Subject The article makes an attempt to develop recommendations for provisions, contingent liabilities and conditional assets accounting under RAS and IFRS for companies operating in the real economy, based on the survey conducted using the sampling of Top 600 largest Russian companies at year-end2015 by Expert RA. Objectives The aim of the study is to improve the quality of financial statements of Russian companies prepared under RAS and IFRS to the extent of provisions, conditional liabilities, contingent assets, and to perfect methods of relevant reporting data analysis. Methods In the research, I applied the method of comparative analysis. Results The paper presents a comparative analysis of the existing accounting methods for provisions, contingent liabilities and contingent assets under RAS, IFRS and GAAP, namely, systematizes the characteristic features and highlightes the specifics of accounting systems. I examined the impact impact of data on provisions, contingent liabilities and contingent assets on evaluation of financial result of companies and developed recommendations to improve accounting treatment of provisions, contingent liabilities and contingent assets under RAS and IFRS. Conclusions The offered recommendations may enhance the quality of financial statements of companies operating in financial and real sectors of the economy, as well as the effectiveness of investment decisions based on financial statement data.
Sokolov Ya.V. [Paradigms of Statistical Science]. Vestnik SPbGU. Ekonomika = St. Petersburg University Journal of Economic Studies, 2009, no. 3, pp. 56–67. (In Russ.)
Kovalev V.V., Kovalev Vit.V. [Accounting income: A managerial aspect]. Vestnik SPbGU. Menedzhment = Vestnik of Saint Petersburg University. Management, 2005, no. 4, pp. 7–32. (In Russ.)
Kovalev Vit.V. [True and Fair Concept in Accounting: Definition and Application]. Vestnik SPbGU. Ekonomika = St. Petersburg University Journal of Economic Studies, 2012, no. 2, pp. 107–116. (In Russ.)
Pyatov M.L. [Liabilities and how they are treated in accounting]. Finansy i biznes = Finance and Business, 2009, no. 1, pp. 118–128. (In Russ.)
Generalova N.V., Sokolova N.A. [Variation of accounting information interpretation]. Vestnik SPbGU. Ekonomika = St. Petersburg University Journal of Economic Studies, 2012, no. 1, pp. 175–181. (In Russ.)
Damodaran A. Investment Valuation: Tools and Techniques for Determining the Value of Any Asset. John Wiley & Sons, Inc., 3rd edition, 2012, 992 p.
Valdaitsev S.V. Otsenka biznesa i upravlenie stoimost'yu predpriyаtiyа [Business valuation and enterprise value management]. Moscow, YUNITI Publ., 2001, 720 p.
Sheremet V.V., Pavlyuchenko V.M., Shapiro V.D. et al. Upravlenie investitsiyаmi: v 2-kh t. T.1 [Investment management. In two volumes. Vol. 1]. Moscow, Vysshayа shkola Publ., 1998, 416 p.
Endovitskii D.A., Babushkin V.A., Baturina N.A. et al. Analiz investitsionnoi privlekatel'nosti organizatsii: monografiya [Analysis of organization’s investment attractiveness: a monograph]. Moscow, KnoRus Publ., 2010, 374 p.
Druzhilovskaya T.Yu. [Estimated liabilities and provisions: Interpretation and accounting issues under the Russian and international standards]. Mezhdunarodnyi bukhgalterskii uchet = International Accounting, 2016, no. 21, pp. 2–18. URL: Link (In Russ.)
Kalacheva T.I. [Estimated values in accounting]. Izvestiya Tul’skogo gosudarstvennogo universiteta = Proceedings of TSU, 2013, no. 2-1, pp. 217–223. (In Russ.)
Ukhteeva N.A. [Specifics of applying IAS 37 Provisions, Contingent Liabilities and Contingent assets]. Mezhdunarodnyi bukhgalterskii uchet = International Accounting, 2008, no. 10, pp. 25–31. URL: Link (In Russ.)
Dirkova E.Yu. [Accounting Rule Estimated Liabilities, Contingent Liabilities and Contingent Assets (PBU 8/2010): Specifics of application and relationship with IFRS]. Mezhdunarodnyi bukhgalterskii uchet = International Accounting, 2011, no. 21, pp. 47–54. (In Russ.)
Shtefan M.A. [Planning the audit of estimated liabilities in accordance with international standards]. Vestnik finansovogo universiteta = Bulletin of Financial University, 2017, vol. 21, no. 3, pp. 202–215. (In Russ.)
Bardina I.V. [Accounting for provisions and their testing during the audit]. Vestnik universiteta (Gosudarstvennyi universitet upravleniyа) = University Bulletin (State University of Management), 2012, no. 3, pp. 44–49. (In Russ.)
Shtefan M.A., Zamotaeva O.A. [Provisions, contingent liabilities and contingent assets in accordance with local and international standards: Recognition, measurement and reporting in financial statements]. Mezhdunarodnyi bukhgalterskii uchet = International Accounting, 2011, no. 31, pp. 2–15. URL: Link (In Russ.)
Kurbangaleeva O.A. Obyаzatel'nye i prosto udobnye rezervy v bukhgalterskom i nalogovom uchete [Statutory and merely convenient reserves in financial and tax accounting]. Moscow, Aktion-Media Publ., 2012, 132 p.
Rozhnova O.V., Igumnov V.M. [Methodological aspects of formation of a transparent organization's financial statements]. Izvestiyа MGTU MAMI, 2013, vol. 5, no. 1, pp. 176–180. (In Russ.)
Bezborodova T.I. [Material information disclosure in financial statements]. Mezhdunarodnyi bukhgalterskii uchet = International Accounting, 2011, no. 26, pp. 8–13. URL: Link (In Russ.)
Arbatskaya T.G. [On the question of the essence of the reliability category]. Mezhdunarodnyi bukhgalterskii uchet = International Accounting, 2015, no. 8, pp. 17–32. URL: Link (In Russ.)
Hendriksen E.S., Van Breda M.F. Teoriya bukhgalterskogo ucheta [Accounting Theory]. Moscow, Finansy i statistika Publ., 1997, 576 p.