Accounting estimates as the most important factor in the formation of the book value of accounting objects

Lisovskaya, Irina; Trapeznikova, Natalia

doi:10.24891/ia.24.8.848

Cited by 6 publications

(1 citation statement)

References 6 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…A. Perfileva [12], I. A. Lisovskaya, N. G. Trapeznikova [13] The need to represent the elements of depreciation in the accounting policy of the organization are noted by many authors. E. K. Kopylova and T. I. Kopylova in their work point out that "the order of checking the elements of depreciation, documentation of the results of the check are elements of accounting policy" [11].…”

Section: Methodsmentioning

confidence: 99%

Treatment of the elements of depreciation of fixed assets in the Accounting Policy

Zaslavskaya

2022

E3S Web Conf.

View full text Add to dashboard Cite

This article examines the issues involved in treatment of the elements of depreciation of fixed assets in the Accounting Policy of transport companies. The cost of fixed assets has a significant weight in the balance sheet of transport organizations. The reliability of the assessment of this type of property depends on the correct calculation of depreciation and the choice of its elements. The use in calculations of liquidation and fair value influenced the amount of book value (formerly “written down”), and in general the amount of balance sheet assets. The article analyzes accounting changes with respect to depreciation due to the enactment of the FSBU (Federal Accounting Standard) 6/2020, and substantiates the need to develop new forms of accounting documents to reflect the elements of depreciation on receipt of fixed assets as well as to record information about changes in each element of depreciation (useful life, residual value, the method of depreciation) for each year during the useful life in connection with the requirement FSBU 6/2020. The author identifies the relationship between the method of establishing a useful life and the method of depreciation and examines the reflection of sufficient information in the Accounting Policy on the elements of depreciation.

show abstract

Section: Methodsmentioning

confidence: 99%

Treatment of the elements of depreciation of fixed assets in the Accounting Policy

Zaslavskaya

2022

E3S Web Conf.

View full text Add to dashboard Cite

show abstract

Evolution of Accounting Practices for Regulating Estimated Values in Order to Integrate Financial and Non-Financial Reporting Indicators

Safonova

Kartashov

2023

Auditor

View full text Add to dashboard Cite

The purpose of the study is to analyze the potential of using accounting estimates in the financial statements of companies from the standpoint of the development of IFRS provisions and explanations to them, as well as the prospects for the development of reporting standards towards the integration of financial and non-financial indicators. As a result of the analysis of the provisions of IFRS for the use of accounting estimates, a set of standards was determined that regulates the practice of applying specific estimated values, while revealing the absence of separate accounting estimates that are significant for the formation of financial statements. Based on the content analysis of the standards, the most commonly used evaluation methods applied to the calculation of estimated values have been identified. Th e draft s of international standards related to non-financial reporting are analyzed, and the sectoral specificity of accounting estimates is noted. An example of the relationship between indicators of financial and non-financial reporting is shown and an approach for integrating these types of reporting is considered. The directions of further development of IFRS in terms of accounting estimates are determined. The practical significance of the study lies in the possibility of expanding the practice of using estimated values in order to develop financial accounting and audit and integrate financial and non-financial indicators.

show abstract

Innovations in fixed asset accounting

Sapozhnikova,

Ponomarenko,

Tkacheva

2023

Proceedings of Voronezh State University. Series: Economics and Management

View full text Add to dashboard Cite

Subject. Fixed assets provide for various types of activities and make up a significant part of the assets of corporations. The growth and improvement of fixed assets characterise the quantitative and qualitative development of a corporation's technical equipment capacity and ensure its sustainable operation. Objectives. The requirements for the presentation and disclosure of accounting information are changing due to the challenges of the global and market economy. Therefore, it is important to consider issues related to the recognition, classification, evaluation, and presentation of economic activities related to the flow of fixed assets. Methodology. The problems related to fixed asset accounting have been studied by many economists from Russia and abroad. A significant number of theoretical works that provoke discussions indicate the need for new approaches to the development of accounting policies and methods of fixed asset accounting in particular. Since corporations use the provisions of the Federal Accounting Standard No. 6/2020 “Fixed Assets”, FSBU 26/2026 “Capital Investments”, and international accounting standards and develop independently their own accounting methods, the accounting policy should be developed with the participation of specialists and people responsible for the presentation and disclosure of information. Results and discussion. Recognition of a fixed asset item in accounting requires the expertise of specialists who can confirm that this item can be used in the ordinary activities of the company for a period exceeding 12 months and that it can deliver economic benefits. Groups of specialists and documents developed by a corporation to outline the conditions for the recognition of fixed asset items are established by bylaws. When recognising a fixed asset item, it is particularly important to determine inventory items and to group them. This is performed by the units of the organisation that ensure the ability of this item to bring economic benefits. If the items meet the conditions for the recognition of fixed asset items, the accountant determines the historical cost of the item. The application of the revalued cost of fixed asset items in accounting, based on the International Financial Reporting Standards (IFRS) 13 “Fair Value Measurement” and (IAS) 36 “Impairment of Assets”, ensures the reliability of financial statements. In case of assets that meet the recognition requirements, but whose value is below the limit established by a corporation, the control of the asset's availability and flow is also regulated by a bylaw. Conclusions. The results of the study can be used by corporations to develop accounting policies related to the systematisation and disclosure of information on fixed assets.

show abstract

Accounting estimates as the most important factor in the formation of the book value of accounting objects

Cited by 6 publications

References 6 publications

Treatment of the elements of depreciation of fixed assets in the Accounting Policy

Treatment of the elements of depreciation of fixed assets in the Accounting Policy

Evolution of Accounting Practices for Regulating Estimated Values in Order to Integrate Financial and Non-Financial Reporting Indicators

Innovations in fixed asset accounting

Contact Info

Product

Resources

About