IMPACT OF THE TRANSITION TO INTERNATIONAL FINANCIAL REPORTING STANDARDS ON COVERAGE CALCULATION Cover Image

IMPACT OF THE TRANSITION TO INTERNATIONAL FINANCIAL REPORTING STANDARDS ON COVERAGE CALCULATION
IMPACT OF THE TRANSITION TO INTERNATIONAL FINANCIAL REPORTING STANDARDS ON COVERAGE CALCULATION

Author(s): Alexandra Szekeres, Angelika Dienes
Subject(s): Business Economy / Management, Accounting - Business Administration, Globalization
Published by: Fundatia Română pentru Inteligenta Afacerii
Keywords: IFRS; Hungarian Accounting Act; Coverage calculation;

Summary/Abstract: The present study focuses on the method of coverage calculation and the reasons for the different results due to the differences between the Hungarian and IFRS accounting systems. First, the accounting characteristics inherent in the content and structure of the profit and loss account are presented on which the coverage calculation is based in the Hungarian and IFRS systems. Next, the accounting items that are necessary for the calculation of coverage are described in detail and are compared according to the two accounting systems. Finally, the differences in the calculation of coverage in the Hungarian and IFRS accounting systems based on the same items are presented through an example. Based on the study, it can be clearly stated that a significantly higher coverage amount can be detected on the basis of the same items in the system of IFRS than in the Hungarian accounting environment.

  • Issue Year: X/2022
  • Issue No: 19
  • Page Range: 71-78
  • Page Count: 8
  • Language: English