Yaremko, I., Podolchak, N., Pylypenko, L., & Tyvonchuk, O.
(2016).
Conceptual model of adaptive balance sheet format of corporations in postindustrial economy.
Economics, Entrepreneurship, Management,
3(2),
17-23.
https://doi.org/10.23939/eem2016.02.017
Article
Conceptual model of adaptive balance sheet format of corporations in postindustrial economy
Abstract
Financial reporting is one of the main tools for providing information to market agents about business performance and financial position of corporations. The current format of financial reporting envisaged by the international and national standardization systems and other mandatory documents limits the possibility of complete and objective representation of corporations’ economic potential. The major deficiencies of the current format of financial reporting include the inability of faithful representation of intangible factors of corporations’ economic potential, as well as ignoring capital obsolescence due to the high level of dynamism of economic development. The article presents the conceptual and methodological approaches to address the above problems. The application of intellectual capital maintenance concept in financial reporting framework permits to formulate methodological guidelines for adequate representation of intangible component of corporation economic potential on the balance sheet. The methodological approaches to moral depreciation of fixed capital disclosure in financial reporting, based on the provisions of organic balance sheet theory, are substantiated
Keywords
Financial reporting, format of financial reporting, concepts of capital maintenance, economic potential of corporations, moral depreciation
Received 14.06.2016, Revised 18.08.2016, Accepted 10.10.2016
Retrieved from Vol. 3, No. 2, 2016
Suggested citation
https://doi.org/10.23939/eem2016.02.017
Pages 17-23
References
References in the process of publication