Articlegreen2010

Explaining Accounting Policy Choices of SME’s: An Empirical Research on the Evaluation Methods

Szilveszter Fekete · Yau Yau · Răzvan V. Mustaţă · Dumitru Matiş · Ioan Gabriel Popa

18 citations0/0 files storedEUROPEAN RESEARCH STUDIES JOURNAL

No readable copy stored yet — this record is metadata only.

No open-access location is known for this record yet.

Literature note Cite in a project Citation map

Accounting Theory and Financial Reporting Auditing, Earnings Management, Governance Accounting and Organizational Management

Abstract

Analyzing accounting issues relative to small and medium sized entities (SMEs) we found the influence of taxation as the main leitmotif in the Romanian literature. However, weak empirical evidence is provided to sustain this argument. In this paper we investigate the accounting policy choices of SMEs, particularly those related to the evaluation methods. Our purpose is to find some “pattern” in these decisions and to identify the main factors that trigger them. Data for the study was collected through a survey in which respondents were requested to indicate the degree to which each of the factors listed in the questionnaire influenced their choice of accounting methods. After controlling for size, we applied the principal component analysis technique in ascertaining the impact of factors. Our results though consistent with the reviewed literature, are still surprising. This is in the sense that while taxation seems to remain the strongest influence factor, the weakest happens to be the true and fair view (TFV) consideration. In finding some possible explanations to this, we leave this question open: is it possible that the overwhelming academic concept of TFV is an empty vessel for practitioners?

Paper brief

Loading…

Cite this work

Citation unavailable for this work.

BibTeX RIS CSL-JSON

No public copy is stored for this record, so only the metadata is cited.

Citations in this library

Citation map →

Stored only when both papers are in the corpus — 18 citations exist upstream.

References

1990Positive Accounting Theory: A Ten Year Perspective.1995The determinants of voluntary financial disclosure by Swiss listed companies 1989Disclosure in the Corporate Annual Reports of Swedish Companies 1993The investment opportunity set and accounting procedure choice 1975Company Size, Listed Versus Unlisted Stocks, and the Extent of Financial Disclosure 1996The Use of Financial Accounting Choice to Support Aggressive Tax Positions: Public and Private Firms 2000The use of accounting flexibility to reduce labor renegotiation costs and manage earnings 2007Country Effects and Sector Effects on the Harmonization of Accounting Policy Choice

Cited by

2012Is SMEs accounting influenced by taxation? Some empirical evidence from Romania 2012"The Relationship Between Accounting And Taxation Insight The European Union: The Influence Of The International Accounting Regulation "2016Maturity in management accounting: Exploratory study in Portuguese SME

Explore the map →

Papers that cite the same references — the relational fallback while embeddings are still backfilling.

Imported from OpenAlex (CC0) — nothing here is generated.