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1 – 10 of over 2000
Article
Publication date: 1 March 2006

Josep L. Cortes

In this paper an analysis is made of significant accounting and budgetary reforms that have recently been introduced within the framework of a broader reform called New…

Abstract

In this paper an analysis is made of significant accounting and budgetary reforms that have recently been introduced within the framework of a broader reform called New Public Management. These reforms have led to the adoption of the accrual basis in accounting in many developed countries (i.e. the effects of transactions or events are recognized when they take place, irrespective of the moment when cash is paid or received). However, in 2003 it has only been adopted in budgeting by three of them: New Zealand, Australia and the United Kingdom. In this paper the international situation is analyzed with a view to the future adoption of the accrual basis in budgeting.

Details

Journal of Public Budgeting, Accounting & Financial Management, vol. 18 no. 1
Type: Research Article
ISSN: 1096-3367

Article
Publication date: 1 March 2007

Susana Margarida Jorge, João Baptista da Costa Carvalho and Maria José Fernandes

Until the end of 1997, governmental accounting in Portugal was characterised as essentially cash-based budgetary accounting, using singleentry as the bookkeeping method…

Abstract

Until the end of 1997, governmental accounting in Portugal was characterised as essentially cash-based budgetary accounting, using singleentry as the bookkeeping method. The only compulsory accounting system was Budgetary Accounting. As many countries all over the world, nowadays Portugal is implementing a reform of the whole governmental accounting, which has as most important innovations the use of double-entry within a system compulsorily integrating accrual-based Financial and Cost Accounting along with Budgetary Accounting (still essentially cash-based). The main purpose of this paper is to describe and analyse the reform and current situation of governmental accounting in Portugal, especially discussing the accrual basis implementation. In particular, it shows that not only governmental accounting reform in Portugal has been going towards international harmonization, but also problems that have arisen are common to others faced by several countries. Perspectives of future evolution are also presented.

Details

Journal of Public Budgeting, Accounting & Financial Management, vol. 19 no. 4
Type: Research Article
ISSN: 1096-3367

Article
Publication date: 5 July 2011

Pawan Adhikari and Frode Mellemvik

The purpose of this paper is to trace the rise and fall of accruals in the Nepalese central government, contributing to the literature on accrual accounting by looking at…

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Abstract

Purpose

The purpose of this paper is to trace the rise and fall of accruals in the Nepalese central government, contributing to the literature on accrual accounting by looking at the developments in developing countries.

Design/methodology/approach

The ideas of institutional theory have provided a theoretical setting through which to trace the country's journey toward the accrual basis of accounting. Document search and informal interviews represent the major methods of collecting data for this paper.

Findings

The paper demonstrates that Nepal has been acquainted with the notion of accrual accounting since the late 1980s. The interest of international organizations and the involvement of professional accountants have been the two main factors driving this accrual accounting journey. The study also shows that the implementation of accrual accounting in the Nepalese central government has been an unsuccessful mission. This is why the notion of accrual accounting has been replaced by the improved version of cash accounting anchored on the cash basis International Public Sector Accounting Standard (IPSAS).

Research limitations/implications

It is beyond the scope of this paper to generalize that the trend toward accrual accounting has also reversed in other developing countries.

Originality/value

The paper contributes to the literature dealing with the role and influence of international organizations in facilitating public sector accounting reforms in developing countries. Moreover, the study argues that there has been a change in the attitude of international organizations toward exerting pressures on developing countries to carry out accrual accounting reforms. This changing attitude of international organizations has led many developing nations to focus more on improvements in their existing accounting standards and procedures.

Details

Journal of Accounting in Emerging Economies, vol. 1 no. 2
Type: Research Article
ISSN: 2042-1168

Keywords

Article
Publication date: 1 March 2010

Isabel Brusca and Vicente Montesinos

In recent years, most Organisation for Economic and Cooperation Development (OECD) countries have brought in important reforms into their public accounting systems with…

Abstract

In recent years, most Organisation for Economic and Cooperation Development (OECD) countries have brought in important reforms into their public accounting systems with the objective of both improving public service management and increasing the transparency and accountability of governments. Reforms of government accounting share a common direction towards the implementation of accrual-based accounting systems. In this context, this paper presents the situation of local government accounting systems in European countries with the aim of showing the degree of uniformity/ heterogeneity that currently exists among the countries considered and why differences persist nowadays, trying to classify countries into groups according to accounting practice. Results show that three groups of countries can be identified: the first continues using the cash basis; in the second, an accrual or modified accrual basis is used for financial accounting but the cash basis still persists in the budgetary system; in the third, an accrual or modified accrual basis is used both in budget and in financial accounting.

Details

Journal of Public Budgeting, Accounting & Financial Management, vol. 22 no. 3
Type: Research Article
ISSN: 1096-3367

Article
Publication date: 1 March 2003

Julie E.M. Scott, Jill L. McKinnon and Graeme L. Harrison

This study traces the development of financial reporting in two publicly funded hospitals in New South Wales over the period 1857 to post‐1975, with particular focus on…

3718

Abstract

This study traces the development of financial reporting in two publicly funded hospitals in New South Wales over the period 1857 to post‐1975, with particular focus on the use of cash and accrual accounting. The historical analysis draws on process and contextual change and stakeholder theory, and uses both primary and secondary data, to describe patterns of change (and non‐change) in the hospitals’ financial reporting and to identify the social and political influences associated with such reporting. The study provides historical context for recent developments in public sector reporting and accountability in Australia, particularly the (re)introduction of accrual accounting, and provides insights into the nature of accounting change both in public sector organizations and generally.

Details

Accounting, Auditing & Accountability Journal, vol. 16 no. 1
Type: Research Article
ISSN: 0951-3574

Keywords

Article
Publication date: 20 June 2022

Tausi Ally Mkasiwa

This study examines the controversial success of the International Public Sector Accounting Standards (IPSAS) accrual implementation, using the case of Tanzania.

Abstract

Purpose

This study examines the controversial success of the International Public Sector Accounting Standards (IPSAS) accrual implementation, using the case of Tanzania.

Design/methodology/approach

Interviews, documentary reviews and observations were used for data collection. This study draws on the spectacle theory for data analysis.

Findings

The findings demonstrate that IPSAS accrual was a spectacle during its production and consumption. The features and forms of the spectacle were revealed in IPSAS accrual during its production and affirmed by actors during its consumption. Further affirmation of IPSAS accrual as the spectacle was revealed through communication of good news and the hiding of bad news. The outcome was the alleged roles of IPSAS accrual.

Research limitations/implications

The study is limited as it was conducted in only one country. The controversial success is global and calls for further research in other parts of the world.

Practical implications

The International Monetary Fund should stop recommending implementation of IPSAS accrual along with cash basis as the two systems are incompatible. Moreover, government officials should have alternative thinking presenting a different view of the world, so as to avoid being passive, and focus on reality rather than appearance.

Originality/value

This study is the first to explain the controversial success of IPSAS accrual implementation. It demonstrates the usefulness of spectacle theory in the field of accounting research, especially in the context of reform implementation. Moreover, this study confirms that IPSAS accrual is a spectacle (Uddin et al., 2011).

Details

International Journal of Public Sector Management, vol. 35 no. 6
Type: Research Article
ISSN: 0951-3558

Keywords

Article
Publication date: 1 March 2010

2213

Abstract

Details

Journal of Public Budgeting, Accounting & Financial Management, vol. 22 no. 3
Type: Research Article
ISSN: 1096-3367

Article
Publication date: 25 June 2019

Latifa Hamisi Mbelwa, Pawan Adhikari and Khandakar Shahadat

The purpose of this paper is to investigate the factors that have resulted in the effective implementation of accrual accounting reforms in the Central Government of Tanzania.

Abstract

Purpose

The purpose of this paper is to investigate the factors that have resulted in the effective implementation of accrual accounting reforms in the Central Government of Tanzania.

Design/methodology/approach

The paper relies on the ideas of institutional theory and some aspects of decision-usefulness so as to delineate the external pressures enforcing the Government of Tanzania to embrace accrual accounting and the factors complicating its implementation at organisational level (within government entities). The authors draw on quantitative techniques and the explanatory and cross-sectional survey research strategies and methods for data analysis.

Findings

Our findings suggest that the coercive pressures from donors and auditors along with the normative pressures surfaced by the training of employees generate a significant impact on designing the effective administrative model of accrual accounting. In a lesser extent, pressures from the National Board of Accountants and Auditors and cultural factors are positively correlated to the implementation of accrual accounting in the Tanzanian context. Of the factors the authors examined, the management changes are proved to be least effective. Unawareness of the key stakeholders has caused weak political and regulatory commitments. Accrual accounting implementation is further exacerbated by inadequate technical and personnel competence. Ultimately, the implementation of the accrual accounting has increased significant managerial accountability though a major segment of such behaviour is unexplained by the factors the authors employed in the study.

Practical implications

The effective implementation of accrual accounting relies on improvements in cultural and human-related issues. What is important to understand is that accrual accounting is more of a management reform incorporating changes in broader aspects of institutional and accountability mechanisms, rather than just an adoption of particular accounting technologies. Without such broader changes, accrual accounting reforms can be detrimental providing the technocrats and government officials with a space for manipulating financial information, Tanzania serving as an example.

Originality/value

The study highlights the case of an emerging economy in which accrual accounting is actually in effect and has impacted on managerial accountability, but is struggling to engender intended results and outcomes at organisational level.

Details

Journal of Accounting in Emerging Economies, vol. 9 no. 3
Type: Research Article
ISSN: 2042-1168

Keywords

Article
Publication date: 1 March 2010

Konstantin Timoshenko and Pawan Adhikari

A number of governments have already moved or intend to move from cash to accrual accounting. This has resulted in a growing body of comparative research in public sector…

Abstract

A number of governments have already moved or intend to move from cash to accrual accounting. This has resulted in a growing body of comparative research in public sector accounting. Little work, however, has been devoted so far to investigating government accounting in developing and transitioning countries. This empirical paper seeks to contribute to this literature by conducting a seemingly unique two-country comparison of public sector accounting reforms in one developing nation and one in transition, namely Nepal and Russia. The study suggests that, although more or less the same rhetoric is used in the two settings, reforms have been framed rather differently due to the potency of various institutional pressures.

Details

Journal of Public Budgeting, Accounting & Financial Management, vol. 22 no. 4
Type: Research Article
ISSN: 1096-3367

Article
Publication date: 10 April 2017

Sandra Cohen and Sotirios Karatzimas

This paper aims to provide an assessment of the decision-usefulness and quality of governmental financial reports in Greece under the recently adopted modified-cash basis

1706

Abstract

Purpose

This paper aims to provide an assessment of the decision-usefulness and quality of governmental financial reports in Greece under the recently adopted modified-cash basis. The evaluation is performed within the wider debate regarding the actual benefits of a transition toward an accounting paradigm that lies closer to accrual accounting as the Greek modified-cash basis borrows several accrual characteristics.

Design/methodology/approach

The transition to modified accruals is analyzed through the prism of the new institutional theory. The approach adopted builds on the characteristics of the accounting information pertaining to the conceptual frameworks of public and private sector accounting standard setting bodies. The assessment is conducted on the basis of the perceptions of public sector financial information users on a Web-based questionnaire.

Findings

The findings provide empirical evidence, albeit of moderate magnitude, in favor of the benefits associated with a move to full accruals.

Originality/value

The study moves the debate on the merits of accounting systems’ changes toward the worldwide witnessed trajectory a step forward by providing practical evidence on the matter.

Details

Meditari Accountancy Research, vol. 25 no. 1
Type: Research Article
ISSN: 2049-372X

Keywords

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