Acta Oeconomica Pragensia, 2004 (vol. 12), issue 1

Regulation of the European Accounting from the perspective of international harmonization

Marcela Žárová

Acta Oeconomica Pragensia 2004, 12(1):12-21 | DOI: 10.18267/j.aop.239  

The article deals with the process of European accounting harmonisation. The process of European accounting harmonisation is divided into several historical phases including an overview of EC regulations on accounting. Description of the process of implementation of International Accounting Standards into the European law system, known as endorsement mechanism, is included too. The article deals with qualitative changes in European approach of accounting regulation.

The process of making U.S. GAAP (as inspiration for the creation of Czech accounting standards)

Libuše Müllerová

Acta Oeconomica Pragensia 2004, 12(1):22-41 | DOI: 10.18267/j.aop.240  

Financial accounting has been playing an important role in the economic system in the USA, since it has been supporting an effective operation of capital market, and consequently of whole economy. Its main task is to provide reliable accounting information about accounting entity to its users who do not take direct part in its management. Reliability of information is secured by generally accepted accounting principles (GAAP). Their publication is carried out by Financial Accounting Standards Board (FASB). In the course of preparation of accounting standards each user is allowed to protect its interests. However, the FASB members enjoy "last word"...

Theoretical basis for the creation of normative texts in the USA in contrast to the theoretical basis of IAS / IFRS - a conceptual framework

Robert Mládek, Lenka Krupová

Acta Oeconomica Pragensia 2004, 12(1):42-58 | DOI: 10.18267/j.aop.241  

A comparison of the conceptual frameworks underlying International Financial Reporting Standards (IFRS / IAS) and American Generally Accepted Accounting Principles (US GAAP) reveals a striking theoretical similarity between the two. Unfortunately, this similarity is masked by an even more striking difference in their form and presentation. For example, US GAAP defines 10 accounting elements and, apart from three (assets, liabilities and equity), none are directly comparable to the five defined by IFRS. It is not that the other seven do not exist under IFRS. It is just that IFRS chooses to express them differently by, for example, combining some (such...

Analysis of the structure of the financial statement - Balance Sheet - U.S. GAAP and IAS (IFRS)

Lenka Krupová

Acta Oeconomica Pragensia 2004, 12(1):59-76 | DOI: 10.18267/j.aop.245  

This article evaluates the similarities and differences between the balance sheet as defined by International Financial Reporting Standards (IFRS / IAS) and American Generally Accepted Accounting Principles (US GAAP). Both systems define the balance sheets elements in a very similar manner. Neither prescribes a single standard form. But in the practice we can see many similarities between balance sheets prepared according to the two.Since examining the overall structure of the balance sheet would not yield any meaningful information, this article focuses on examining individual line items. Such an analysis is, however, complicated by the fact that...

The analysis of the elements constituting the operating, financial and other components result of economic activity for the period under U.S. GAAP and IAS / IFRS

Dana Kovanicová

Acta Oeconomica Pragensia 2004, 12(1):77-106 | DOI: 10.18267/j.aop.248  

The ordering a categorization of data in the income statement is unavoidable. Even in the absence of clearly identified subtotals, there is some form of implicit structure in any income statement. An immediate difficulty, however, is that attempts to define income statement categories can be viewed in one of two ways. First, they can be viewed as attempts to make distinctions that provide useful information - for example, by separating items that are not expected to recur, so that analysts and other users can focus on the entity ongoing business. Second, they can be categorized according to operating, financing and extraordinary activities.In thinking...

Revenue - similarities and differences of normative texts

Miloslav Janhuba

Acta Oeconomica Pragensia 2004, 12(1):107-121 | DOI: 10.18267/j.aop.251  

This exposition focused to some basic problems by definition of the microeconomic (and accounting) category "revenue", of its congruence and differences in canonic texts (law act, instruction, directive etc.), which regulate a complex of accounting performances, in the first place, income statements. As canonic texts was make use of directives EU, International Accounting Standards, Financial Accounting Standards in USA and Czech law. Theoretically compared are the functions of revenue (and its precise definition) by isolating of multifarious types of income: operating profit, realizable cost saving, realized cost saving and realized capital gains....

The criteria that can be applied to the breakdown of equity components constituting the estate of the company - intangible and tangible assets in accordance with U.S. GAAP and IAS / IFRS

Markéta Novotná

Acta Oeconomica Pragensia 2004, 12(1):122-139 | DOI: 10.18267/j.aop.252  

The paper focuses on financial reporting of long-lived assets. The author's aim was to analyze the approach of two major accounting principles - IAS/IFRS and US GAAP.Both of the principles address following issues:* initial recognition and measurement,* depreciation: allocation of capitalized costs over the useful life of the asset* disposal of the asset.Broadly accepted classification of the long-lived assets divides the whole group into two parts: tangibles and intangibles.General definitions and recognition criteria are covered by the framework. Particular standards dial then with special matters.Although both international...

International Education Standards for Professional Accountants adopted

Bohumil Král

Acta Oeconomica Pragensia 2004, 12(1):140-149 | DOI: 10.18267/j.aop.253  

The paper describes the IFAC Education Committee effort to develop new International Education Standards for Professional Accountants. It informs about the structure and content of International Education Standards and it defines the principle standard requirements. The end of the paper is devoted to the questions of the standards impact on the pre-qualification education system in both of our professional bodies - in the Chamber of Auditors of the Czech Republic and in the Union of Accountants. It generally characterizes level of both of systems to be comparable with the Standards requirements; in the same time, however, it prefers the way of the...