Title: Relativity And Subjectivity Of The Accounting Information Regarding The Financial Performance
Abstract: The substantiation and presentation of real, pertinent, relevant and timely information regarding the financial position and financial performance, represents a central element to business communication with the users of financial accounting information. However, in certain circumstances, the producers of accounting information, animated by their own interests and encouraged by the shortcomings of the accounting rules, can offer a subjective image that distorts the reality within the company and leads to the information users’ manipulation. The effects of these practices extended to the limit of the compliance rules and accounting principles were noted especially in times of crisis, being known as generating large bankruptcies and financial scandals. The objective of the present paper is to highlight the relativity of the accounting information in general, with an overview of the possibilities and effects of information manipulation related to the financial performance of the enterprise.
Publication Year: 2013
Publication Date: 2013-01-01
Language: en
Type: article
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