文章基本信息

标题：COMPARATIVE ANALYSIS OF FAIR VALUE AND HISTORICAL COST ACCOUNTING ON REPORTED PROFIT: A STUDY OF SELECTED MANUFACTURING COMPANIES IN NIGERIA
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作者：BESSONG, PETER KEKUNG ; CHARLES, EFFIONG
期刊名称：Research Journal of Finance and Accounting
印刷版ISSN：2222-1697
出版年度：2012
卷号：3
期号：8
页码：132-149
语种：English
出版社：The International Institute for Science, Technology and Education (IISTE)
摘要：This study aimed to critically examine the effects of fair value accounting and historical cost accounting on the reported profits. However, since the major objective of any business organization is to make profit and continue in business, what they face in the course of doing their business and the method of accounting they use in reporting their profit may make this noble objective to be unrealistic particularly during inflationary period. Data were collected from both primary and secondary sources and presented and analyzed using ordinary least square. The study revealed that both historical cost and fair-value accounting have significant effect on reported profit. Conclusively, Based on the findings of the study, it is concluded that the amount calculated as depreciation, charged as taxes and paid as dividends greatly influence the operating profit of the company. This simply means that the method of profit measurement will greatly influence the amount charged as taxes, depreciation and dividend on the profit of the company. The study recommended that companies should prepare their financial report using both historical cost and fair-value methods simultaneously. This will allow the companies to know the true financial position of their companies before declaring dividend and other benefits.
关键词：Current Cost; Depreciation; Dividend; Fair Value; Historical Cost