Warianty tytułu
Języki publikacji
Abstrakty
Theoretical background: Financial statements, due to their verifiability, retain their importance as a fundamental accounting tool trusted by stakeholders. At the same time, the transition to a socio-economic development paradigm has dictated a demand for adhering to requirements which make the information useful for taking informed decisions, primarily those concerning responsible investing. In this regard, the challenge of measuring the usefulness of information requires an in-depth study.
Purpose of the article: Consequently, the aim of this work is to develop a model for measuring the practicality of financial reporting based on the interpretation of qualitative characteristics and to substantiate the effectiveness of its application by any accounting system.
Research methods: To achieve the objective, a research methodology has been developed, based on the methods of analysis, mathematical, and algorithmic modeling. The analysis method was employed to interpret the concept of qualitative characteristics of information, establishing a correlation between the information theory and the accounting methodology. The modeling method contributed to the development of a three-stage algorithm for choosing one of two modifications within the framework of the qualitative characteristics of information concept and the mechanism for measuring numerical values of information utility for different accounting models - European and Anglo-Saxon.
Main findings: An algorithm has been developed for applying the criteria of the qualitative characteristics concept to choose one of its two modifications. The innovation of the study lies in the development of a step-by-step mechanism for determining the numerical value of information usefulness for various accounting systems. Information entropy coefficients have been established, and axiomatic boundaries of the values of the usefulness of financial reporting information have been calculated for different accounting models. The developed model for measuring the usefulness of financial reporting information has been adapted for international accounting systems and underscores the necessity of a creative approach when applying the qualitative characteristics concept to accounting systems situated between IFRS and the EU Directive.(original abstract)
Purpose of the article: Consequently, the aim of this work is to develop a model for measuring the practicality of financial reporting based on the interpretation of qualitative characteristics and to substantiate the effectiveness of its application by any accounting system.
Research methods: To achieve the objective, a research methodology has been developed, based on the methods of analysis, mathematical, and algorithmic modeling. The analysis method was employed to interpret the concept of qualitative characteristics of information, establishing a correlation between the information theory and the accounting methodology. The modeling method contributed to the development of a three-stage algorithm for choosing one of two modifications within the framework of the qualitative characteristics of information concept and the mechanism for measuring numerical values of information utility for different accounting models - European and Anglo-Saxon.
Main findings: An algorithm has been developed for applying the criteria of the qualitative characteristics concept to choose one of its two modifications. The innovation of the study lies in the development of a step-by-step mechanism for determining the numerical value of information usefulness for various accounting systems. Information entropy coefficients have been established, and axiomatic boundaries of the values of the usefulness of financial reporting information have been calculated for different accounting models. The developed model for measuring the usefulness of financial reporting information has been adapted for international accounting systems and underscores the necessity of a creative approach when applying the qualitative characteristics concept to accounting systems situated between IFRS and the EU Directive.(original abstract)
Rocznik
Tom
Numer
Strony
43--64
Opis fizyczny
Twórcy
autor
- University State of Moldova
Bibliografia
- Alexander, D., Britton, A., & Iorisen, E. (2005). International Financial Reporting Standards: From Theory to Practice. Vershina.
- Balios, D. (2021). The impact of big data on accounting and auditing. International Journal of Corporate Finance and Accounting, 8(1), 1-14. https://doi.org/10.4018/IJCFA.2021010101
- van Beest, F., Braam, G., & Boelens, S. (2009). Quality of financial reporting: Measuring qualitative characteristics. NiCE, Institute for Management Research, Radboud University Nijmegen (pp. 1-42). https://www.researchgate.net/publication/254877109_Quality_of_financial_reporting_measuring_qualitative_characteristics
- Bezruchuk, S. (2017). Conceptual approaches to defining the quality of accounting of entities. In I. Zhigley (Ed.), Accounting Scientific Achievements in ZSTU (vol. 4, pp. 7-23). Evenok Publishing.
- Cosmulese, C.-G., & Grosu, V. (2021). An empirical analysis of stakeholders' expectations and integrated reporting quality. Economic Research, 32(1), 3963-3986. https://doi.org/10.1080/1331677X.2019.1680303
- Čupić, M., Milašinović, M., & Todorović, M. (2023). How does intellectual capital affect the financial performance ofmicro, small, and medium-sized hotel companies? Annales Universitatis Mariae Curie Sklodowska, sectio H - Oeconomia, 57(3), 81-98. https://doi.org/10.17951/h.2023.57.3.81-98
- Directive 2013/34/EU of European Parliament and of the Council of 26 June 2013 'On the annual financial statements, consolidated financial statements and related reports of certain types of undertakings'. http://eur-lex.europa.eu/LexUriServ Gad, M., Nguyen, T., & Scapin, M. (2023). The effect of pay disparities within top management on conservative reporting. Accounting and Business Research, 53(4), 478-504. https://doi.org/10.1080/00014788.2022.2056119 Gjoni-Karameta, A., Fejzaj, E., Mlouk, A., & Sila, K (2021). Qualitative characteristics of financial reporting: An Evaluation according to the Albanian users' perception. Academic Journal of Interdisciplinary Studies, 35-47. https://doi.org/10.36941/ajis-2021-0151 Golochalova, I. (2023). The model for assessing the usefulness of financial reporting information and its application for sustainable business development. In "Traian Vuia" International Exhibition of Inventions, 15- 17 June 2023, Timisoara. Golochalova, I., & Tsurcanu, V. (2020). Measurement of financial statements information in the context of harmonization of the accounting systems. Journal of Finance and Accounting, 8(1), 48-58. https://doi.org/10.11648/j.jfa.20200801.16 Hendriksen, E.-S., & van Breda, M.-F. (2000). Accounting Theory. Irwin. Hlaciuk, E. (2023). The accounting professional's perception of their role in collecting and communicating accounting information in designing the sustainable business model. European Journal of Accounting, Finance & Business, 11(2), 166-174. https://doi.org/10.4316/EJAFB.2023.11221 IFRS. (2018). Conceptual Framework for Financial Reporting. https://www.ifrs.org/content/dam/ifrs/publications/pdf-standards/english/2021/issued/part-a/conceptual-framework-for-financial-reporting.pdf Kovalev, V. (2021). Accounting and finance: Modern trends and challenges. In Yu. Guzov, O. Marganiya, & V. Kovalev (Eds.), Accounting in the 21st Century (pp. 22-30). Skifia-Print. Law No. 287 of December 15, 2017 of the Republic of Moldova "On Accounting and Financial Reporting". https://www.legis.md/cautare/getResults?doc_id=120938〈=ro Mahdavikhou, M., & Khotanlou, M. (2012). The impact of professional ethics on financial reporting quality. Australian Journal of Basic and Applied Sciences, 5(11), 2092-2096. https://doi.org/10.2139/ssrn.2092579 Newman, W., Edmore, T., Milondzo, K., & Ongayi, W.-V. (2016). A literature review on the impact of IAS/IFRS and regulations on quality of financial reporting. Risk Governance and Control Financial Markets & Institutions, 102-108. https://doi.org/10.22495/rcgv6i4art13 Nobes, C.-W., & Stadler, Ch. (2015). The qualitative characteristics of financial information, and managers' accounting decisions: Evidence from IFRS policy changes. Accounting and Business Research, 45(5), 572-601. https://doi.org/10.1080/00014788.2015.1044495 Piketty, T. (2016). Capital in the Twenty-First Century. Ad Marginem Press. Pyatov, M. (2021). Probable technological "Tomorrow" of accounting: Based on the World Congress of Accountants in Sydney (WCOA 2018). In Yu. Guzov, O. Marganiya, & V. Kovalev (Eds.), Accounting in the 21st Century (pp. 34-75). Skifia-Print. Richard, J., & Altukhova, Yu. (2017a). Proposals on reforming the fundamental principles of the enterprise, joint-stock company and social interest through environmental accounting (Part II). International Accounting, 20(23), 1364-1378. https://doi.org/10.24891/ia.20.22.1318 Richard, J., & Altukhova, Yu. (2017b). Proposals on reforming the fundamental principles of the enterprise, joint-stock company and social interest through environmental accounting (Part III). International Accounting, 20(24), 1427-1448. https://doi.org/10.24891/ia.20.24.1427 Rybak, T., & Lavrentieva, M. (2012). The Concept of Materiality in Auditing. (Book Chapter No. 20, 37-44). https://www.minfin.gov.by/upload/audit/smi/2012_20_gk.pdf Samborski, A. (2024). ESG reporting as a corporate governance mechanism. The case of publicly listed energy companies. Annales Universitatis Mariae Curie Sklodowska, sectio H - Oeconomia, 58(1), 169-183. https://doi.org/10.17951/h.2024.58.1.169-183 Sokolov, Y., & Terentieva, T. (2009). Accounting and Audit: Modern Theory and Practice. JSC "Economy" Publishing House. Sokolov, V. (2021). Objectives of accounting in the 21st century in Russia. In Yu. Guzov, O. Marganiya, & V. Kovalev (Eds.), Accounting in the 21st Century (pp. 76-94). Skifia-Print. Taranenko, R. (2009). Economic and mathematical modeling of accounting information efficiency assessment in the management audit system. Economic Analysis: Theory and Practice, 29(158), 65-75, https://cyberleninka.ru/article/n/ekonomiko-matematicheskoe-modelirovanie- Tișcenco, V., Bădicu, G., & Mihaila, S. (2024). The relevance of performance indicators in the decision-making process. European Journal of Accounting, Finance & Business, 12(1), 16-22. https://doi.org/10.4316/EJAFB.2024.12104 Tsurcanu, V, & Golochalova, I. (2016). Accounting truth and its assurance in entities from the Republic of Moldova. Journal Audit Financial, 139(7), 769-780. https://doi.org/10.20869/AUDITF/2016/139/771 Tsygankov, K., & Fadeikina, N. (2016). Conceptual bases of financial statements: Qualitative characteristics. Finance and Accounting, 4, 98-105. http://elibrary_2673279458.pdf Zieniuk, P. (2019). Disclosures regarding the risk of estimated measurement in the financial statements - behavioral aspects. The Theoretical Journal of Accounting, 104(160), 171-188. https://doi.org/10.5604/01.3001.0013.4361
Typ dokumentu
Bibliografia
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Identyfikator YADDA
bwmeta1.element.ekon-element-000171696171
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