IDEAS home Printed from https://ideas.repec.org/a/iaf/journl/y2018i4p26-37.html
   My bibliography  Save this article

Consolidated Financial Statements: The Genesis of Normatively Regulating in Ukraine

Author

Listed:
  • Petro Kutsyk

    (Lviv University of Trade and Economics, Lviv, Ukraine)

  • Volodymyr Shevchuk

    (National Academy of Statistics, Accounting and Auditing, Kyiv, Ukraine)

  • Svitlana Holovatska

    (Lviv University of Trade and Economics, Lviv, Ukraine)

Abstract

The exacerbation of competition in the domestic market and the intensification of the economic struggle in the international (external) market is an important prerequisite for the centralization and unification of capital of business entities. In this regard, there is a need to prepare consolidated financial statements reflecting the effectiveness of the group. The purpose of the article is to substantiate the legal and theoretical provisions of the formation and use of the consolidated financial statements of a group of enterprises for management purposes. The main objectives of the study are: the historical genesis of the formation of indicators of consolidated financial statements in Ukraine; critical analysis of regulatory factors for consolidating financial statements; theoretical generalization of consolidation methods for a group of enterprises. The degree of dependence between business entities in accordance with the share in the capital was determined. The structure of the consolidated group of enterprises was disclosed. Signs of dependence of subsidiary enterprises with the legislation of Ukraine were systematized. The approaches to determining the composition of the consolidated group of enterprises were considered. The main features of the assessment of control and authority of members of the group of enterprises for the needs of consolidation were identified. The stages of consolidation of financial statements were described. The main accounting requirements for the consolidation of financial statements were systematized. The regulatory procedures for the consolidation of financial statements were analused. The theoretical provisions for the preparation of consolidated financial statements for information needs were summarized. It was revealed that the need to improve the methodological and organizational approaches to the formation of consolidated financial statements is caused not only by the increase in the number and volume of activities of associations and enterprise groups, but also by the inconsistency and imperfection of the current regulatory framework, the mismatch of the structure and content of the consolidated reporting to the requests of various user groups.

Suggested Citation

  • Petro Kutsyk & Volodymyr Shevchuk & Svitlana Holovatska, 2018. "Consolidated Financial Statements: The Genesis of Normatively Regulating in Ukraine," Oblik i finansi, Institute of Accounting and Finance, issue 4, pages 26-37, December.
    • Handle: RePEc:iaf:journl:y:2018:i:4:p:26-37
    as

    Download full text from publisher

    File URL: http://www.afj.org.ua/pdf/609-konsolidovana-finansova-zvitnist-genezis-normativno-pravovogo-regulyuvannya-v-ukraini.pdf
    Download Restriction: no
    File URL: http://www.afj.org.ua/en/article/609/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Iryna Zhurakovska, 2014. "Disclosure of Intellectual Capital Components in Business Reporting in Ukraine," Oblik i finansi, Institute of Accounting and Finance, issue 1, pages 13-19, March.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Serhiy Lehenchuk, 2020. "The Future of Corporate Reporting: History, Perspectives and Problems," Oblik i finansi, Institute of Accounting and Finance, issue 2, pages 29-38, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Volodymyr Shevchuk, 2017. "Methodological Issues of Accounting Intellectual Benefits in Context of Development of Modern Accounting Paradigm," Oblik i finansi, Institute of Accounting and Finance, issue 2, pages 70-78, June.
    2. Vitaliy Pokynchereda, 2018. "Investment in Human Capital: Problems of Accounting," Oblik i finansi, Institute of Accounting and Finance, issue 2, pages 47-53, June.
    3. Volodymyr Kebko, 2016. "Fundamentals of Component Development of Modern Financial Statements," Oblik i finansi, Institute of Accounting and Finance, issue 2, pages 23-28, June.

    More about this item

    Keywords

    control; consolidated financial statements; legal regulation; parent (holding) company; subsidiary;
    All these keywords.

    JEL classification:

    • M41 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Accounting

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:iaf:journl:y:2018:i:4:p:26-37. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Serhiy Ostapchuk (email available below). General contact details of provider: https://edirc.repec.org/data/iafkvua.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.