IMPACT OF ACCOUNTING REGULATION IN THE REPUBLIC OF SERBIA ON THE QUALITY OF FINANCIAL REPORTS FOR STRATEGIC MANAGEMENT PURPOSES
Keywords:strategic management, financial reports, accounting regulation, application of IFRS in the RS, EU Directive 34
The main purpose of the new accounting regulation that has been applied in the Republic of Serbia is the harmonization and improvement of the quality of financial reports for the needs of company management and external users of information (primarily, investors and creditors). Based on the above, the main goal of the research in this paper is to indicate whether the financial statements in the Republic of Serbia, which are based on the project of the Board for the Application of International Accounting Standards (IASB), can be compared with the financial statements in the European Union, and whether on that basis represent reliable informational support for strategic management. The research findings show that the immediate and exclusive application of IFRS in the Republic of Serbia has become a limiting factor in the informational power of financial reports for the purposes of strategic management. Based on the obtained research findings, it is possible to conclude that the accounting profession is to a greater extent dedicated to the traditional, classic requirements of the accounting function related to the preparation of financial statements, cost-financial control, while it is to a lesser extent dedicated to strategic management.
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Copyright (c) 2023 Danijela M. Andjelković, Jelena Vapa Tankosić, Ana S. Liberakos
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