Behavioural Accounting Explained through Different Factors

<p><em> </em><em>The positive theory of accounting initiated by Watts and Zinmerman in 1978 postulates that the purpose of accounting is to describe, explain and predict accounting facts. The major contribution of this theory is to analyze the effect of accounting output on the main recipients of financial statements. However, in spite of its notable contributions, the positive theory of accounting falls short of studying the context in which the decision-making process by agents takes place s. It has been proved that this context conditions the decision-making process. Numerous studies have therefore been interested in the characteristics of the environment, which include both, organizational factors and individual factors that would condition decisions. It is from this perspective that behavioural accounting, a branch of accounting defined by Hofsted and Kinard (1970) as the analysis of the attitudes of accountants andparticularly non-accountants under the prism of the impact of accounting andparticularly accounting reports, has been developed. Thus, in many fields, both accounting and non-accounting, researchers have felt the need to take a closer look at the behavioural dimension, mainly theemotional and cognitive dimensions of decision-makers, particularly executives, because these dimensions have a significant influence on the decision-making process.</em></p><p><em>In the first part of our article, we will therefore show how the development of behavioral research has taken place in many fields. The aim is to prove that man is not a machine and that man’s specificities, both cognitive and emotional, must be rigorously analyzed to avoid unexpected results .Subsequently, we present a more or less diverse range of work on behavioral accounting . Finally, we prove through a careful and rigorous review of the accounting literature that behavioral accounting offers the opportunity for researchers, particularly practitioners, to be apprehended and thus evaluated through different faculties.</em></p>

The Value Of Buildings And Structures For Permafrost Damage Prediction: The Case Of Eastern Russian Arctic

The relevance of the study lay in the need to obtain reliable information on the possible economic consequences of changing geocryological conditions in the Russian Arctic, to find methods for preventing (reducing) potential damage, increasing the safety of the population and economy in the areas of the highest geocryological risks, and ensuring balanced socio-economic development in the Russian Arctic permafrost zone for the long term. The study aimed to assess the cost of fixed assets, including their most vulnerable part – buildings and structures (case study: municipalities of the Russian Arctic Asian sector). Economic sectoral structure was evaluated in accordance with the Russian Standard Industrial Classification of Economic Activities using primary statistical data – closed data from companies accounting reports. The work used statistical, cartographic, and visual-graphic methods, as well as methods for analyzing spatial information and microeconomic data. According to calculations, the Russian Arctic Asian sector concentrates the fixed assets of commercial companies with a total value of about 14.8 trillion rubles, including buildings and structures worth 10.7 trillion rubles. The obtained calculated data can be used in modeling the directions of state policy in the field of climate change adaptation and territory protection from natural hazards.

Evaluation of Strategies to Improve the Corporate Social Responsibility Performance in Food and Pharmaceutical Industries: Empirical Evidence from Iran

Since there is a lack of a strong CSR platform in the Iranian corporate environment, especially in the food and pharmaceutical industries, the proposed and existing strategies can be utilized to empower employees and the general public, improve executive processes, improve quality and customer satisfaction, and finally, organize financial and accounting reports. Hence, this study seeks to determine and evaluate strategies to improve the concepts and domain of corporate social responsibility (CSR) of food and pharmaceutical industries in Iran based on the requirements of sustainable development theory. This study analyzes the data of 22 companies active in the food and pharmaceutical industries listed on the Tehran Stock Exchange (TSE) over a period of six years (2014–2019). Eighty-three indicators were used to evaluate the performance of social responsibility based on economic, social and environmental dimensions. The Pareto approach has been used to determine the most important unmet current requirements. Then, using the Delphi method and content validity, appropriate strategies were determined. Finally, a correlation matrix was used to determine the most important and comprehensive strategies. Findings showed that 14 requirements in the field of corporate social responsibility are of great importance and with six strategies, the necessary measures to meet those requirements can be covered.

Paying a premium for an accounting crime

Purpose This study aims to look at how the intention of a person when facing a dilemma to choose a good outcome (utilitarian) or a good and ethical process regardless of the outcome (deontological) by raising the case of PT. Asuransi Jiwasraya (Jiwasraya). Design/methodology/approach This study was conducted using a literature study method where researchers will analyze through previous research and news related to ethics, psychology and Jiwasraya cases. Findings In the Jiwasraya case, it can be said that the deontology principle has been violated, but the utilitarian principle also cannot provide benefits to the parties who should benefit, namely, the premium payers and the owners of third parties funds. In terms of intentions, at first, Jiwasraya’s management may intend to save and provide benefits to customers and the public who deposit funds at Jiwasraya (utilitarian principle). However, over time, managers choose to “allow” conditions to occur and even begin to engage in activities to take advantage of certain parties and groups by taking policies that are not by the rules (violating deontological principles) for personal gain. Research limitations/implications This study only discusses the Jiwasraya case through financial and accounting reports. Future studies can continue this research by looking at the Jiwasraya case through the law and legislation to obtain a complete picture. Practical implications With this research, it is hoped that the authors can better understand that the dilemma the author faces is rooted in the limitations of the abilities as humans; the ethics will influence all intentions for the choices the authors make. Originality/value This research uses case studies that occurred in Indonesia, the discussion is carried out using a utilitarian and deontological approach that has never been discussed regarding the Jiwasraya case before.

FACTORS INFLUENCING ACCOUNTING STUDENTS’ UNDERSTANDING THE ENGLISH TERMINOLOGY IN ACCOUNTING REPORTS

This qualitative study with a case study research scheme is aimed to find out the factors influencing accounting students’ understanding of the English terminology in accounting reports (balance sheet, income statement and cash flow statement). The sample is the first semester students of the Accounting Department of Faculty Economics and Business, Universitas Wijaya Kusuma Surabaya academic year 2020-2021. The understanding of English terminology in accounting reports can help the students in preparing themselves for Free Trade in a disruptive era. The analysis of this study is using qualitative descriptive analysis. The results of the study are the description of the factors influencing accounting students’ understanding of the English terminology in accounting reports as for the first semester students this specific terminology may cause confusion which leads to misunderstanding.

B. G. Muzrukov and the Problem of Production Organization at the Urals Machine-Building Plant (1946–1953)

Introduction. The purpose of the article is to assess the economic consequences of the transfer in 1947 of the director of the Urals Machine-Building Plant (UZTM) B. G. Muzrukov into the system of the Soviet atomic project for the subsequent development of production at UZTM. B. G. Muzrukov was the main initiator, developer and organizer of the reconversion program carried out at UZTM since 1944. His transfer coincided with the height of its implementation. Materials and Methods. The authors used statistical and clerical materials on the activities of UZTM in 1946–1953. Based on the annual accounting reports of the plant for its main activities, dynamic statistical series of data were compiled on the implementation of the UZTM plan for the shaft and nomenclature of products (method of average percentage). The information obtained was analyzed in the context of the planning targets, personnel changes, and the state of production discipline at the plant. Results and Discussion. It was established that the reassignment of B. G. Muzrukov aggravated the problems associated with the implementation of the production reconversion program at UZTM. They were marked in a number of internal and external factors (drop in reporting rates, conflicts in the workforce, changes in planned buildings, adjustments to the reconversion program by the relevant ministry). Conclusion. The tested/shown method of analysis and evaluation of the results of the UZTM operation can be extended to other industrial enterprises of the USSR in the 1940s–1950s. The subsequent analysis of the data in dynamics and comparison will allow the professional community to expand its own understanding of the specifics of the functioning of the industry in the period of the late Stalinism.

Timely loss recognition in Brazilian firms under corruption investigation

ABSTRACT This article evaluates the impact of the disclosure of the participation of Brazilian firms listed on the Bolsa Brasil Balcão (B3) in corruption scandals through media scrutiny and by disclosure of independent auditors on the quality of accounting information, measured from the perspective of accounting conservatism. We examine the possible theoretical link between the disclosure of corruption scandals and the quality of accounting information in the Brazilian context. Brazil has gone through successive corruption scandals involving firms and government entities in different levels. Accounting can be an important tool to mitigate said risks based on the artifacts it has to inform key stakeholders. However, it is necessary to identify the extent to which these artifacts can be influenced by the actors involved in these scandals. The research places accounting as an instrument subject to pressures from different interests and that may be shaped to them. Although accounting is an instrument that must aim to reduce information asymmetry, preventing the harmful effects of corruption, in specific contexts, it can be used in the opposite direction, such as in cases of corruption and economic crises. We used the model based on Ball and Shivakumar (2005) with specific modeling characteristics for corruption and crisis. The models were estimated using the Stata 13 software using the pooled approach using the Ordinary Least Squares (OLS) estimation method, clustered by year and economic sector, and the Generalized Least Squares (GSL) estimator. The results point to the presence of conservatism when disclosing involvement in investigations of corruption crimes in Brazil. This behavior was less intense in firms effectively mentioned in these events. These results highlight the relevance of studies aimed at clarifying the connections between corruption and accounting reports, enabling the development of measures to curb corruption in the business environment.

AUDIT ANALYSIS OF ENRON ELECTRIC POWER CORPORATION THROUGH THE PRISM OF MARKETING (NON) ETHICS

In the scientific research work, under the above title, we dealt with the analysis of the already performed audits of the business of the American electric power corporation Enron which went bankrupt. We did a similar analysis through the prism of the already existing triangular connection on the relation: absence of moral vertical (by vocation, above all, business provenance) - greed - incompetence (we can say, unprofessionalism), ie. marketing unethics. Primarily, the emphasis was on the audit of Enron's financial and accounting reports but inevitably there was also an audit of compliance with the legal procedure, precisely during the procurement of certain resources necessary for business and finally an operational audit was performed, that is, an audit of the entire business. Using the technique of in-depth recording of the business vs. financial situation, in fact already performed audits, we tried to scan first and then to explain the correlation of neuralgic points which led to its bankruptcy. By pointing out the connections of at least harmful influences as well as their scope and intensity we try to , by using qualitative analysis, positively influence other current ones or corporations which will only enter the market scene

FINANCIAL AND OPERATING RISK ANALYSIS OF TWO ROMANIAN-HUNGARIAN BORDER COUNTIES

The study analyzes the risk of companies selected from two Romanian-Hungarian border counties (Bihor and Hajdú-Bihar counties) by the degree of operational and financial leverage ratios. A total of 1,674 companies from the two counties were included in the analysis, in approximately half and half proportions. In the study, operating, financial and combined leverage ratios are used for risk analysis. Because of the large variance of the ratios, outliers were filtered out. The filtering was based on the degree of the combined leverage ratio, which resulted in 107 companies excluded. In the analysis of sectors, there are significant differences in DOL ratio values between counties. For the DFL indicator, the values are much more balanced. There are also larger differences for DCL, which are likely to be caused by DOL values. The analysis showed no statistically significant difference in leverage ratios between the total county data or the sector-disaggregated county data. The analysis also suggested that some accounting reports may contain manipulations but that further investigations are needed to substantiate them adequately.