Publication details
Zásoby vlastní činnosti (zásada souměřitelnosti)
| Title in English | Work in process, semi-finished products and finished goods (matching principle) |
|---|---|
| Authors | |
| Year of publication | 2016 |
| Type | Article in Proceedings |
| Conference | Sborník z 11. ročníku mezinárodní vědecké konference Nové trendy 2016 |
| MU Faculty or unit | |
| Citation | |
| Field | Economy |
| Keywords | production cycle; work in process; finished goods; matching principle; costs and expenses; |
| Description | The paper deals with methods of accounting view of transformations of finished goods and work in process during the production cycle of business corporations and their impact on the published information. The research methodology is based on a comparative analysis of theoretical approaches to capture the conversion of assets and ensuring the principle of commensurability of costs and revenues associated with the activities carried out. The aim is to determine the advantages and disadvantages of the techniques evaluated from the perspective of users of accounting information. To assess the level of reported financial information on work in process and finished goods is calculated their relevance to the user. Calculation of indicators of intensity is made for branches of manufacturing industry. Result of the research confirmed that the amendment to Czech accounting regulations, which came into force on 1 January 2016, removed a major shortcoming of the profit and loss statement ie. the reporting of unrealized revenues during transformation of assets. |