FOREIGN EXPERIENCE IN A FIELD OF ACCOUNTING AND EVALUATION OF ENTERPRISE INVENTORIES
Journal Title: The Institute of Accounting, Control, and Analysis in the Globalization Circumstances - Year 2016, Vol 3, Issue 3
Abstract
Introduction. At the present stage Ukraine faces some problems in accounting and evaluation of inventories. Inventories are the largest part of the company’s assets. Our country is a developing country, so to achieve a high level of enterprise profitability we should analyze some foreign experience in accounting of inventories and identify those characteristic features by means of which it is possible to improve the financial performance of their activity and the country as a whole. Methods. The study was carried out on the basis of monographic, abstract-logical, historical methods. Methodological basis in the development of the material made by the method of dialectical knowledge of socioeconomic phenomena. Results. Inventories belong to the current assets because they can be turned into monetary funds within one year or one operating cycle. In practice, different methods of inventory accounting are used. The organization of their accounting should be aimed at timely providing management with the information about the availability and movement of materials, about minimum and maximum amount of inventories in relation to the firm of each nomenclature of material resources in order to use them effectively and to increase enterprise profitability. Discussion. The progress of foreign countries towards the formation of effective methods of inventory evaluation consists in both the formation of true accounting aimed at developing market economy, ensuring effective competition between business entities and creating particular innovative incentives for the development of a state. The latter confirms the high level of competition in the global market among enterprises that requires building balanced and efficient accounting policies in the countries. That is why Ukraine should take into account the experience of other countries in the accounting of enterprise inventory, including their mistakes in improving the financial condition of their own enterprises and efficient operation of domestic producers.
Authors and Affiliations
Valeriy Ilyin, Mariya Slobodian
Keywords
Related Articles
- EP ID EP184401
- DOI -
- Views 207
- Downloads 0
ANALYTICAL INTEGRATED INSTRUMENTATION IN THE DIAGNOSTIC SYSTEM OF THE ENTERPRISE
Introduction. In today's economic environment, reporting is considered as a process of formal compliance with the requirements of the law. Most corporations do not provide additional reporting and this negatively affects...
IMPROVEMENT OF ACCOUNTING AND AUDIT OF FIXED ASSETS AT THE ENTERPRISE
Introduction. The paper concentrates on the main issues of accounting and audit of fixed assets in the enterprise. The main problems of the company is documentation of the auditor as it can be ambiguously understood by d...
METHODS OF STRESS-TESTS SCENARIOS CONSTRUCTION AND FINANCIAL PARAMETERS EVALUATION
Introduction. The importance of improving risk assessment tools at the macro and micro level increases a lot in the conditions of financial markets instability. Stress tests are an effective tool for estimation of financ...
INNOVATIVE ACTIVITY AND ACCOUNTING OF TARGETED FINANCING OF INNOVATION PROJECTS
Introduction. The peculiarities of innovation activity of enterprises are considered in the article: signs of innovation as an object of accounting, pecularities of finance sources, the order of reflecting in accounting...
CONCEPTUAL PRINCIPLES OF THE REFLECTION OF LAND RESORUCES IN THE ACCOUNTING OF AGRICULTURAL ENTERPRISES
Introduction. Land resources are of utmost importance among all natural resources currently discovered and available. At this point, land is one of the most important means of production and commercial activities. Depend...