Cost Accounting as a Possible Solution for Financial Sustainability of Croatian Public Hospitals
The purpose of this paper is to present the current usage of cost accounting methodology in Croatian public hospitals through conducted empirical research and to provide opinions of accountants and financial officers regarding possible implementation of cost accounting methodology in public hospital...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
| Published: |
The Institute of Economics, Zagreb
2016-12-01
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| Series: | Croatian Economic Survey |
| Subjects: | |
| Online Access: | http://hrcak.srce.hr/file/252680 |
| _version_ | 1819020440164630528 |
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| author | Ivana Dražić Lutilsky Berislav Žmuk Martina Dragija |
| author_facet | Ivana Dražić Lutilsky Berislav Žmuk Martina Dragija |
| author_sort | Ivana Dražić Lutilsky |
| collection | DOAJ |
| description | The purpose of this paper is to present the current usage of cost accounting methodology in Croatian public hospitals through conducted empirical research and to provide opinions of accountants and financial officers regarding possible implementation of cost accounting methodology in public hospitals. In the paper, the authors analyze the accounting system in Croatian public hospitals, identifying the flaws of the current accounting system with regard to the recording and allocation of costs. National healthcare systems of different European countries provide a theoretical background for the usage of accrual accounting basis and cost accounting methodologies, showing better governance and financial sustainability of public hospitals which have introduced cost accounting methodology. The conducted empirical research shows that accountants and financial officers believe that the healthcare system in Croatia is ready for a change in the current accounting system based on the modified accrual basis through the implementation of accrual accounting basis and full costing approach to cost allocation. Full costing approach is also known as activity-based accounting method for cost allocation. The authors also recommend some initial steps for implementation of the new cost accounting system in Croatian public hospitals. |
| first_indexed | 2024-12-21T03:51:14Z |
| format | Article |
| id | doaj.art-1d8ff7a6731947b3aa61193d90d139b8 |
| institution | Directory Open Access Journal |
| issn | 1330-4860 1846-3878 |
| language | English |
| last_indexed | 2024-12-21T03:51:14Z |
| publishDate | 2016-12-01 |
| publisher | The Institute of Economics, Zagreb |
| record_format | Article |
| series | Croatian Economic Survey |
| spelling | doaj.art-1d8ff7a6731947b3aa61193d90d139b82022-12-21T19:16:58ZengThe Institute of Economics, ZagrebCroatian Economic Survey1330-48601846-38782016-12-0118253810.15179/ces.18.2.1Cost Accounting as a Possible Solution for Financial Sustainability of Croatian Public HospitalsIvana Dražić Lutilsky0Berislav Žmuk1Martina Dragija2University of Zagreb, Department of Accounting, Faculty of Economics and Business, CroatiaUniversity of Zagreb, Department of Statistics, Faculty of Economics and Business, CroatiaUniversity of Zagreb, Department of Accounting, Faculty of Economics and Business, CroatiaThe purpose of this paper is to present the current usage of cost accounting methodology in Croatian public hospitals through conducted empirical research and to provide opinions of accountants and financial officers regarding possible implementation of cost accounting methodology in public hospitals. In the paper, the authors analyze the accounting system in Croatian public hospitals, identifying the flaws of the current accounting system with regard to the recording and allocation of costs. National healthcare systems of different European countries provide a theoretical background for the usage of accrual accounting basis and cost accounting methodologies, showing better governance and financial sustainability of public hospitals which have introduced cost accounting methodology. The conducted empirical research shows that accountants and financial officers believe that the healthcare system in Croatia is ready for a change in the current accounting system based on the modified accrual basis through the implementation of accrual accounting basis and full costing approach to cost allocation. Full costing approach is also known as activity-based accounting method for cost allocation. The authors also recommend some initial steps for implementation of the new cost accounting system in Croatian public hospitals.http://hrcak.srce.hr/file/252680accrual accounting basis; cost accounting system; public hospitals; financial sustainability; statistical analysis |
| spellingShingle | Ivana Dražić Lutilsky Berislav Žmuk Martina Dragija Cost Accounting as a Possible Solution for Financial Sustainability of Croatian Public Hospitals Croatian Economic Survey accrual accounting basis; cost accounting system; public hospitals; financial sustainability; statistical analysis |
| title | Cost Accounting as a Possible Solution for Financial Sustainability of Croatian Public Hospitals |
| title_full | Cost Accounting as a Possible Solution for Financial Sustainability of Croatian Public Hospitals |
| title_fullStr | Cost Accounting as a Possible Solution for Financial Sustainability of Croatian Public Hospitals |
| title_full_unstemmed | Cost Accounting as a Possible Solution for Financial Sustainability of Croatian Public Hospitals |
| title_short | Cost Accounting as a Possible Solution for Financial Sustainability of Croatian Public Hospitals |
| title_sort | cost accounting as a possible solution for financial sustainability of croatian public hospitals |
| topic | accrual accounting basis; cost accounting system; public hospitals; financial sustainability; statistical analysis |
| url | http://hrcak.srce.hr/file/252680 |
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