Influence of Shadow Economy on Forming the Indicators of Enterprises’ Financial Statements
Journal Title: Вісник Житомирського державного технологічного університету. Серія: економіка, управління та адміністрування - Year 2018, Vol 86, Issue 4
Abstract
The article is devoted to the study of the shadow economy, the common features of such an economy in different countries are clarified, and the ways for solving this problem are presented. After all, shadowing the economy is an obstacle to the socio-economic development of the state. The issue is reflected in the volume of GDP, its structure, and economic reforms are substantially slowed down due to this. Thus, the level of danger for the national economy is increasing. It should be noted that the preparation of financial statements plays a significant role in the normal functioning of each enterprise. The main purpose of this process is to provide users with the information about the financial condition, and performance of the entity. The needs for interested users will be different, but in all the cases it is common to obtain a reliable and complete array of information. Therefore, it is extremely important to search for causes, and ways of timely detection and correction of the fact of falsification of financial statements of economic entities. Indeed, due to the unbridled desire of owners to obtain a higher percentage of profits from time to time there are cases of distortion of financial statements. As a result, there is a financial fraud that causes damage to shareholders, investors and society as a whole.
Authors and Affiliations
G. Yu. Khomenko, A. M. Moshak
Keywords
Related Articles
- EP ID EP440673
- DOI -
- Views 116
- Downloads 0
Accounting mortgage transactions: directions of improvement
Fragmentation methods of accounting of contractual obligations secured by mortgage, discussion questions evaluating the object of mortgage at the stage of conclusion of loan agreements (credit) and the probability of def...
Financial services in England in the late XVII century and first equity market boom (1691–1693)
The article shows the formation of the British financial services industry in the 1690's and the reasons of the first joint-stock companies’ boom of 1691–1693's. The author describes the course of events of this boom, an...
Development and security of information processes in modern society
Information and communication technologies are today the significant part of the national economy of the country. Recently, the delimitation of some types of information from the economy of things has significantly incre...
Accounting organizing development tendencies
The development of accounting takes place under the influence of many factors. The study pays special attention to the impact of technological determinants on the process of organizing accounting. The carried-out analysi...
Legal support of state regulation of innovation activity in Ukraine
The article considers the issues of legal support of state regulation of innovation activity in Ukraine, as well as the creation of a favourable institutional and legal framework for the entities of the innovation proces...