Analisis Penerapan Akuntansi dan Penggunaan Informasi Akuntansi Pada UMKM

The purpose of this study is to determine the extent to which accounting records are applied and the use of accounting information for MSMEs. The research method used is a qualitative descriptive case study approach. The object of this study took 10 MSMEs registered in the financing of Bank BRI Syariah KCP Semarang. Collecting data from this study using interview methods, questionnaires, and documentation. The data obtained were triangulated and analyzed. The results of this study, that the application of accounting records and the use of accounting information on MSMEs registered in the financing of Bank BRI Syariah KCP Semarang has been implemented even though it is still simple in nature. MSMEs have made accounting recognition such as assets, liabilities, equity, income, and cost of goods and expenses. Financial reports are made in the form of cash flows and notes to financial statements. MSMEs have also used accounting information in the form of operational information, management information, and financial information to make decisions.

Usklađenost regulatornog okvira računovodstva dugotrajne materijalne imovine poduzeća u Republici Hrvatskoj i Bosni i Hercegovini

The subject of this paper is to determine the level of compliance or harmonisation of the applicable regulatory framework (accounting standards) in the recognition and measurement of various categories of fixed assets in the Republic of Croatia (RH) and Bosnia and Herzegovina (BiH). The conducted research established a 93% compliance of the regulatory framework and proved that the regulatory framework of accounting recognition and measurement of fixed assets in the Republic of Croatia and Bosnia and Herzegovina coincided in 13 of the 14 analyzed areas of valuation of fixed assets. Empirical verification of the used accounting policies among listed companies in the Republic of Croatia and Bosnia and Herzegovina confirmed the existence of significant differences in the accounting policies of valuation of real estate, plant and equipment and agriculture, in particular biological assets. On the other hand, in the area of subsequent valuation of real estate investments, applied depreciation methods and valuation of agricultural products derived from biological assets, we found that statistically significant differences in the used accounting policies between companies in the Republic of Croatia and Bosnia and Herzegovina did not exist. The obtained results should primarily facilitate the comparability of financial statements of companies in the Republic of Croatia and Bosnia and Herzegovina, and thus consequently and positively affect the increase in capital flows between these two neighbouring countries. In the scientific context, this research represents a significant contribution to the scarce literature on this topic.

ACCOUNTING RECOGNITION OF ASSET ABANDONMENT AND SITE RESTORATION

<p><em>This research will discuss the recognition of asset abandonment and site restoration or commonly known as ARO (Asset Retirement Obligation) in oil and gas company. The purpose is to be able to provide an overview that can be used by companies in calculating ARO that must be paid at the end of the contract period. The formulation of the problem is which method is used to determining the amount of asset abandonment and site restoration or ARO that is appropriate to overcome the potential problems that arise at the end of the contract period. This research is carried out by using a mixed method in analyzing the findings, so it will find the in-depth findings which will be useful to assist the company's management in making decisions. Signal theory is a theory that will be chosen in this research. This research will use three stages of analysis, such as descriptive analysis, content analysis, and constant comparative analysis. Based on the results it might found that the recognition of asset abandonment and site restoration carried out according to regulations apply. While company uses the method of calculating liabilities based on future values that is continually calculate in present value.</em></p><p><em> </em></p><p><strong><em>Keywords:</em></strong><em> Contingent liabilities, provisions, liability for asset abandonment and site restoration</em></p>

Do Trading Derivatives Classification Affect Bank Holding Company’s Earnings Volatility And Firm Value?

This study examines the differential impact of bank holding companies (BHCs) that consistently report trading gains (successful speculators) and those that consistently report no gain or trading losses (unsuccessful speculators) on earnings volatility and firm value. Under Accounting Standards Codification (ASC) 815 (previously SFAS 133- Accounting for Derivative Instruments and Hedging Activities), all gains/losses related to trading derivatives are recognized in current earnings; whereas, gains/losses on hedging derivatives are netted with changes in the fair value of the underlying asset/liability with only the ineffective portion of the hedge being reported in current earnings. Given differential accounting recognition and underlying risk factors, we expect and find that current period trading gains/losses lead to greater earnings volatility; however, the relationship becomes insignificant when BHCs consistently report trading gains (successful speculators) or no gains and trading losses (unsuccessful speculation). Further we find that successful speculation is significantly negatively associated with firm value, which implies that market participants perceive trading positions held by BHCs as high-risk investments regardless of the outcome of the trading exposure. The findings of this study should be useful to business professionals, bank regulators, and accounting standard setters in determining the economic impact of current accounting standards on bank performance, investors in evaluating the costs and benefits of bank’s derivative risk management policies, and accounting academics in evaluating the impact of current accounting regulation on bank derivative use.

Lease Accounting: Back into the Past—A General Review of Different Theoretical Approaches

Purpose &ndash; For better mapping the path of lease accounting research, the purpose of this paper is to offer a general review of the existing different ways accounting literature has framed leasing operations in the book-keeping model and, especially, in the accounting equation. Design/methodology/approach &ndash; The literature reviewed consists of all the studies published in accounting academic journals available in the database &lsquo;Business Source Premier&rsquo; from 1950 to July 2016 and presenting the word &lsquo;lease&rsquo; or &lsquo;leasing&rsquo; in the title, and the term &lsquo;accounting&rsquo; in the main text. Findings &ndash; The research has proved that while there is an overall agreement that, for accounting purposes, leasing has to be considered in the wider category of executory contracts, three main different theoretical approaches can be distinguished in literature: (i) the property right view; (ii) the firm commitment approach; and (iii) the risk and rewards approach. Originality/value &ndash; In order to fill the gap found in the literature and the non-existence of a study clarifying the main positions concerning the theoretical interpretation and the consequent accounting recognition of leasing in its predominantly financial and trilateral configuration, this paper makes an original contribution to the lease accounting research: providing a first organic reconstruction of the main academic studies dealing with this specific issue.

ABOUT IMPROVEMENT OF THE CONCEPTUAL APPARATUS OF DERIVATIVES IN THE ASPECT OF ACCOUNTING

The importance of financial information for a company is an important element of its integrity, financial autonomy, as well as recognition of its entrepreneurial freedom and sovereignty of economic decisions made. Taking into account the importance of the financial report, the international business community has identified principles for the preparation and presentation of this information, which are mandatory for all participants in the financial activities of the company: relevance, reliability, comprehensibility, materiality, truthful presentation, completeness, transparency. However, due to the increasing role of risk and uncertainty at the present time, business participants are forced to resort to new ways of doing entrepreneurial activity, performing managerial corporate operations, which, on the one hand, should be financially legitimate, and on the other hand, be a management cunning and ingenuity with a positive financial result. That is why interest in derivative financial instruments has increased. There is a contradiction, namely: in the conditions of economic instability, enterprises and participants in economic activity, in order to minimize financial risks, use derivative financial instruments to hedge the assets of the organization, thus acquiring the most risky asset. After all, derivative financial instruments are themselves recognized as the most risky instruments. However, existing accounting practices in the area of ​​derivatives do not meet the growing needs of the business for corporate control and management and financial accounting. Leading a discussion about the accounting of derivatives is not new. Many authors are engaged in developments in accounting for derivatives, such as: Zhitlukhina O.G., Astakhova Yu.A., Tarasova Yu.A., and others. But despite this, and also due to the observed growth in enterprise risk management and the increasing interest in derivatives by company management, this article discusses an important controversial aspect of the recognition of derivatives as financial accounting entities. The work is devoted to improving the definition of derivatives in the aspect of accounting, recognition of their transactions. An analysis of existing developments was also carried out and on the basis of this, the author’s definition was proposed.

The (in)coherence in accounting for goodwill

Purpose In the process of harmonizing International Accounting Standards (IAS/IFRS), scholars and standard setters still need to overcome unresolved issues related to both goodwill duration and accounting recognition. This paper aims to compare the academic background on goodwill with current IAS. Specifically, the goal is to criticize existing practices and advance a revision of accounting for goodwill. Design/methodology/approach The paper is based on a review of the relevant literature on notions, theories and accounting approaches on goodwill and on an investigation of IAS/IFRS on accounting for goodwill. By critically integrating literature and practices, the authors provide implications for a revision of IAS. Findings The findings show the two main internally coherent theoretical approaches and the incoherence in current goodwill accounting standards. The paper contributes to the debate on accounting for goodwill by suggesting new conceptual arguments in relation to the controversies related to its accounting treatment. Practical implications The findings offer insights and guidelines that can help standard setters revise current accounting standards. Inter alia, standards setters should revisit issues related to goodwill evaluation and record limitations in future debates to find better solutions. Originality/value This study shows the incoherence of current accounting standards. Furthermore, the findings contradict the general opinion that, in current IAS, goodwill can be recognized only if acquired in business combinations and not if internally generated. Thereby, the authors suggest to shift the international accounting standards board focus from the preference between amortization and impairment to the coherence of goodwill accounting approaches.