Czech Financial and Accounting Journal, 2006 (vol. 2006), issue 2

Patnáct let Fakulty financí a účetnictví

Petr Dvořák

Český finanční a účetní časopis 2006(2):5-7 | DOI: 10.18267/j.cfuc.140  

Harmonization of the Financial Reporting in European Union

Libuše Müllerová

Český finanční a účetní časopis 2006(2):8-14 | DOI: 10.18267/j.cfuc.141  

The Czech Republic - after accessing to the European Union - has accepted the obligation to introduce the harmonization rules of the European Union in the filed of financial statements. In European countries the accounting systems have developed in the context of their historical traditions. Their harmonization is not, therefore, a simple issue. There is also the essential difference among the countries in understanding the requirement of "true and fair view" of financial situation and property in financial statement of the enterprise. European Union Directives are a ground for harmonization of all economic spheres in the European Union. The financial...

Instruments of the Accounting Regulatory System and its Development beyond 2005

Marcela Žárová

Český finanční a účetní časopis 2006(2):15-24 | DOI: 10.18267/j.cfuc.143  

In each European country the rules that govern financial reporting are made up of a law, standards, the rules of other bodies and interpretations by experts. As the rules are also specific to the country, each European country has its own system for the regulation of financial reporting. EC Regulation on the Application of international accounting standards has introduced new categories into European countries regulation system since 2005: external rule-makers and endorsement mechanism.

Fair Value and Application of Fair Value in IAS/IFRS

Dana Dvořáková

Český finanční a účetní časopis 2006(2):25-38 | DOI: 10.18267/j.cfuc.145  

One of the most fundamental problems of the financial accounting is the measurement that is in this time the mix of various measurement bases. This paper is an analytical study based on comparison of different approaches to fair value in particular Standards (IAS/IFRS).

Cash Flow Statement - International Financial Reporting Standards and their Comparison with Czech Accounting Standards

Libor Vašek

Český finanční a účetní časopis 2006(2):39-58 | DOI: 10.18267/j.cfuc.147  

Cash flow statement summarizes the resources of cash and cash equivalents on the one hand and their utilization on the other hand. Cash flow statement represents a component of enterprise`s financial statements together with balance sheet, income statement and statement of changes in equity. What accounting policies shall the enterprise apply to prepare and present cash flow statement according to Czech Accounting Standards or IFRSs. What accordance or difference is between both systems. The purpose of the article is to approximate cash flow statement presented in accordance with IFRS and this statement compare with statutory cash flow statement.

Measurement mismatch between the assets and liabilities arising from emission rights (withdrawal of IFRIC 3)

Marie Zelenková

Český finanční a účetní časopis 2006(2):59-72 | DOI: 10.18267/j.cfuc.149  

In June 2005 the International Accounting Standards Board (IASB) decided to withdraw IFRIC 3 Emission Rights with immediate effect. IFRIC 3 was developed to explain how to apply existing International Financial Reporting Standards (IFRS) to 'cap and trade emission rights schemes. However, IFRIC 3 created an unsatisfactory consequence of the interaction of IAS 38 and IAS 37, in the concrete a measurement mismatch between the assets and liabilities recognized in accordance with IFRIC 3, and a mismatch in the location in which the gains and losses on these assets and liabilities are reported. This paper analyses the consequences of this in detail and...

Value Based Management

Libuše Šoljaková

Český finanční a účetní časopis 2006(2):73-83 | DOI: 10.18267/j.cfuc.150  

Activity (Value) Based Management systems provide more accurate information about business activities and processes. ABM systems focus on organizational activities as the key element for analyzing cost behavior in companies and reason for spending of resources. The main goals of implementation ABM is reducing the costs required to produce products and to service customers through elimination of activities with no value added for products and customers. Information about costs of activities is useful for product profitability analyses and customer profitability analyses.

Role of accounting information for performance measurement in changing business environment

Jaroslav Wagner

Český finanční a účetní časopis 2006(2):84-94 | DOI: 10.18267/j.cfuc.152  

As regards increasing awareness of business process and its results, innovative approaches to performance measurement were developed during last decades. This paper deals with comparison of requirements for efficient performance measurement information system and characteristics of accounting information. Based on these issues, future challenges for financial and managerial accounting are analyzed.

General conception accounting for legal merger

Hana Vomáčková

Český finanční a účetní časopis 2006(2):95-115 | DOI: 10.18267/j.cfuc.153  

The consensus in the merges idea conceptions is necessary to increase fairness (trustiness) and comparability of accounting information about business combinations. In the first case of merging independent companies and their accounting entities we can suppose, that the basic idea of merge is "purchase". The stronger entity is "purchasing" the net assets of the "ending" entity for the exchange of shares or owners share. In the second case of merging independent companies the new entity is "purchasing" the net assets of the all merged companies for the issued shares or owners share. In the situation that dependent companies are merging, this case is...

Comparability according to the Czech accounting standards

Jiří Pelák

Český finanční a účetní časopis 2006(2):116-123 | DOI: 10.18267/j.cfuc.155  

The paper analyzes comparability of information presented according to the Czech accounting standards. The drawbacks are identified in many real world situations and an accounting treatment which would eliminate those drawbacks is suggested. In some cases only additional disclosure in notes to the financial statements is a feasible proposal.

Vykazování podnikových dat v elektronické podobě - XBRL

Jana Ištvánfyová, Ladislav Mejzlík

Český finanční a účetní časopis 2006(2):124-129 | DOI: 10.18267/j.cfuc.157  

The paper deals with general questions of business data communication, particularly it focuses on the XBRL open data format. Moreover, a brief list of possible XBRL implementation impacts on financial reporting issues are discussed, mainly online reporting and continuous auditing is surveyed. Finally, the structure and activities of the non-profit XBRL International association is described, together with a report on an XBRL implementation process carried out by the US SEC.

The poor quality outputs - accounting and tax solution

Miroslav Brabec

Český finanční a účetní časopis 2006(2):130-139 | DOI: 10.18267/j.cfuc.159  

The article elaborates the area definition, valuation and disclosure of information about poor quality output. After the definition of poor quality output the article analyses especially poor quality tangible outputs. In this area it describes the process of its identification, accounting for poor quality outputs (with the main stress on work-in-progress) and consequences of poor quality outputs on corporation tax base.

The Statistics of Differences among the Company Book Values and the Company Valuations worked out by Income and Cost Approach

Jan Jurečka

Český finanční a účetní časopis 2006(2):140-145 | DOI: 10.18267/j.cfuc.162  

The Company Valuation is the important base for the set of business transactions, because the Book Value is not regarded as good picture of the real company assets. There are the three basic Valuation Approaches: the Income, Cost and Market ones. In Czech practice the last Approach is not used often for the insufficiency of appropriate data. The article presents the results of 42 valuation works, in which the students of the Institute of Property Valuation of University of Economics in Prague used both the Income Approach and Cost Approach (IOM VŠE, 2004). The article compares the results of these two approaches with the book value of valuated companies...

Rizikový kapitál

Pavel Marinič

Český finanční a účetní časopis 2006(2):146-152 | DOI: 10.18267/j.cfuc.164  

Economic rising request a new types and form and resources for financing needs and investing. Clear chance appears use of venture capital accumulated equity capital by private investors. Private equity can be used to develop new products and technologies, to expand working capital, to make acquisition. Trough this form of investment is increased the competitiveness of domestic firm's within the framework economic competition.

Historical Excursion into World and Czech Exchange Business

Jitka Veselá

Český finanční a účetní časopis 2006(2):153-164 | DOI: 10.18267/j.cfuc.166  

Exchanges, as a specific type of market appeared in Italian towns Luca, Genoa, Florence, Venice and Milan in the 12th and 13th centuries. Importance of the first Exchange was only local and they were mostly based on bill, debenture and coins trades. The first important Exchange building was built in Antwerp in 1531. The beginning of the period, in which modern Exchange emerged, goes back to the Amsterdam Exchange, which from 17th century started to apply modern speculative trades with bonds and especially with stocks. The importance of the local Exchange was declining in the 20th century and the importance of large, international Exchange in the same...

Modern Book of Financial Accounting

Libuše Müllerová

Český finanční a účetní časopis 2006(2):165-170 | DOI: 10.18267/j.cfuc.169  

The book Financial Accounting, a Global Approach - IFRS/IAS deals with newest trends in the development of harmonization process of accounting and financial statements in the world. The structure of the book reflects the current issues in the fields of accounting, where the presentation of accounting information in the financial statements is of primary importance. The framework of financial statements, being based on accrual principle and going concern concept, is the starting point of discussion. The following chapters are related to it and continue in the analysis of basic elements of single financial statements and their mutual links. The book...

Joint degree program Finance and Accounting for Common Europe

Marie Míková

Český finanční a účetní časopis 2006(2):171-174 | DOI: 10.18267/j.cfuc.170  

Paper provides information about a new study program - a joint degree program Finance and Accounting for Common Europe, which will be taught at the Faculty of Finance and Accounting, University of Economics, Prague for the first time in academic year 2007/2008.