BACK TO THE CORE: ALTERNATIVE PERFORMANCE MEASUREMENT

Davor Vasicek and Josip Cicak ()
Additional contact information
Davor Vasicek: Faculty of Economics and Business, University of Rijeka, Croatia
Josip Cicak: Faculty of Economics and Business, University of Rijeka, Croatia

UTMS Journal of Economics, 2019, vol. 10, issue 2, 237-247

Abstract: The reporting of alternative performance measures (APMs) is currently the focus of much debate in the world. In this paper, we analyse APMs basics, e.g. financial statements as the basis for alternative performance measurement. Accounting, with the basic concepts of documentation and verifiability, provides wide intervals of evaluation of all positions of all financial statements that have found economic expression in accounting policies. Using a variety of alternative accounting policies brings about different effects on the stated financial results and the value of the company. Each of the standard financial statements users has different information needs and their understanding of fair financial reporting. Which is why, APMs and financial ratios mustn´t be basis for financial decisions without deep insight into the numbers from which ratios have been made. In this paper is given an overall literature review of accounting conservatism models, which should be used in assessment of bias in financial reporting.

Keywords: accounting; financial ratios; APMs; accounting conservatism (search for similar items in EconPapers)
JEL-codes: M41 (search for similar items in EconPapers)
Date: 2019
References: Add references at CitEc
Citations:

Downloads: (external link)
http://utmsjoe.mk/files/Vol.%2010%20No.%202/UTMSJO ... 09-Vasicek-Cicak.pdf Full text (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ris:utmsje:0277

Access Statistics for this article

UTMS Journal of Economics is currently edited by Prof. Ace Milenkovski, PhD

More articles in UTMS Journal of Economics from University of Tourism and Management, Skopje, Macedonia Contact information at EDIRC.
Bibliographic data for series maintained by Assistant Professor. Dejan Nakovski, PhD ().