‘Accounting standards: the “too difficult” box - the next big accounting issue?’ A practitioner view

IF 2 4区管理学 Q2 BUSINESS, FINANCE

Accounting and Business Research Pub Date : 2022-07-29 DOI:10.1080/00014788.2022.2079767

Veronica Poole

{"title":"‘Accounting standards: the “too difficult” box - the next big accounting issue?’ A practitioner view","authors":"Veronica Poole","doi":"10.1080/00014788.2022.2079767","DOIUrl":null,"url":null,"abstract":"Barth (2022) addresses two topics that I think many of us would identify as the hot issues of the day. Technology is transforming our world, and there is plenty of research that shows that 90% of the value of the companies today is in the intangibles. The top ten business risks according to the World Economic Forum ’ s risks report are Environmental, Social and Governance (ESG) related, and that of course includes climate change. Information on these aspects is critical for understanding risks and the drivers of enterprise values today and it is therefore directly relevant to investment decisions. To me, the practitioner, accounting is not just about recognition and measurement in the ﬁ nancial statements. It is about communication of decision-useful information. The key word is ‘ communication ’ , which enables investor decisions to be made in an informed, consistent, comparable way. This is not, therefore, a discrete dataset that we need. It is a continuum of information, from the state-ment of the purpose of the company, what it is actually setting out to do, its strategy, its governance, the targets that it sets for itself, the Key Performance Indicators (KPIs) it uses to measure progress against those targets, and ultimately the results for the reporting period, which would only make sense if they are set in that broader context. Some of this information is captured in monetary values of course, such as the numbers in ﬁ nancial statements, some through performance and non- ﬁ nancial metrics, and some through the narrative disclosures that provide context for the numbers or explain the numbers and how they have been derived.","PeriodicalId":7054,"journal":{"name":"Accounting and Business Research","volume":"52 1","pages":"578 - 581"},"PeriodicalIF":2.0000,"publicationDate":"2022-07-29","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"1","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Accounting and Business Research","FirstCategoryId":"91","ListUrlMain":"https://doi.org/10.1080/00014788.2022.2079767","RegionNum":4,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q2","JCRName":"BUSINESS, FINANCE","Score":null,"Total":0}

引用次数: 1

Abstract

Barth (2022) addresses two topics that I think many of us would identify as the hot issues of the day. Technology is transforming our world, and there is plenty of research that shows that 90% of the value of the companies today is in the intangibles. The top ten business risks according to the World Economic Forum ’ s risks report are Environmental, Social and Governance (ESG) related, and that of course includes climate change. Information on these aspects is critical for understanding risks and the drivers of enterprise values today and it is therefore directly relevant to investment decisions. To me, the practitioner, accounting is not just about recognition and measurement in the ﬁ nancial statements. It is about communication of decision-useful information. The key word is ‘ communication ’ , which enables investor decisions to be made in an informed, consistent, comparable way. This is not, therefore, a discrete dataset that we need. It is a continuum of information, from the state-ment of the purpose of the company, what it is actually setting out to do, its strategy, its governance, the targets that it sets for itself, the Key Performance Indicators (KPIs) it uses to measure progress against those targets, and ultimately the results for the reporting period, which would only make sense if they are set in that broader context. Some of this information is captured in monetary values of course, such as the numbers in ﬁ nancial statements, some through performance and non- ﬁ nancial metrics, and some through the narrative disclosures that provide context for the numbers or explain the numbers and how they have been derived.

查看原文本刊更多论文

会计准则：“太难了”的盒子——下一个重大会计问题从业者观点

巴斯(2022)探讨了两个话题，我认为我们中的许多人会认为这是当今的热点问题。科技正在改变我们的世界，大量研究表明，当今公司90%的价值是无形资产。根据世界经济论坛的风险报告，十大商业风险与环境、社会和治理(ESG)相关，当然也包括气候变化。这些方面的信息对于理解当今企业价值的风险和驱动因素至关重要，因此它与投资决策直接相关。对我这个从业人员来说，会计不仅仅是财务报表中的确认和计量。它是关于决策有用信息的交流。关键字是“沟通”，它使投资者能够以知情、一致、可比的方式做出决策。因此，这不是我们需要的离散数据集。它是一个信息的连续体，从公司的目的陈述，它实际上是在做什么，它的战略，它的治理，它为自己设定的目标，它用来衡量这些目标的进展的关键绩效指标(kpi)，以及最终报告期间的结果，只有在更广泛的背景下才有意义。当然，其中一些信息是以货币价值的形式体现的，比如财务报表中的数字，有些通过业绩和非财务指标体现，有些通过提供数字背景或解释数字及其推导方式的叙述性披露体现。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

求助全文

约1分钟内获得全文求助全文

来源期刊

Accounting and Business Research BUSINESS, FINANCE-

CiteScore

3.40

自引率

11.80%

发文量

期刊介绍： Accounting and Business Research publishes papers containing a substantial and original contribution to knowledge. Papers may cover any area of accounting, broadly defined and including corporate governance, auditing and taxation. However the focus must be accounting, rather than (corporate) finance or general management. Authors may take a theoretical or an empirical approach, using either quantitative or qualitative methods. They may aim to contribute to developing and understanding the role of accounting in business. Papers should be rigorous but also written in a way that makes them intelligible to a wide range of academics and, where appropriate, practitioners.