The Effect of Mandatory Disclosure on Market Inefficiencies: Evidence from Statement of Financial Accounting Standard Number 161

2017 ◽  
Author(s):  
John L. Campbell ◽  
Urooj Khan ◽  
Spencer Pierce
Keyword(s):  
Financial Accounting ◽  
Mandatory Disclosure ◽  
Accounting Standard ◽  
Market Inefficiencies

THE EVOLUTION OF THE RELATIONSHIP BETWEEN THE US FINANCIAL ACCOUNTING STANDARDS BOARD AND THE INTERNATIONAL ACCOUNTING STANDARD SETTERS: 1973–2008

2012 ◽  
Vol 39 (1) ◽  
pp. 1-51 ◽  
Author(s):  
Robert J. Kirsch
Keyword(s):  
Accounting Standards ◽  
Financial Accounting ◽  
Working Relationships ◽  
International Accounting ◽  
International Accounting Standards ◽  
Financial Accounting Standards Board ◽  
Accounting Standard ◽  
Staff Members ◽  
The Us ◽  
The Relationship

ABSTRACT Utilizing archival materials as well as personal interviews and correspondence with personnel of the Financial Accounting Standards Board (FASB) and International Accounting Standards Committee/Board (IASC/B), including former Board chairmen and staff members, this paper examines the development of the working relationships between the FASB and the IASC/B from their earliest interactions in 1973 through the transformation of the IASC into the IASB and the Convergence Program rooted in the 2002 Norwalk Agreement up to 2008.

Pengaruh Penerapan Pernyataan Standar Akuntansi Keuangan 109 Terhadap Implementasi Good Governance

2019 ◽  
Vol 3 (2) ◽  
pp. 147-157
Author(s):  
Dariana Dariana ◽  
Ruzita Ruzita
Keyword(s):  
Linear Regression ◽  
Analytical Method ◽  
Good Governance ◽  
Accounting Standards ◽  
Financial Accounting ◽  
Questionnaire Data ◽  
Simple Linear Regression ◽  
Accounting Standard ◽  
Quantitative Descriptive

The purpose of this study was to determine how the application of Financial Accounting Standards Statement 109 and the implementation of Good Governance in the National Zakat Board of Bengkalis Regency and the influence of the application of the Financial Accounting Standard Statement 109 on the implementation of Good Governance in the national zakat board of Bengkalis Regency. This research was conducted using quantitative descriptive methods. These data were obtained from questionnaire data, interviews and documentation that were distributed to all employees of the Bengkalis Regency National Amil Zakat Agency and several Zakat Collection Units in Bengkalis Regency. The analytical method used in this study is to use a simple linear regression. The results of this study indicate that the effect of the adoption of the Statement of Financial Accounting Standards 109 has a positive and significant effect on the implementation of Good Governance by 90.9%.

scholarly journals Deferred Tax Accounting Concepts and Their Bond to the Accounting Ideologies

2021 ◽  
Vol 8 (4) ◽  
pp. 34-50
Author(s):  
A. A. Aksent’ev
Keyword(s):  
Balance Sheet ◽  
Financial Accounting ◽  
Corporate Management ◽  
Controversial Issues ◽  
Deferred Taxes ◽  
Accounting Standard ◽  
Domestic Practice ◽  
Important Object ◽  
Deferred Tax ◽  
Tax Accounting

Deferred taxes are an important object of accounting observation to judge the degree of discrepancies between financial and tax accounting. Meanwhile, the information discloses to users the effects arising from the tax planning tools usage for corporate management and forecasting cash outflows associated with the payment of income tax in the future. The paper formalized two concepts of accounting for deferred taxes in the form of models: temporary and timing differences associated with accounting ideologies. The author ha structured the logic of reflecting deferred taxes on accounting accounts using the balance sheet and “cost” methods. Analysis of foreign experience and domestic practice made it possible to conclude that there are controversial issues on the assessment of deferred taxes in reporting, including at present value. Also, the author revealed discrepancies in Russian Accounting Standard (PBU) 18/02 which were conceptually different from a similar international standard and conflicting with it in a number of theoretical and methodological positions. The research results are aimed at scientific and practical workers in the field of financial accounting, taxation and audit.

scholarly journals Valuing An Emerging International Technology Company

2011 ◽  
Vol 7 (1) ◽  
Author(s):  
John Zimmerman
Keyword(s):  
Balance Sheet ◽  
Cumulative Effect ◽  
Fair Value ◽  
Financial Accounting ◽  
Publicly Traded ◽  
Accounting Standard ◽  
Financial Valuation ◽  
Accounting Principle ◽  
Fair Valuation ◽  
Interim Period

The requirements of Financial Accounting Standard Board (FASB) 142 provide an excellent opportunity to examine various financial valuation methods used to determine a company’s value.  Under FASB 142, goodwill and intangible assets with indefinite useful lives are no longer amortized, but instead tested for impairment at least annually in accordance with the provisions. Any impairment loss has to be measured as of the date of adoption and recognized as the cumulative effect of a change in accounting principle in an organization’s first interim period. The impairment test requires an accurate and fair valuation of the asset in question.  This case is based upon the valuation dilemma faced by Integrated Silicon Solution (NASDAQ: ISSI), a publicly traded international technology company, in late 2008. ISSI had made several acquisitions and carried substantial goodwill. Since ISSI was publicly traded, a public market value was available but the financial crisis of 2008 caused the company to consider other methods, as is allowed under FASB 142. The case uses both the income and comparable market approaches to arrive at a fair value, and this value is used to determine if impairment for the goodwill the company carried on its balance sheet existed.

scholarly journals MENGUPAS PERSOALAN STANDAR AKUNTANSI KEUANGAN - GOODWIL DI BERBAGAI NEGARA : SUATU PENDEKATAN STUDI LITERATUR

2017 ◽  
Vol 2 (2) ◽  
Author(s):  
Deddy Kurniawansyah
Keyword(s):  
Research Method ◽  
Intangible Assets ◽  
Accounting Standards ◽  
Financial Statements ◽  
Fair Value ◽  
Financial Accounting ◽  
International Accounting Standards ◽  
Fair Value Accounting ◽  
Literature Study ◽  
Accounting Standard

This literature study explains and describe the development of the concept of goodwill from the perspective of accounting by observing and describing until the development at this time, discusses differences in accounting standards of goodwill applicable in some countries, and explains the things that contradict the goodwill. This research method used qualitative with literature study. The results of this study are in some countries, the concepts and rules on goodwill accounting have undergone various changes, including international accounting standards issued by the IASC. Initially goodwill is capitalized and amortized over no more than 20 years. But, along with the increasing use of fair value accounting in accounting standards, thetreatment for goodwill also experienced a shift that is eliminated by the amortization method is replaced by doing impairment test to goodwill. The results of this study contribute as add to the treasury of financial accounting literature, especially accounting treatment of goodwill as intangible assets in the financial statements of various countries such as Indonesia, America and the England.Keyword :Goodwiil, Impairment, Financial Accounting Standard

Articulating accounting principles

2016 ◽  
Vol 17 (2) ◽  
pp. 118-135 ◽  
Author(s):  
Brian A. Rutherford
Keyword(s):  
Financial Reporting ◽  
Standard Setting ◽  
Financial Accounting ◽  
Accounting Standard ◽  
Content Type ◽  
Accounting Research ◽  
Accounting Principles ◽  
Accounting Theory ◽  
Social Scientific ◽  
Accounting Standard Setting

Purpose – The purpose of this paper is to provide a soundly based epistemological underpinning for the kind of theorisation in which many classical financial accounting researchers engaged and thus to support a renewal of this programme. Design/methodology/approach – The paper draws on pragmatist philosophy and, in particular, on Jules Coleman’s theory of “explanation by embodiment”. The applicability of this theory to the world of financial reporting is discussed. Various theorists and schools within classical accounting theory are examined from the perspective of Coleman’s ideas, focusing particularly on A.C. Littleton’s Structure of Accounting Theory. Findings – The paper finds that classical accounting research works such as Structure of Accounting Theory can be interpreted as the search for Colemanian explanation by embodiment and that this provides them with a soundly based pragmatist underpinning for their theorisation. Research limitations/implications – This paper supports the resumption by academics, qua academics, of work to contribute to accounting standard-setting by offering argumentation that addresses accounting principles and methods directly, rather than only via the social scientific investigation of behaviour in the accounting arena. Practical implications – Such a resumption would contribute positively to future standard-setting. Originality/value – This paper contributes to the defence of classical financial accounting research from the charge of lacking theoretical rigour.

Impairment reversals: unbiased reporting or earnings management

2018 ◽  
Vol 26 (2) ◽  
pp. 245-271 ◽  
Author(s):  
Tongyu Cao ◽  
Hasnah Shaari ◽  
Ray Donnelly
Keyword(s):  
Earnings Management ◽  
Financial Reporting ◽  
Accounting Standards ◽  
Financial Accounting ◽  
Financial Accounting Standards Board ◽  
Reporting Standard ◽  
Accounting Standard ◽  
Content Type ◽  
Study Support ◽  
A Company

Purpose This paper aims to provide evidence that will inform the convergence debate regarding accounting standards. The authors assess the ability of impairment reversals allowed under International Accounting Standard 36 but disallowed by the Financial Accounting Standards Board to provide useful information about a company. Design/methodology/approach The authors use a sample of 182 Malaysian firms that reversed impairment charges and a matched sample of firms which chose not to reverse their impairments. Further analysis examines if reversing an impairment charge is associated with motivations for and evidence of earnings management. Findings The authors find no evidence that the reversal of an impairment charge marks a company out as managing contemporaneous earnings. However, they document evidence that firms with high levels of abnormal accruals and weak corporate governance avoid earnings decline by reversing previously recognized impairments. In addition, companies that have engaged in big baths as evidenced by high accumulated impairment balances and prior changes in top management, use impairment reversals to avoid earnings declines. Research limitations/implications The results of this study support both the informative and opportunistic hypotheses of impairment reversal reporting using Financial Reporting Standard 136. Practical implications The results also demonstrate how companies that use impairment reversals opportunistically can be identified. Originality/value The results support IASB’s approach to the reversal of impairments. They also provide novel evidence as to how companies exploit a cookie-jar reserve created by a prior big bath opportunistically.

PERLAKUAN AKUNTANSI AKTIVA TETAP PADA PT. ARINA KARYA SENTOSA NEUSU BANDA ACEH

2014 ◽  
Vol 1 (1) ◽  
Author(s):  
Aliamin
Keyword(s):  
Financial Accounting ◽  
Accounting Standard ◽  
Financial Report ◽  
Manual Method ◽  
Know How ◽  
Audit Review ◽  
Qualitative Descriptive ◽  
The Right ◽  
Banda Aceh

 The aim of this research was to know how the fix assets record in PT. Arina Karya Sentosa (subject of research), what is the assets recorded as of Indonesian Accounting Standard (Standar Akuntansi Keuangan/SAK).The method to use of this research was qualitative descriptive, the operating of this method are  to compare both the theoretical with  PT Arina Karya Sentosa recorded to fix assets, and recently the researcher make decisions and recommendation to improve the fix assets recording system.The result of this research were to find PT. Arina Karya Sentosa Banda Aceh classified fix assets to; buildings, project equipments, office equipments, vehicles. The depreciation method to measure the right value of all assets was manual method that they use to measure their assets, did not use method recommendation from Indonesian Accounting Standard.Even thought, PT. Arina Karya Sentosa was recording and prepare the  fix assets as of Indonesian Financial Accounting Standard in financial report, except the depreciation method but in audit review by independent auditor these was no problem. Key words:  fix assets recording, fix assets method, fix asset prepare in financial report.

The Effect of Pension Income on the Quality of Corporate Earnings: IBM, A Case Study

2005 ◽  
Vol 20 (2) ◽  
pp. 167-181 ◽  
Author(s):  
Patricia A. Williams
Keyword(s):  
Case Reports ◽  
Pension Plans ◽  
Financial Accounting ◽  
Fiscal Year ◽  
Wall Street ◽  
Accounting Standard ◽  
Pension Income ◽  
Corporate Earnings ◽  
The Wall Street Journal

This case examines the effect of pension income, as determined by the Statement of Financial Accounting Standard (SFAS) No. 87, on the quality of corporate earnings. Specifically, students are asked to interpret the pension footnote from IBM's 2001 Annual Report. Unlike many companies that indicate a cost associated with their pension plans, IBM reports pension income, not pension expense, for fiscal year 2001. An article in the Wall Street Journal referred to in the case reports that pension income boosted IBM's income before taxes by 13 percent in 2001. Through a series of questions, students are asked to analyze IBM's pension footnote and its effect on earnings. The purpose of this case is to enhance the learning process by reinforcing material learned from accounting texts with a real-world application, to understand the effect of pension accounting on a company's quality of earnings, to illustrate that accounting standards occasionally include provisions that effectively mitigate potential earnings volatility, and to demonstrate that students need to question what they read in the financial press.

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