
Financial Statements ◽  
Primary Data ◽  
Reporting Practices ◽  
Financial Position ◽  
Income Statement ◽  
Documentary Studies

One indicator that can be done to support the development of an increase in the national economy is through the Micro, Small and Medium Enterprises (EMKM). This study aims to find out about the implementation of financial reporting practices at CV. M’ars Studio, know the statement of financial position at the end of the period (balance sheet), find out the income statement during the period, knowing notes to financial statements during the period, based on EMKM SAK ETAP. The object of the research is the implementation of the EMKM Financial Accounting Standards CV. M’ars Studio. This type of research is qualitative and uses descriptive qualitative methods used in this study are primary data which is data obtained through interviews conducted by researchers on owners and administrators and through direct observation on CV. M’ars Studio besides that, secondary data obtained through evidence of library and documentary studies owned by CV. M’ars Studio. Secondary data obtained through evidence of library and documentary studies owned by CV. M’ars Studio. The results of this study indicate that there are several EMKM IFRS elements that have not been implemented by CV. M’ars Studio. Statement of financial position at the end of the period (balance sheet), which is still simple so the implementation is quite good, the income statement is almost in line with the standard so that the implementation made is good, and notes to financial statements at CV. M’ars Studio have not been implemented. There are major obstacles faced in implementing SAK EMKM, namely the lack of information to the entity regarding IFRDs that apply specifically to MSMEs.

Importance of Value of the Company for Development Business

2021 ◽  
pp. 205-215
Author(s):  
Lavinia Essen Yildirim ◽  
Diana Andreea Mândricel
Keyword(s):  
Quality Management ◽  
Development Strategy ◽  
Balance Sheet ◽  
Economic Benefits ◽  
Research Directions ◽  
Income Statement ◽  
New Research

The value of the company is necessary to become the key element in any entity development strategy. In this context, the action of the market contemporary forces determines certain behavior of the companies, which become more and more engaged in the resources, quality, customers, and suppliers, in which the top role is played by the top quality management. At the same time, the value of an enterprise or rather of its shares is no longer calculated as the sum of the values of its assets but determined by its ability to generate economic benefits, and the balance sheet loses interest in the income statement. This chapter analyses the new research directions regarding the value of the company in managing business risks.

Federal Accounting Standard 6/2020: Disputable issues of using some aspects of depreciation of fixed assets

2021 ◽  
Vol 22 (5) ◽  
pp. 548-574
Author(s):  
Ekaterina K. KOPYLOVA ◽  
Tat'yana I. KOPYLOVA
Keyword(s):  
Economic Benefits ◽  
Value Assessment ◽  
Fixed Asset ◽  
Accounting Standard ◽  
Accounting Practice ◽  
Firm Objectives ◽  
Fixed Assets ◽  
The Subject ◽  
Useful Life ◽  
Depreciation Methods

Subject. Currently, it is still important to choose how depreciation is charged, since this exactly reflects how future economic benefits of fixed assets are allocated over time. Amendments to the Russian laws on the use of Federal Accounting Standard (FAS) 6/2020 Fixed Assets helped update not only the procedure, but also the terminology. This totally influence how depreciation is recognized as per accounting policies of a firm. Objectives. The study focuses on the specifics of regulation and accounting for depreciation of fixed assets. Methods. The methodology includes the methods of analysis, systematization, comparison and generalization of regulatory sources and scientific literature on the subject. Results. We conducted the critical analysis of FAS 6/2020 in terms of using depreciation aspects, which relate to the useful life of a fixed asset, its drop value and depreciation method. Having analyzed regulatory documents, we summarized requirements to the useful life of fixed assets. Conclusions and Relevance. Practical issues of the drop value assessment should be resolved with respect to international practices. We also suggest non-governmental regulators of the Russian accounting practice should outline guidelines for the assessment of the drop value. There are still pending issues concerning the calculation of depreciation when a fixed asset is not used each day of a month. The depreciation calculation method should be stipulated in accounting policies, like aspects of revising depreciation elements. Considering the use of FAS 6/2020, accounting policies should be updated to formulate the content of changed aspects. The findings may prove useful to accountants when updating accounting policies on the use of depreciation methods in 2022 and onward.

scholarly journals Analisis Kinerja Keuangan dengan Metode Economic Value Added (EVA) (Studi pada PT. Behin Karya Tahun 2015-2019 )

2020 ◽  
Vol 5 (2) ◽  
Author(s):  
Ali Muhajir
Keyword(s):  
Financial Performance ◽  
Economic Value ◽  
Balance Sheet ◽  
Value Added ◽  
Financial Statements ◽  
Economic Value Added ◽  
Operating Profit ◽  
Income Statement ◽  
Descriptive Method ◽  
Very High

This study sample aims to measure the financial performance of PT. Behin Karya in 2015-2019 using the economic value added (EVA) method. This study uses a descriptive method with a quantitative approach. The population in this study is the financial statements of PT. Behin Karya 2015-2019. This study’s sample is the company's financial statements, especially the balance sheet and income statement. The results showed that the overall financial performance of PT. Behin Karya, using the Economic Value Added (EVA) method is excelent, because it has succeeded in achieving a positive value, despite fluctuating. This is because the operating profit generated by the company in 2015-2019 is very high so that it can be compared between the capital charges value and the NOPAT value that the NOPAT value is higher than the capital charges value. Keywords: financial performance; economic value added (EVA)

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
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