• Journal of Korean Society of Industrial and Systems Engineering
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• v.6 no.9
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• pp.81-95
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• 1983

The author has intended to seek for the usefulness of price-level change accounting information through financial statements of general price level. The accounting information obtained from financial statements of general price level, must be useful to the reasonable judgment of financial statement users or to the economic decision making, This thesis may be summarized as follows : 1. Financial statements arranged by historical cost accompany many problems as accounting information. In other words, at the time of inflation, they have little usefulness as accounting information. 2. In order to correct the little usefulness of the financial statements arranged by historical cost, the author examined this matter centering around FASB statement No. 33. 3. The price level change accounting eliminates the contradiction of the accounting information obtained from the financial statements arranged by historical cost. 4. In the general price level change accounting, money value is presumed to change according to the level of general price and, then, the money value for goods must be revised. 5. In the general price level change accounting, the division between monetary items of asset and debt, and non-monetary items, is important. 6. The general price level change accounting based upon historical cost accounting, has objectivity as accounting information like the cost basis accounting and larger usefulness than the cost basis accounting. In conclusion, the price level change accounting increases its usefulness as accounting information and, therefore. (1) the information on the general price level change accounting is desirable to be disclosed as supplementary information for the traditional financial statements, and (2) the general price level change accounting should be induced to the listed Companies in Korea under continuing inflation for improving the usefulness of financial statements as accounting information.

• Journal of Distribution Science
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• v.16 no.2
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• pp.83-88
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• 2018

Purpose - For distribution corporate, the method of recognizing sales revenue may be different depending on the type of distribution transaction. Until the change in accounting standards for revenue recognition was made in 2002, the distribution corporate recognized the full amount of sales of goods regardless of the type of transaction. However, in accordance with accounting standards for revenue recognition, which began to be applied in 2003, distribution corporate differ in sales revenue recognition by transaction type. The Purpose of this study is to analyze the impact of sales revenue on the corporate value after the change of the revenue recognition accounting standards. Research design, data, and methodology - We selected a comprehensive wholesale and retail corporate listed on Korea Exchange. The research model extends the Ohlson(1995) model and regresses whether sales revenue affecting the corporate value is discriminatory value relevance between the corporate affected by changes in accounting standards for revenue recognition and those not. Results - The results of the analysis are as follows. First, The average value of stock price, net asset per share, and earnings per share are all higher than those before the change of accounting standards for revenue recognition. However, the average value of sales per share is lower than that before the change of accounting standards for revenue recognition. Second, the relationship between corporate value and net asset per share, earnings per share and sales per share, the coefficient of net asset per share, earnings per share and sales per share are all statistically significant positive value. Therefore, in explaining corporate value, besides net asset per share and earnings per share, sales per share provides additional information. And the coefficient of interaction variable between accounting standard change and sales per share is a statistically significant positive value. This result indicating that after the change of the revenue recognition accounting standards the usefulness of sales revenue has increased. Conclusions - The change in accounting standards for revenue recognition led to a decrease in distribution corporate sales revenue but the higher the relevance of the corporate value of the sales revenue information. These results shows that the change of accounting standards that reflects the transaction type of retailers was a revision to increase the value relevance of sales revenue in valuation of corporate value.

• Asia-Pacific Journal of Business
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• v.12 no.3
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• pp.193-212
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• 2021

Purpose - This study investigates the effect of auditor change on client firm's accounting (financial statement) comparability. Design/methodology/approach - The comparability of accounting information is measured by the difference in accruals between the two firms. Additionally, the study uses earnings-stock return relationship as another proxy of accounting comparability. In particular, the paper examines whether there is a systematic difference between initial audit years and the other years with respect to the client firm's accounting comparability. Moreover, current study tests how changes in auditor size or industry expertise before and after the switch of auditors affect the accounting comparability. Findings - The results show that the level of accounting comparability is lower in the year of auditor change than in the other years. Furthermore, this lower level of comparability is derived by the observations that switch their auditors from non-Big4 to non-Big4 or from non-specialist to non-specialist. These results are consistent when accounting comparability is measured by different proxies. Research implications or Originality - The findings of this study provide important policy implications for the regulations related with auditor selection.

• Journal of Digital Convergence
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• v.14 no.8
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• pp.105-113
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• 2016

This study analyzed and verified panel data based on CSMAR (China Stock Market & Accounting Research) DB from 2002 to 2014 in order to find out significant differences of conservative accounting before and after Chinese companies adopted international accounting standards. Financial changes in companies can occur at the point of change in accounting standards, and as the difference would affect conservative accounting, it is important to understand conservatism in financial transaction. In this study, earnings per share and price, return on equity, and debt ratio were measured. As a result of analysis, conservative accounting has increased after the introduction of accounting standards, and as the debt ratio was higher, the proportion of conservative accounting was higher. Thus, at a certain point of change in accounting standards, companies apply conservative accounting in order to improve reliability in an unstable future financial environment. Therefore, this study is expected not only to practically influence business practice in changes in GAAP rules but also to provide useful guidance for future studies.

• Journal of Information Technology Services
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• v.20 no.2
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• pp.91-109
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• 2021

Recently, social and economic environment has been rapidly changed. In particular, the development of IT technology accelerated the introduction of databases, communication networks, information processing and analyzing systems, making the use of such information and communication technology an essential factor for corporate management innovation. This change also affected the accounting areas. The purpose of this study is to document changes in accounting areas due to the adoption of IT technologies in the era of technology and information, to define the required accounting professions in this era, and to present the efficient educational methodologies for training such accounting experts. An accounting expert suitable for the era of technology and information means an accounting profession not only with basic accounting knowledge, competence, independency, reliability, communication skills, and flexible interpersonal skills, but also with IT skills, data utilization and analysis skills, the understanding big data and artificial intelligence, and blockchain-based accounting information systems. In order to educate future accounting experts, the accounting curriculum should be reorganized to strengthen the IT capabilities, and it should provide a wide variety of learning opportunities. It is also important to provide a practical level of education through industry and academic cooperation. Distance learning, web-based learning, discussion-type classes, TBL, PBL, and flipped-learnings will be suitable for accounting education methodologies to foster future accounting experts. This study is meaningful because it can motivate to consider accounting educational system and curriculum to enhance IT capabilities.

• The Journal of Industrial Distribution & Business
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• v.12 no.11
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• pp.1-8
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• 2021

Purpose: For the last few decades, human civilization has observed an enormous change due to digitalization. However, question remains whether and how management accounting has been transformed to meet the demand of the digitalization. This paper provides a literary illustration of such transformation in the context of a digitalized world. Research design, data and methodology: This is a conceptual study based on extant literature. Therefore, the secondary sources of materials were used. Materials include literatures published in this domain, archival documents, and other publicly available data. Results: Drawing from literary evidence, the paper first highlights the evolving character of management accounting. Then it illustrates the changing landscape in the milieu of global and institutional settings with a focus in accounting profession. It further demonstrates the digitalization impact in management accounting. Here it also identifies the changing role of management accountants. Conclusions: The paper is critical for the management accounting professionals in identifying the attributes and nature of management accounting in the contemporary world. It also provides a sketch of the potential skillset that management accounting professionals should embrace to tackle the challenges of the new environment.

• Management & Information Systems Review
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• v.7
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• pp.93-111
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• 2001

In this article, we perform an international overview of accounting standards for tax effect accounting(or income taxes). Specially, we compare accounting standards for tax effect accounting of U.S. and International Accounting Standards. The principal component of U.S. accounting standards for tax effect accounting is as follow. Statement of Financial Accounting Standards No. 109, Accounting for Income Taxes (SFAS No. 109) represents the culmination of a multi-year process in which Financial Accounting Standards Board (FASB) reviewed and subsequently modified the requirements for accounting for income taxes. SFAS No. 109 requires an 'asset and liability' approach for the accounting for income taxes. That is, deferred income taxes are viewed as assets and liabilities of the firm, and deferred tax expenses id determined by the current-year change in the firm's deferred tax liabilities and assets. Previously, Accounting Principles Board Opinion No. 11, Accounting for Income Taxes (APB No. 11) required a 'deferral' approach to accounting for income taxes. The primary intent of the deferral approach was to match tax expense with corresponding revenues and expenses for the year in which the revenues and expenses were recognized in the financial statement. Unlike the SFAS No. 109, APB No. 11 did not require firms to adjust deferred tax balances for subsequent events such as changes in tax rates or laws. And, the principal deference between SFAS No. 109 and the previous statement on accounting for income taxes, SFAS No. 96, is that SFAS No. 109 requires firms to recognize deferred tax assets for the tax benefits of tax credit or operating loss carryforwards, no matter how likely the firm was to realize these benefits, and this was one of the reasons for its demise.

• Journal of Digital Convergence
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• v.11 no.2
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• pp.159-165
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• 2013

This kind of case study suggests a way for future's accounting standards under the complicated situation of K-IFRS. A change of accounting standards causes a severely different performance between K-IFRS and K-GAAP. Further, the change affects the whole business of the financial companies. As the K-IFRS is not a rule based accounting standard but a principle based accounting standard, companies have to keep their internal system in detail. Likewise, companies can get their competitiveness in the field.

• Journal of Digital Convergence
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• v.19 no.12
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• pp.273-280
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• 2021

The purpose of this study is to provide implications for fiscal policy by comprehensively examining the relationship between the on-campus retention and university soundness items of four-year private universities in the context of financial contraction of private universities due to suppression of tuition increase. Multiple regression analysis was performed to analyze the correlation of variables and the effect of financial soundness items on accounting indicators using SPSS 25. First, private university's on-campus reservations had an effect on accounting index items. Second, financial soundness items had an effect on accounting index items. Third, the financial condition factors influenced the change of accounting index by the location of the university. Fourth, according to the size of students, financial conditions had an effect on the change in accounting indicators. Government investment and support for private universities should be changed to a paradigm of securing finance through establishment of a development plan, rather than financial support through reduction of quota, and survival should be sought through income diversification policy strategies.

• The Journal of Information Systems
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• v.9 no.1
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• pp.129-155
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• 2000

This study empirically examined the relationship between the level of advanced manufacturing technology (AMT) and the information amount of management accounting, such as nonperiodic and future information, and nonfinancial performance. We also investigated the effects of the fit between AMT and accounting informations on the performance of management accounting-information systems (MAS). In this study, the information satisfaction about MAS is used as the surrogate of MAS performance. The results show that the information amount of management accounting is positively associated with the stage of AMT. It is also proved that the information amount of MAS which matches with the level of AMT increases the information satisfaction. However, the information amount that is not compatible with the stage of AMT can not contribute to the improvement of information satisfaction.