The influence of a different accounting system on informative value of selected financial ratios
In recent global world the importance of financial markets is growing as well as the amount of capital distributed through these markets. To enable optimal efficiency of these markets the best investment opportunities has to be chosen. An alternative how to compare and select suitable companies to...
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Vilnius Gediminas Technical University
2012-04-01
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doaj-52f83d1891ba4073bc7efaae2193d9882021-07-02T10:19:25ZengVilnius Gediminas Technical UniversityTechnological and Economic Development of Economy2029-49132029-49212012-04-0118110.3846/20294913.2012.661193The influence of a different accounting system on informative value of selected financial ratiosOlga Malíková0Zdeněk Brabec1Faculty of Economics, Technical University of Liberec, Studentská 2, Liberec, Czech RepublicFaculty of Economics, Technical University of Liberec, Studentská 2, Liberec, Czech Republic In recent global world the importance of financial markets is growing as well as the amount of capital distributed through these markets. To enable optimal efficiency of these markets the best investment opportunities has to be chosen. An alternative how to compare and select suitable companies to invest in is represented by a financial analysis of financial statements. The results of financial ratios are mainly influenced by the presumptions according to those the financial statements have been prepared. Therefore, in this article there is analysed if and eventually how significant the input data, influence the results of financial ratios. Firstly, the description of financial ratios that are used in following analysis is made. After that, there are analysed the requirements of Czech legislation and IAS/IFRS and their influence on financial statements. Then, the influence of five selected accounting transaction on balance sheets and income statements that are prepared once according to the Czech legislation and for the second time according to the IAS/IFRS is analysed. The final part tries to examine if and how strong the impact of different accounting system on the results of the selected financial ratios is. http://www.bjrbe.vgtu.lt/index.php/TEDE/article/view/4684accounting systemfinancial accountingfinancial analysisfinancial ratiosfinancial statements |
collection |
DOAJ |
language |
English |
format |
Article |
sources |
DOAJ |
author |
Olga Malíková Zdeněk Brabec |
spellingShingle |
Olga Malíková Zdeněk Brabec The influence of a different accounting system on informative value of selected financial ratios Technological and Economic Development of Economy accounting system financial accounting financial analysis financial ratios financial statements |
author_facet |
Olga Malíková Zdeněk Brabec |
author_sort |
Olga Malíková |
title |
The influence of a different accounting system on informative value of selected financial ratios |
title_short |
The influence of a different accounting system on informative value of selected financial ratios |
title_full |
The influence of a different accounting system on informative value of selected financial ratios |
title_fullStr |
The influence of a different accounting system on informative value of selected financial ratios |
title_full_unstemmed |
The influence of a different accounting system on informative value of selected financial ratios |
title_sort |
influence of a different accounting system on informative value of selected financial ratios |
publisher |
Vilnius Gediminas Technical University |
series |
Technological and Economic Development of Economy |
issn |
2029-4913 2029-4921 |
publishDate |
2012-04-01 |
description |
In recent global world the importance of financial markets is growing as well as the amount of capital distributed through these markets. To enable optimal efficiency of these markets the best investment opportunities has to be chosen. An alternative how to compare and select suitable companies to invest in is represented by a financial analysis of financial statements. The results of financial ratios are mainly influenced by the presumptions according to those the financial statements have been prepared. Therefore, in this article there is analysed if and eventually how significant the input data, influence the results of financial ratios. Firstly, the description of financial ratios that are used in following analysis is made. After that, there are analysed the requirements of Czech legislation and IAS/IFRS and their influence on financial statements. Then, the influence of five selected accounting transaction on balance sheets and income statements that are prepared once according to the Czech legislation and for the second time according to the IAS/IFRS is analysed. The final part tries to examine if and how strong the impact of different accounting system on the results of the selected financial ratios is.
|
topic |
accounting system financial accounting financial analysis financial ratios financial statements |
url |
http://www.bjrbe.vgtu.lt/index.php/TEDE/article/view/4684 |
work_keys_str_mv |
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