Český finanční a účetní časopis 2019(1):35-49 | DOI: 10.18267/j.cfuc.527

Revenue disclosure requirements: IFRS vs. Czech accounting principles

Petr Vácha
Petr Vácha; Vysoká škola ekonomická v Praze, Fakulta financí a účetnictví, katedra finančního účetnictví a auditingu, nám. W. Churchilla 4, 130 67 Praha 3

The purpose of the article and related research is the comparison of the quality of revenue disclosures. For this purpose the current state of requirements for revenue disclosure in Czech accounting legislation and IFRS is outlined. In the next step the sample of financial statements was determined. The sample consisted of 10 largest Czech companies reporting under Czech accounting principles and 10 largest Czech companies reporting under IFRS, both of these based on revenue amount. The sample was reviewed from perspective of 11 evaluation criteria consisting of general revenue principles and disclosures about nature and content of revenues. The results of research preliminarily confirmed the hypothesis that the revenue disclosures in IFRS financial statements bring more information about recognition, measurement and nature of revenues than revenue disclosures in the financial statements based on Czech accounting principles. Due to the the lower size of sample the extension of sample is recommended for full confirmation of results. Nevertheless, the main issues in revenue disclosures in the financial statements of large companies indicate the areas of further focus for the Czech accounting legislation.

Keywords: Disclosures; Revenue; IFRS; Czech accounting principles
JEL classification: M41

Published: August 1, 2019  Show citation

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Vácha, P. (2019). Revenue disclosure requirements: IFRS vs. Czech accounting principles. Czech Financial and Accounting Journal, 2019(1), 35-49. doi: 10.18267/j.cfuc.527
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