Buhalterinės apskaitos teorija ir praktika https://www.journals.vu.lt/BATP <p>Founded in 2007 and dedicated to publishing articles on accounting, audit, and analysis.</p> en-US <p>Please read the Copyright Notice in&nbsp;<a href="http://www.journals.vu.lt/BATP/journalpolicy">Journal Policy</a>.&nbsp;</p> rasa.subaciene@evaf.vu.lt (Rasa Subačienė) vigintas.stancelis@kf.vu.lt (Vigintas Stancelis) Wed, 16 Nov 2022 13:38:26 +0000 OJS http://blogs.law.harvard.edu/tech/rss 60 Assessment of the Impact of Airlines External Environmental Factors on the Probability of Bankruptcy Risks in the Context of the COVID-19 https://www.journals.vu.lt/BATP/article/view/27639 <p>The paper analyses which external environmental factors had the greatest impact on the probability of airline bankruptcy risk in the pre-pandemic and pandemic periods. In view of the strengths and weaknesses of the models selected and presented, the Altman Z 'score model was chosen for the study. It has been modified by recalculating the coefficients for the model's weighted indicators. The investigation included environmental macroeconomic statistics and financial data of 49 airlines in the airline sector over the span of ten years (2011-2021). The correlation method has identified the severity of external factors in connection with bankruptcy risks during the pre-pandemic and pandemic timeframe and has established a correlation between fluctuations in the risk of bankruptcy of the airline sector and environmental factors. Based on the results obtained, conclusions were drawn on the link between external environmental factors and changes in the sector’s bankruptcy risk score in the context of the COVID-19 pandemic. The results of the comparative analysis method showed that the influence of environmental factors analysed in Europe, North America, South America, and Oceania differs due to the predominance of business culture in the region. Overall, however, legal factors had the biggest negative impact on the sector before the COVID-19 pandemic (2011-2018), while other factors (passengers, competitors, labour force, and creditors) were weakly correlated with the likelihood of bankruptcy risk. During the COVID-19 pandemic, the most positive relationship between creditors intensified.</p> Kastytis Senkus | Irma Kamarauskienė | Samanta Šedytė Copyright (c) 2022 Kastytis Senkus | Irma Kamarauskienė | Samanta Šedytė https://creativecommons.org/licenses/by/4.0 https://www.journals.vu.lt/BATP/article/view/27639 Wed, 16 Nov 2022 13:36:10 +0000 Evaluation of Salaries and Their Factors in Lithuania https://www.journals.vu.lt/BATP/article/view/28861 <p>Salaries and wages are widely analysed in legal, economic and social dimensions. Remuneration reflect many aspects, therefore, they play a significant role for the individual, for whom it is often the main source of livelihood, for the company, for which the compensation of the employee's work is both business expenses and elements of business execution, and for the state, which directly influences wages through its regulatory mechanisms and for which the amount of salary is an important indicator of society's standard of living. The purpose of the study is to evaluate the salaries forms and systems applied in Lithuanian companies and the factors affecting them. To achieve the goal, the methods of scientific literature analysis, information grouping, systematization, and generalization were applied. A questionnaire survey was conducted in Lithuania in order to assess the forms and systems of salaries and the factors affecting them. The results of the study show that internal factors have the greatest influence on wages. External factors of greatest impact are the salary level in the region/country, labour market conditions, and the impact of the government. In Lithuanian companies, the time based form of salaries is most widely used, the unit based form is used in 19%, and the mixed form - in 26% of all companies. The research results show that the trends in the development of salaries’ systems are aimed at developing the employee's individual abilities, promoting his motivation to achieve both personal and company results, compensation for the work performed on different forms, with the purpose to achieve maximum definiteness, clarity and objectivity of the systems.</p> Rasa Subačienė | Gintarė Bruzdeilynaitė Copyright (c) 2022 Rasa Subačienė | Gintarė Bruzdeilynaitė https://creativecommons.org/licenses/by/4.0 https://www.journals.vu.lt/BATP/article/view/28861 Tue, 06 Sep 2022 11:39:59 +0000 Solving the Terminology Problem of Accounting Manipulations (Earnings Management and Creative Accounting) https://www.journals.vu.lt/BATP/article/view/28120 <p><span lang="en-US">The work presents a variety of terms that name accounting manipulations. After analyzing scientific sources and conducting an analysis of the bibliographic data of the publications presented on the Web of Science website, the terminology problems prevailing in foreign and Lithuanian literature are revealed.&nbsp;</span><span lang="en">This terminology brings a lot of confusion when dealing with the problem of accounting manipulations.&nbsp;</span><span lang="en-US">The article examines the reasons for the use of different terms, presents the results of the conducted expert assessment. Experts appreciated the phenomenon&nbsp;</span>–<span lang="en-US">&nbsp;accounting manipulations that affect the amount of profit. They named associations derived from the terms "earnings management" and "creative accounting" used in Lithuanian literature.&nbsp;</span><span lang="en">According to experts, the Lithuanian term that best reflects the phenomenon is manipulative accounting.</span>&nbsp;<span lang="en">The article presents the definition of manipulative accounting, which is constructed on the basis of the literature analysis.</span></p> Diana Bachtijeva Copyright (c) 2022 Diana Bachtijeva https://creativecommons.org/licenses/by/4.0 https://www.journals.vu.lt/BATP/article/view/28120 Thu, 18 Aug 2022 06:04:32 +0000 Peculiarities of the use of indirect costs allocation method, based on the assignment of indirect costs to departments https://www.journals.vu.lt/BATP/article/view/28119 <p>No costing method can guarantee that cost accuracy will be 100% correct. This is primarily due to the problem of attributing indirect costs to the cost of a product or service. However, in recent decades, most of the research on the allocation of indirect costs has focused on Activity Based Costing (ABC) method, which is too complex and too costly for many companies. In contrast, research into the method of allocating indirect costs to departments has been unduly reduced. This method, often referred to as the traditional approach, is popular with the vast majority of companies and, if properly applied, would result in a reasonably accurate allocation of indirect costs to the cost of goods and services. The objective of the study is to reveal the peculiarities of the application of indirect cost allocation method based on the assignment of indirect costs to departments, with a view to improving the efficiency of the use of this method in the assignment of indirect costs to the cost of goods or services. The paper examines the peculiarities of the traditional method of allocating indirect costs, proposing not only a sequence for allocating these costs, but also the criteria for selecting the basis for the allocation of indirect costs, alternative methods of allocating indirect costs to production units, and the principles for calculating the indirect cost rate. All of this would allow enterprises to apply the indirect cost allocation method, based on assignment oh indirect cost to departments, much more effectively, both in financial accounting, for the purpose of determining cost of sales for the preparation of financial statements, and in management accounting, for the purpose of making various management decisions.</p> Daiva Tamulevičienė | Jonas Mackevičius | Ermina Liubinaitė Copyright (c) 2022 Daiva Tamulevičienė | Jonas Mackevičius | Ermina Liubinaitė https://creativecommons.org/licenses/by/4.0 https://www.journals.vu.lt/BATP/article/view/28119 Wed, 13 Jul 2022 06:31:03 +0000 Identification of key qualitative characteristics used to assess the significance of misstatements identified in the financial statements https://www.journals.vu.lt/BATP/article/view/26647 <p>Financial statements may be misstated for quantitative reasons, such as mathematically incorrect reporting of assets, liabilities or other. Misstatements in the financial statements may also be qualitative. It is the qualitative characteristics of the misstatement that reflect the significance of the misstatement not for mathematical magnitude, but for other reasons, such as changes in profitability trends or illegal activities. To date, auditors have dedicated more attention to the quantitative characteristics of misstatements and the qualitative characteristics have not been adequately assessed. And although the problem is well known to scientists and practitioners, little action has been taken to date. The objective of the study reflected in this article is to identify the key qualitative characteristics that auditors should consider in deciding the significance of the misstatements identified in the financial statements. A list of fifteen key qualitative characteristics was compiled during the study and the completeness of the list was confirmed by an expert survey. The list of key qualitative characteristics will not only assist the auditors in deciding on the significance of the misstatements identified but may also be used in further research to deepen the scientific knowledge of the qualitative characteristics.</p> Audrius Masiulevičius Copyright (c) 2022 Audrius Masiulevičius https://creativecommons.org/licenses/by/4.0 https://www.journals.vu.lt/BATP/article/view/26647 Wed, 04 May 2022 10:37:05 +0000 Undergraduate Business Students’ Perceptions of Accounting Practices and Profession https://www.journals.vu.lt/BATP/article/view/26238 <p>Attraction of advanced students interested in studying at HEIs for an accounting major degree internationally remains a constant challenge to the accounting profession since the 1990s. To meet the demands it faces, the profession needs to be attractive for students who have the potential to become both technically competent professionals with good analytical abilities and communicative team players, able to understand the expanding business environment and think creatively. Unfortunately, there is a risk that potential students may possess false perceptions of accounting practices and profession.&nbsp;<span lang="en-US">The aim of the research is to explore the perceptions of accounting of the students enrolled in the studies for non-accounting major degree of Professional Bachelor in Business Administration at Lithuanian HEIs. Foremost, the paper analyses the studied assessing approaches and tools used in the&nbsp;</span>notable prior research on the topic. This is followed by the revealed methodology and analysed findings for the research carried out. One of the more important discovers was that the female students assessed the accounting significantly as more definite, boring, precise, and compliance driven than male students. Even considering the abovementioned differences, the results of the perception factors’ analysis strongly suggest that the surveyed students despite their gender in the mass hold traditional stereotypical perceptions of accounting.&nbsp;<span lang="en-US">Due to sufficient number of the surveyed students, findings in overall are applicable to the target group of the research.&nbsp;</span>Finally, the paper provides conclusions, limitations and insights for feasible further research in the study area.</p> Aleksandra Pečiūrienė Copyright (c) 2022 Aleksandra Pečiūrienė https://creativecommons.org/licenses/by/4.0 https://www.journals.vu.lt/BATP/article/view/26238 Mon, 28 Feb 2022 11:44:40 +0000 Can Creative Accounting be Equated with Creativity and Called Positive? https://www.journals.vu.lt/BATP/article/view/25428 <p><strong lang="en-GB">&nbsp;</strong><span lang="en-US">The advent of creative accounting in the middle of the 20th century sparked great interest among researchers and practitioners.&nbsp;</span><span lang="en">In the work of both foreign and Lithuanian scientists, this phenomenon is widely researched and defined as the ability to use the flexibility of legal acts in order to reflect subjective information in financial statements.&nbsp;</span><span lang="en-US">However, in contrast to foreign literature, linguistic interpretations of the term "creative accounting" appeared in Lithuanian literature, which gave this phenomenon a positive meaning, associated with creativity and identified as positive creative accounting. The article examines the concept of creativity, its relationship with accounting, assesses the compatibility of creativity with creative accounting. Based on the analysis of the literature, it is proposed to refuse to divide creative accounting into positive and manipulative, as such a division not only contradicts the concept of creativity, but also undermines the essence of accounting and its multiplicity</span><span lang="en-GB">.</span></p> Diana Bachtijeva Copyright (c) 2022 Diana Bachtijeva https://creativecommons.org/licenses/by/4.0 https://www.journals.vu.lt/BATP/article/view/25428 Wed, 26 Jan 2022 13:14:10 +0000 Developing a Unified Model for Indicators for the Financial Analysis of Public Sector Entities https://www.journals.vu.lt/BATP/article/view/25367 <p lang="en-GB">Financial analysis is an analysis of an entity’s financial performance and position to assess its achievements and prospects, as well as, to provide the financial managers with quality up-to-date information that will help them make the right decisions in the future. The financial analysis concerns the forecasting, accounting, planning and control of certain economic activities. However, financial analysis is mainly linked to private sector entities. The issues of financial analysis of public sector entities in scientific work are addressed in a fragmented way. There is still a lack of not only scientific but also practical work to analyse the issues of financial analysis in the public sector.</p> <p lang="en-GB">The article presents a modified model for the financial analysis system, the analysis indicators to be applied and their combinations. In addition to traditional indicators, the presented system includes indicators of public interest and development. The system may be used for analysing the state of public sector entities. Its results may be useful for different users of information in making appropriate decisions.</p> <p lang="en-GB">Research object: the financial analysis of public sector entities. The purpose of the research is to establish a unified and modified model of the system for conducting the financial analysis of the public sector entities. Tasks: to describe the logical sequence of financial analysis after analysing and summarising the theoretical and practical aspects of the analysis of the financial position of public sector entities; to identify and group indicators for analysing the financial position of the public sector. Research methods: analysis of scientific works, methods of information grouping, comparing, detailing, generalizing.</p> Irma Kamarauskienė Copyright (c) 2021 Irma Kamarauskienė https://creativecommons.org/licenses/by/4.0 https://www.journals.vu.lt/BATP/article/view/25367 Thu, 30 Dec 2021 00:00:00 +0000 Barriers for big data integration to the financial statement audit procedures https://www.journals.vu.lt/BATP/article/view/25298 <p>An application of the most inovative technologies of the big data processing is the high challenge for financial statement auditors.&nbsp;<span lang="en-GB">The term “big data” refers to large amount of digital data that may be used to reveal issues, prospective and relations of human behaviour and actions. For instance, international and national audit companies are using big data analytics to identify risk and fraud during audits.</span></p> <p lang="en-GB">The purpose of the article is to identify barriers to the integration of big data into external financial audit procedures.</p> <p lang="en-GB">The object of the research is big data models and their components. Tasks formulated to achieve the goal: 1) after examining the concept of big data presented by various authors, to determine the role of big data in the audit of external financial statements; 2) to identify the factors that hinder the integration of big data into audit evidence collection procedures. Research methods used in the article include the content analysis of scientific literature.</p> Daiva Raziūnienė | Karolis Čirba Copyright (c) 2021 Daiva Raziūnienė https://creativecommons.org/licenses/by/4.0 https://www.journals.vu.lt/BATP/article/view/25298 Thu, 30 Dec 2021 00:00:00 +0000 The Impact of IFRS Changes on Companies’ Financial Indicators https://www.journals.vu.lt/BATP/article/view/25249 <p>The ever-changing economic environment changes the business conditions and performance and requires to reflect the changes on accounting information of legal entities. The development of International Financial Reporting Standards (IFRS) is a dynamic and complex process, which helps to provide fair and true information on legal entities. Although, it’s important to evaluate the changes of accounting standards by preparers of financial statements and the users of the information. The purpose of the research is to determine the impact of significant changes of international financial reporting standards on the financial indicators of the companies during 2017-2020 period. Research methods of comparative analysis of scientific literature and legal acts, content analysis, case analysis, grouping of information, systematization, comparative analysis and generalization were used. Main research results state that in 2017-2020 the key changes were related to three standards: IFRS 9 - Financial Instruments, IFRS 15 - Revenue from Contracts with Customers and IFRS 16 - Leases. The study of the impact of the application of the new standards on the financial indicators of 24 Lithuanian listed companies revealed that the new IFRS 16 had the greatest impact on the financial indicators of the companies. The first time, the application of IFRS 16 had a significant impact on 6 of the 24 companies analysed. There was a negative impact on liquidity and solvency ratios, working capital, return on assets and the turnover of assets.</p> Inga Liutkevičiūtė | Ramunė Budrionytė | Rasa Subačienė Copyright (c) 2021 Authors https://creativecommons.org/licenses/by/4.0 https://www.journals.vu.lt/BATP/article/view/25249 Wed, 22 Dec 2021 00:00:00 +0000