Recognition of comprehensive income in Slovak companies
Financial statements are the key resource for assessing a company´s performance. The form and content of financial statements reflect a country`s accounting regulations. If financial statements can be drawn up under a range of different principles and procedures, this may cause problems for external...
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| Format: | Article |
| Language: | English |
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Vilnius University Press
2014-04-01
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| Series: | Buhalterinės Apskaitos Teorija ir Praktika |
| Subjects: | |
| Online Access: | http://www.journals.vu.lt/BATP/article/view/13290 |
| _version_ | 1818348332749160448 |
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| author | Marta Lapková Jana Stašová |
| author_facet | Marta Lapková Jana Stašová |
| author_sort | Marta Lapková |
| collection | DOAJ |
| description | Financial statements are the key resource for assessing a company´s performance. The form and content of financial statements reflect a country`s accounting regulations. If financial statements can be drawn up under a range of different principles and procedures, this may cause problems for external users.
The purpose of this paper is to evaluate comprehensive income recognition in the financial statements of Slovak companies that are prepared according to IFRS, with an emphasis on items of other comprehensive income.
Our research showed that Slovak companies preparing financial statements in accordance with IFRS use a range of options allowed by national standards. Therefore the form of their comprehensive income recognition varies. Other comprehensive income was recognized in the statement of profit or loss and other comprehensive income, in the majority of researched entities. Our research shows that reporting of other comprehensive income divided into reclassified and not reclassified items is relevant for the assessment of company performance, because of their impact on reported profit or loss, and on selected indicators of profitability, particularly for our sample of financial institutions. This is due to the nature of their activity, for in most cases the gains and losses on financial assets available for sale are recognized in other comprehensive income, which will be reclassified to profit or loss in subsequent periods. |
| first_indexed | 2024-12-13T17:48:23Z |
| format | Article |
| id | doaj.art-1249c43474c3448e90f52c0caed19838 |
| institution | Directory Open Access Journal |
| issn | 1822-8682 2538-8762 |
| language | English |
| last_indexed | 2024-12-13T17:48:23Z |
| publishDate | 2014-04-01 |
| publisher | Vilnius University Press |
| record_format | Article |
| series | Buhalterinės Apskaitos Teorija ir Praktika |
| spelling | doaj.art-1249c43474c3448e90f52c0caed198382022-12-21T23:36:33ZengVilnius University PressBuhalterinės Apskaitos Teorija ir Praktika1822-86822538-87622014-04-011510.15388/batp.2014.15.1Recognition of comprehensive income in Slovak companiesMarta Lapková0Jana Stašová1Matej Bel University, SlovakiaMatej Bel University, SlovakiaFinancial statements are the key resource for assessing a company´s performance. The form and content of financial statements reflect a country`s accounting regulations. If financial statements can be drawn up under a range of different principles and procedures, this may cause problems for external users. The purpose of this paper is to evaluate comprehensive income recognition in the financial statements of Slovak companies that are prepared according to IFRS, with an emphasis on items of other comprehensive income. Our research showed that Slovak companies preparing financial statements in accordance with IFRS use a range of options allowed by national standards. Therefore the form of their comprehensive income recognition varies. Other comprehensive income was recognized in the statement of profit or loss and other comprehensive income, in the majority of researched entities. Our research shows that reporting of other comprehensive income divided into reclassified and not reclassified items is relevant for the assessment of company performance, because of their impact on reported profit or loss, and on selected indicators of profitability, particularly for our sample of financial institutions. This is due to the nature of their activity, for in most cases the gains and losses on financial assets available for sale are recognized in other comprehensive income, which will be reclassified to profit or loss in subsequent periods.http://www.journals.vu.lt/BATP/article/view/13290financial statementscomprehensive incomeother comprehensive income |
| spellingShingle | Marta Lapková Jana Stašová Recognition of comprehensive income in Slovak companies Buhalterinės Apskaitos Teorija ir Praktika financial statements comprehensive income other comprehensive income |
| title | Recognition of comprehensive income in Slovak companies |
| title_full | Recognition of comprehensive income in Slovak companies |
| title_fullStr | Recognition of comprehensive income in Slovak companies |
| title_full_unstemmed | Recognition of comprehensive income in Slovak companies |
| title_short | Recognition of comprehensive income in Slovak companies |
| title_sort | recognition of comprehensive income in slovak companies |
| topic | financial statements comprehensive income other comprehensive income |
| url | http://www.journals.vu.lt/BATP/article/view/13290 |
| work_keys_str_mv | AT martalapkova recognitionofcomprehensiveincomeinslovakcompanies AT janastasova recognitionofcomprehensiveincomeinslovakcompanies |